Investor Presentaiton
Regulatory Capital Requirements
Supervisory Review and Evaluation Process (SREP¹) requirement
15.8%
Capital Conservation Buffer (CCB) of 2.5% fully phased in by 2019
1.5% O-SII¹ Buffer phased in over 3 years from July 2019
+P2G
1.875%
CCB
Regulatory
C.0.3%
CCyB
CET1 Ratio
2.25%
P2R
Dec 2017
4.5%
Min CET1
Requirement
SREP¹ 2018
OSII +0.5%
2.5%
+1.0%
2.5%
+1.5%
2.5%
SREP requirement for 2019 onwards not known at this point
Requirement to be reviewed annually
CCyB subject to quarterly review²
2019
2020
2021
Minimum Regulatory Capital Requirement
• A minimum CET1 ratio of 8.625% on a regulatory basis from 1 January 2018
•
Includes a Pillar 1 requirement of 4.5%, a P2R of 2.25% and a capital conservation buffer for 2018 of 1.875%
The FPC (UK) have set the countercyclical buffer (CCYB)2 at 0%; increasing to 0.5% in June 2018 and 1% in November 2018. This
will increase the Group's capital requirement by c.0.15% in June 2018 and a further c.0.15% in November 2018.
• The CBI (ROI) continues to set the CCyB2 at 0%
• Pillar 2 guidance (P2G) is not disclosed in accordance with regulatory preference
• The Group expects to maintain a CET1 ratio in excess of 13% on a regulatory basis and on a fully loaded basis by the end of the O-SII
phase-in period. This includes meeting applicable regulatory capital requirements plus an appropriate management buffer
• We expect to receive our initial MREL target in H1 2018
Bank of Ireland Group
*SREP and O-SII requirement are subject to annual review by the Single Supervisory Mechanism (SSM) and the Central Bank of Ireland (CBI) respectively
2CCyB is subject to quarterly review by Central Bank of Ireland (ROI) and Financial Policy Committee (UK).
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