CRD IV harmonised reporting

The Capital Requirements Regulations (CRR) brings in a new EU-wide supervisory reporting framework for Financial Reporting (FINREP) and Common Reporting (COREP). Here we summarise the supervisory reporting frameworks and provide you with guidelines and templates.

  • Common Reporting (COREP) covers the capital requirements and own funds reporting based on Directives 2006/48/EC and 2006/49/EC.
  • Financial Reporting (FINREP) covers Financial Reporting for supervisory purposes based on International Accounting Standards (IAS)/International Financial Reporting Standards (IFRS), as endorsed by the European Union.

The first draft of reporting requirements was published in the European Banking Authority (EBA) Consultation Paper, CP50 and has now become formalised both as a regulation and as a technical standard.

Content of harmonised reporting 

The CRR came into force which includes the implementing technical standards for reporting ie, the guidance, templates, technical standards and validation required for reporting to supervisors.

The regulation contains an act that sets out the scope, frequencies and remittance for CRD IV reporting. The European Banking Authority (EBA) developed supporting reporting documents that cover the following CRD IV requirements:

  • Art. 99 CRR: Own Funds Reporting (Annex I, II of the ITS)
  • Art. 99 CRR: Accounting information – FINREP (Annex III, IV, V of the ITS). Please note that currently we are not adopting FINREP for those firms not using IFRS
  • Art. 99 CRR: Counterparty credit risk
  • Art. 99 CRR: Mortgage losses (Annex VI, VII of the ITS)
  • Art. 394 CRR: Large exposures (Annex VIII, IX of the ITS)
  • Part Six: Title II & Title III CRR: Liquidity Coverage and Stable Funding (Annex XII, XIII of the ITS)
  • Art. 430 CRR: Leverage Ratios (Annex X, XI of the ITS)

Harmonised reporting also includes some micro-prudential data for EU-wide financial stability, which will cover the data needs of the European Systemic Risk Board (ESRB) and the EBA.

In addition to the list above, firms should be aware that there are open, pending and closed consultations that will generate additional reporting. The EBA is currently developing reporting frameworks for these items and we advise firms to closely monitor the EBA website.

Objectives of the requirements

The CRR contains specific mandates for the EBA to develop draft Implementing Technical Standards (ITS) for supervisory reporting. These ITS will help to enhance regulatory harmonisation in Europe, particularly by specifying consistent formats, frequencies and dates of prudential reporting, as well as IT solutions to be applied by firms.

Reporting requirements ensure that there is fair competition between credit institutions and investment firms, which will lead to more efficient working and more joined-up supervisory practices.

Changes to Gabriel reporting under COREP and FINREP (as per Regulation (EU) No 575/2013) 

 

Data items replaced for CRD IV Firms

Data items that remain for CRD IV Firms but application differs under CRD IV rules

Data items retained for CRD III Firms

Data items unaffected by COREP/FINREP

COREP Own Funds

FSA003 - Capital Adequacy

FSA004 - Credit Risk

FSA005 - Market Risk

FSA007 - Operational Risk

FSA028 - Non EEA Sub groups

FSA045 - IRB Portfolio Data

FSA046 - Securitisation

FSA058 – Securitisation

 

COREP LE

FSA008 - Large Exposures

 

FINREP IFRS 1

FSA001 Balance Sheet

FSA002 Income Statement

 

FSA005 - Market Risk: Only 2 data elements for Capital Add-ons will be completed

FSA006 - Market Risk (supp.): Retained to support RNIV Framework

FSA045 - IRB Portfolio Data: Guidance will change

FSA018 – UKIGs Large exposures: Guidance will change as this will be applied to entities with Core UK Group and Non-Core LE Group Waiver

 

(Applies to PRA Firms Only At Present)

FSA001 Balance sheet on a consolidated and solo basis

FSA002 Income Statement on a consolidated and solo basis

 

FSA003 - Capital Adequacy

FSA004 - Credit Risk

FSA005 - Market Risk

FSA007 - Operational Risk

FSA028 - Non EEA Sub groups

FSA058 – Securitisation

CRD:

 

FSA001 Balance Sheet 2

FSA002 Income Statement 2

FSA014 - Forecast data

FSA015 - Sectoral analysis

FSA016 - Solo consolidation

FSA017 - Interest rate gap

FSA019 - Pillar 2 Questions

 

LIQUIDITY

FSA011, 047 – 055 3

 

Non CRD:

FSA029 - 042

Payment Services:

FSA056 / 057

MLAR

RMAR

Complaints

 

all other data items not explicitly mentioned are unaffected

1 Only for firms reporting on IFRS consolidated group basis and also subject to other CRDIV rules that put them within the scope of FINREP reporting.

2 Solo reporting remains for all but these data items are only reported on a consolidated basis where the firm is not subject to reporting FINREP.

3 Due to be replaced in 2015 subject to EBA producing Liquidity Reporting Templates for Supervisory purposes.

Data point model and taxonomy

To ensure the ITS on supervisory reporting requirements are implemented consistently, the templates described in the Annexes have been translated into a data point model (DPM) which in turn is used to generate the taxonomy.

The DPM is a structured representation of the data, identifying all the business concepts and its relationships, as well as validation rules and the taxonomy is the vehicle that enables data to be shared in line with the DPM structure.

These are artefacts that are developed by the EBA and along with the accompanying documentation, contain all the relevant technical specifications necessary for developing an IT reporting solution. Firms should ensure they keep abreast of any changes to these artefacts by the EBA.

The current version (as at January 2014) of these items can be found on the EBA website.

More information

See our presentations on the Harmonised Reporting:

Contact us

See ways to contact us.

Please note that the COREP.queries@fca.org.uk mailbox has now closed.​