Recital 4

(4)Article 20(5) of Delegated Regulation (EU) 2015/63 currently provides for a transitional regime allowing smaller institutions to contribute to national resolution financing arrangements or to the Single Resolution Fund with a lump sum, rather than with a fully-fledged risk adjusted contribution. That transitional regime runs until the end of the initial period provided for reaching the target level of the Single Resolution Fund, which pursuant to Article 69 of Regulation (EU) No 806/2014 of the European Parliament and of the Council ⁴ ends on 31 December 2023. However, pursuant to Article 102(1) of Directive 2014/59/EU, the initial period for reaching the target level of the national resolution financing arrangements ends a year later, on 31 December 2024. That situation creates an unequal treatment between institutions contributing to national resolution financing arrangements and institutions contributing to the Single Resolution Fund. To enable also institutions contributing to national resolution financing arrangements to contribute with a lump-sum until the end of the initial period of their respective national resolution financing arrangement, the transitional regime should be extended for one year until 31 December 2024 by replacing the reference in Article 20(5) of Delegated Regulation (EU) 2015/63 to Article 69(1) of Regulation (EU) No 806/2014 with a reference to Article 102(1) of Directive 2014/59/EU.