UK pushes for Europe-wide bail-in standards

The UK government on Friday published a draft of its Financial Services (Banking Reform) Bill, legislation which will introduce ring-fencing, depositor preference and the framework for implementing primary loss-absorbing capital (PLAC ) requirements. It argues that all banks within the European Economic Area should be forced to hold a minimum buffer of loss absorbing liabilities, including bail-inable debt — an opinion contrary to that of many banking industry professionals.