The U.S. Senate Committee on Banking, Housing and Urban Affairs’ Ranking Member, Senator Elizabeth Warren, issued a statement condemning Trump bank regulators’ Basel III proposal, arguing it would weaken safeguards by significantly reducing large banks’ loss-absorbing capital. Warren described the proposal as the result of sustained lobbying by big banks and said it would allow them to fund risky trading and other activities with more debt, “slashing” capital cushions by tens of billions of dollars. She argued the changes would increase payouts to megabank shareholders and executives, reduce lending to small businesses and families, and leave the banking system more prone to crashes and taxpayer bailouts.
U.S. Senate Committee on Banking, Housing and Urban Affairs 2026-03-19
U.S. Senate Committee on Banking, Housing and Urban Affairs’ Warren criticizes Trump bank regulators’ Basel III proposal as cutting capital requirements
Senator Elizabeth Warren criticized the U.S. Senate Committee on Banking, Housing and Urban Affairs' Basel III proposal, claiming it would weaken safeguards by reducing large banks' loss-absorbing capital. She argued the proposal results from big banks' lobbying and would increase risks by allowing more debt-funded activities, potentially leading to higher payouts for shareholders and executives while reducing small business and family lending.