The European Banking Authority has published a discussion paper seeking feedback on targeted changes to Taxonomy disclosures under Article 8 of the Taxonomy Regulation. The paper is the first step in the EBA’s response to the European Commission’s request for technical advice and focuses on simplifying key performance indicators and improving their usability for credit institutions and investment firms. In substance, the EBA is testing whether some existing KPIs should be narrowed materially or replaced by qualitative disclosures, while also proposing changes to grandfathering, group reporting and the treatment of operational expenditure in financial-sector KPIs. For credit institutions, the EBA sets out two possible approaches for both the Fees and Commissions KPI and the Trading Book KPI. One is to remove the KPI or replace it with qualitative disclosures, subject to a 10% materiality threshold. The other is to narrow the metric sharply, in the first case to four capital-markets-related activities and, in the second, to market-making activity linked to liquidity in Taxonomy-aligned securities. For investment firms, the paper proposes narrowing the 'other services' KPI to portfolio management, investment advice, underwriting or placing on a firm commitment basis, and placing without a firm commitment basis, and also opens discussion on moving from a revenue-based measure to one based on asset values. On broader issues, the EBA proposes aligning Taxonomy grandfathering rules with the EU Green Bond Regulation, including a seven-year period and related transparency requirements, maintaining sector-specific group-level KPIs rather than a weighted cross-sector group KPI, and not explicitly incorporating non-financial undertakings’ OpEx into financial undertakings’ KPIs because of added complexity, burden and comparability concerns. It also suggests simplifying asset-management disclosures by potentially merging the relevant templates for credit institutions and asset managers. The consultation runs until 12 August 2026. The EBA is coordinating with the European Insurance and Occupational Pensions Authority and the European Securities and Markets Authority on cross-cutting issues, with the three European Supervisory Authorities due to submit their advice to the European Commission in October 2026.
European Banking Authority2026-07-01
European Banking Authority launches consultation on simplifying Taxonomy disclosure KPIs for banks and investment firms
The European Banking Authority has opened a consultation on changes to Taxonomy disclosure KPIs for credit institutions and investment firms. Its discussion paper explores removing or narrowing certain bank KPIs, refocusing the investment firm services KPI, and aligning grandfathering rules with the EU Green Bond Regulation. Feedback closes on 12 August 2026, with final advice to the European Commission due in October 2026.