Capital Markets Union: Action Plan and first legislative proposals unveiled

The European Commission (the "Commission") has today presented its Capital Markets Union Action Plan (the “CMU Action Plan”), together with a first set of initiatives to build a Capital Markets Union (the “CMU”).

The CMU is not, as such, a legislative proposal itself, but a framework under which a number of legislative initiatives will be undertaken with a view to building a single market for capital. Accordingly, the CMU Action Plan identifies six priority areas for action and sets out a roadmap of the concrete steps to be taken over the next four years.

The six priority areas for action are:

  • financing for innovation, start-ups and non-listed companies,
  • making it easier for companies to enter and raise capital on public markets,
  • investing for long term, infrastructure and sustainable investment,
  • fostering retail and institutional investment ,
  • leveraging banking capacity to support the wider economy and
  • facilitating cross-border investing.

These are the most important and concrete steps announced by the Commission, which will require follow up by market participants and financial institutions:

    Legislative Package on high-quality securitisation:

    (i)  EU Regulation for simple, transparent and standardised
    (“STS”) securitisation

    (ii) Revision of CRR with new prudential calibrations for banks

Published today

    Consultation on an EU-wide framework for covered bonds

Published today

    Consultation on the EU regulatory framework for financial services

Published today

    Amendments to Solvency II Delegated Regulation

Published today

    Consultation on venture capital and social entrepreneurship funds

Published today

    Proposal to review the Prospectus Directive

Q4 2015

    Green Paper on retail financial services and insurance

Q4 2015

    Proposal on Common Consolidated Corporate Tax Base, including treatment of
    debt-equity bias

Q4 2016

    Proposal for legislation on business insolvency and early restructuring

Q4 2016

    Review of the Capital Requirements Regulation for banks, including on
    infrastructure calibrations

Ongoing

Click here to access the Commission’s webpage on the CMU.

If you have any questions, please contact Etienne Dessy (+32 2 501 90 69), David Ballegeer (+32 2 501 95 93), Charles-Antoine Leunen (+32 2 501 91 20), Gilles Nejman (+32 2 501 91 40), Els Janssens (+32 2 501 91 48) or your usual Linklaters contact.