Question
Could EBA provide guidance on whether institutions that do not apply the transitional arrangements set out in Article 465(5) of CRR can leave the rows 0151 and 0152 ‘of which: exposures secured by mortgages on residential property up to 55% of the property value’ and ‘of which: exposures secured by mortgages on residential property between the 55% and 80% of the property value’ empty in template C 10.00?
Background on the question
In template C10.00 rows 0151 and 0152 ‘of which: exposures secured by mortgages on residential property up to 55% of the property value’ and ‘of which: exposures secured by mortgages on residential property between the 55% and 80% of the property value’ are in reference to the Transitional Arrangement (TA) from CRR art. 465(5). This transitional arrangement is only applicable if the Member State allows to apply it. Additionally, for the application of this transitional arrangement, the conditions set out in Article 465(8) should be met. The conditions also include the verification of the competent authority (Article 465(5)(f) on whether the conditions in Article 465(5) – from points (a) to (e)- are met. Based on the above, in certain jurisdictions or for certain institutions Article 465(5) might not be activated. We therefore understand that these rows can be left blank by the institutions that are not allowed to apply the transitional arrangement set out in Article 465(5) of CRR.
Answer
In the template C 10.00 of Implementing Regulation (EU) 2024/3117, institutions that do not apply the transitional arrangements set out in Article 465(5) of CRR shall leave the rows 0151 and 0152 ‘of which: exposures secured by mortgages on residential property up to 55% of the property value’ and ‘of which: exposures secured by mortgages on residential property between the 55% and 80% of the property value’ empty.