Swiss Senate Votes For 90% CET1 Capital Backing For UBS

(MENAFN- Swissinfo) The Swiss Senate has backed tough new capital rules for UBS, requiring the banking giant to finance 90% of its foreign holdings with core equity capital. Select your language

Generated with artificial intelligence. Listening: Swiss Senate votes for 90% CET1 capital backing for UBS This content was published on September 23, 2026 - 09:59 2 minutes Keystone-SDA

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The new rules are intended to tighten the“too-big-to-fail” framework in Switzerland. The Senate reached its decision on Wednesday by 29 votes to 16. In doing so, it opted for an approach proposed by a significant minority.

In the days leading up to the decision, UBS and major trade associations had publicly opposed this motion. A 90% requirement for Common Equity Tier 1 capital was not a compromise on the Federal Council's proposal, said UBS, adding that it would cause lasting damage to its competitiveness.

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UBS and several major business associations would have preferred the compromise drafted by the majority, which was ultimately rejected. Under this proposal, the bank would have had to underpin at least 50% of its foreign holdings with Common Equity Tier 1 capital. For the remainder up to 50%, AT1 (Additional Tier 1) bonds would have been permissible.

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