Inhalt

Bank levy

The bank levy was introduced in Germany at the beginning of 2011 for all credit institutions requiring authorisation within the meaning of section 1 (1) of the Banking Act with the exception of promotional banks and bridge bank that are subject to the Credit Institution Accounting Regulation (Kreditinstituts-Rechungslegungsverordnung). The size of the bank levy depends on the size of the bank and its degree of interconnectedness within the financial system. The funds collected from banks serve to finance the Restructuring Fund. It is therefore funded by banks and not by general taxpayer money. As part of the restructuring procedure, the Restructuring Fund has a number of instruments for overcoming institutions’ going-concern and systemic risk.

The basic concept is that money will accrue in the Restructuring Fund over a number of years. The target funding amounts to €70 billion. If the monies raised by the Restructuring Fund do not cover the costs of the Restructuring Fund‘s measures or of its establishment and administration, the FMSA can impose special contributions. All credit institutions which are required to pay annual contributions from the point in time at which the need for funding is established are also required to pay special contributions. The amount of special contributions to be paid depends on the ratio of the average of the annual contributions due in the past three years payable by the individual credit institution required to pay contributions to the average of the total of annual contributions due in the past three years payable by all credit institutions required to pay contributions.

The Restructuring Fund may borrow money if it is unable to cover its funding needs in a timely manner through special contributions. To this end, it has a €100 billion guarantee authorisation and a €20 billion authorisation for borrowing for recapitalisation measures. SoFFin’s existing authorisations were accordingly reduced and “reassigned”.

To that extent, the bank levy may be understood as the price for the implied public-sector guarantee of a stable financing system. At the same time, it helps curb banks’ excessive risk appetite.