Swiss upper house pushes UBS capital vote to September 23
The chamber's debate on new capital rules for UBS, previously expected September 18, is now scheduled for September 23, according to updated parliamentary scheduling.
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Switzerland's upper house of parliament is now set to debate new capital rules for UBS on September 23, according to updated parliamentary scheduling, days later than the September 18 session lawmakers had expected.
The rules under discussion stem from the government's overhaul plan drawn up after the Credit Suisse collapse. The Federal Council's original proposal would require UBS to hold an extra $20 billion in common equity tier 1 capital, fully backing its foreign units, according to Reuters, via Global Banking and Finance. A parliamentary compromise reached last month would instead let UBS use $13 billion in additional tier 1 capital to cover those units, a lighter burden than the government's plan, the outlet reported.
A separate motion from lawmaker Andrea Caroni, also due for a vote alongside the compromise, would send the banking legislation back to the Federal Council, a path that could let Finance Minister Karin Keller-Sutter pursue the stricter rules she has argued are needed so taxpayers are not left exposed to future bank failures, Reuters reported via Global Banking and Finance. Whether Caroni's motion has the votes in the 46-member chamber was unclear before the postponement, with his own FDP party split on the issue, the outlet said. UBS has called the government's original plan excessive, arguing it would leave the bank at a disadvantage against international rivals, according to the same reporting.
After the upper house acts, the draft bill moves to the lower house, where UBS is expected to face a tougher reception, according to Global Business Outlook. A parliamentary committee has already signaled that final capital requirements will not be settled before 2027, so the delay to September 23 adds procedural time without changing that broader outlook. For UBS investors, this remains a drawn-out legislative process rather than an imminent regulatory burden.