The response to Q&A 1379 states that the first subparagraphs of paragraphs 1 and 2 in Article 13 of Regulation (EU) No 575/2013 (CRR) require EU parent institutions and institutions controlled by an EU parent financial holding company or an EU parent mixed financial holding company to comply with the disclosure obligations laid down in Part Eight of CRR on a consolidated basis. Article 6(3) of CRR exempts parent institutions, subsidiaries, and every institution included in the consolidation pursuant to Article 18 of CRR from the requirement to comply with the disclosure obligations laid down in Part Eight of CRR on an individual basis. However, it appears that standalone solo subsidiary banks located in member states which have a parent located in a third country are not exempt from the default requirement in Article 6(1) to comply with pillar 3 disclosure requirements on a solo (individual) basis.

The provisions set out in Articles 6 and 13 of CRR imply that institutions belonging to a banking group subject to disclosure requirements on a consolidated basis are not subject to the same obligations on an individual basis as those applicable to institutions which are not supervised on a consolidated basis. In this regard, the provisions of Article 13(3) of the CRR specifically exempts (in full or part) the pillar 3 disclosure requirements set out in Part 8, for EU parent institutions, institutions controlled by an EU parent financial holding company or EU parent mixed financial holding company, to the extent that they are included within equivalent disclosures provided on a consolidated basis by a parent undertaking established in a third country. However, it is not clear if solo subsidiary banks located in member states which have a parent located in a third country can also avail of this exemption from the pillar 3 disclosure requirements on a solo (individual) basis.

The spirit of Article 6 and 13 would imply that such banks should be exempt from the pillar 3 disclosure requirements to the extent that they are included within equivalent disclosures provided on a consolidated basis by a parent undertaking established in a third country.