Savings and Investments Union: The Path to Strengthening Europe’s Financial Future

Brussels, 19 March 2025 – The European Banking Federation (EBF) welcomes today’s Communication on the Savings and Investments Union (SIU) by the European Commission, a key step toward fostering sustainable and inclusive economic growth, competitiveness, and boosting vital financing for defence. By deepening capital markets and improving access to finance, the SIU can help ensure that European citizens, businesses, and households benefit from a stronger, more dynamic financial ecosystem.

Sébastien de Brouwer, Deputy CEO of the European Banking Federation, said: “The Savings and Investments Union is a game changer for Europe’s financial ecosystem. By encouraging the mobilisation of savings towards productive investments, addressing barriers to cross-border capital flows, boosting securitisation, it can help close the €800 billion – and growing – investment gap and drive growth. Its success will depend on the commitment of Member States to swiftly adopt a capital markets mindset and advance market-driven solutions. A well-functioning SIU will not only strengthen businesses and financial markets but also create new opportunities for citizens and support broader economic and social progress. The Communication stresses the strategic importance of the banking sector to the EU and its role in unlocking the full potential of the EU Single Market.”

The EBF highlights key priorities outlined in the Communication that are essential to unlock financing for Europe’s ambitions:

Competitiveness of the banking sector: The EBF welcomes the announcement on the publication of a dedicated report assessing the competitiveness of the banking sector in 2026. Moreover, the Communication acknowledges the need for vigilance and swift reaction by the European Commission on developments on the global stage, in order to preserve the competitiveness of the European banking sector.

Securitisation: A well-functioning EU securitisation framework is a vital tool to bridge capital markets and bank-based financing. The EBF strongly supports the Commission’s plan for reviving the EU securitisation market and unlock securitisation its full potential to improve credit availability, enhance capital efficiency, and expand investment opportunities.

Retail investment: Encouraging individual participation in capital markets is crucial for long-term economic resilience. The Commission’s focus best practices and clear incentives such as favourable tax treatment, represents a positive step toward increasing retail investment and deepening capital markets. The EBF welcomes the focus on promoting supplementary pensions, as well as the ambition to improve financial literacy through the upcoming EU-wide strategy.

Equity investment: Facilitating investments in equity and certain other alternative asset classes such as private equity and venture capital by institutional investors will provide companies, including high-growth start-ups and scale-ups, with the opportunity to access the risk capital they need to thrive, as a complement to a strong bank-based financing ecosystem.

Cross-border capital flow: Reducing regulatory fragmentation and addressing barriers to cross-border investment will create a more efficient and competitive EU financial landscape, reinforcing the Single Market’s ability to channel capital where it is needed the most.

The EBF remains committed to working with policymakers and stakeholders to turn the SIU into a success. By fostering deeper capital markets, enhancing financing opportunities, and supporting investment-friendly policies, Europe can unlock new economic potential for businesses, investors, and citizens alike. A well-designed SIU will not only close the investment gap but also drive sustainable growth, strengthen financial resilience, strengthen the defence sector, and boost Europe’s global competitiveness.

For more information and media inquiries:

Jacopo Borgognone, Senior Policy Adviser – Financing Growth, j.borgognone@ebf.eu

Gabriel Daia, Head of Communications and Public Affairs, g.daia@ebf.eu

About the EBF:

The European Banking Federation is the voice of the European banking sector, bringing together national banking associations from across Europe. The EBF is committed to a thriving European economy that is underpinned by a stable, secure and inclusive financial ecosystem, and to a flourishing society where financing is available to fund the dreams of citizens, businesses and innovators everywhere.