Joint Associations Urge ECON to Reject Dedicated Sanctions Under EU Securitisation Framework

Joint Associations’ Letter on the Proposed Sanctioning Regime under the Securitisation Regulation

20 April 2026 ICMA was among the signatories to a joint letter addressed to members of the European Parliament’s ECON Committee ahead of the final stage of the Parliament establishing its position on the review of the EU Securitisation Framework.

The letter calls for a proportionate and stable regulatory approach that supports the development of a more efficient, resilient and competitive EU securitisation market. In particular, it urges policymakers not to introduce a dedicated sanctioning regime under the Securitisation Regulation, noting that investors in securitisations are already subject to sanctions under existing sectoral and national legislation.

The letter further cautions that additional and duplicative sanctions could deter existing and prospective investors, thereby undermining efforts to broaden the investor base. It also raises concerns that linking sanctions to the size of exposures could produce unintended and counterproductive outcomes, particularly for holders of the safest senior tranches which by definition represent the largest notional exposures.

More broadly, the signatories call for meaningful reforms that reinforce investor confidence and enable securitisation to better support financing for households, businesses and the wider European economy.