On 12 June 2018, the Bulgarian Presidency of the Council of the EU published a progress report on the work of the Ad Hoc Working Party on the Strengthening of the Banking Union (the AHWP).

The AHWP met 4 times under the Bulgarian Presidency and its discussions related to the European Deposit Insurance Scheme (EDIS) proposal. The discussions were of a technical nature as political discussions on EDIS will only start after sufficient progress has been made on risk reduction measures.

The technical discussions focussed on two alternatives for the initial model of EDIS – re insurance and mandatory lending.  The report (pages 4 to 13) discusses both alternatives and the issues raised at the AHWP meetings. The report also covers the AHWP’s discussions as regards the development of a methodology for calculating risk based contributions based on a data collection launched by the European Commission at the request of the Maltese Presidency (pages 14 to 16 of the report).