The Dutch Central Bank (De Nederlandsche Bank, DNB) recently published for consultation a draft of the Regulation on Sound Remuneration Policies 2017 (Regeling beheerst beloningsbeleid 2017, the Regulation).
The Regulation will replace the 2014 regulation of the same name. The reason behind renewing and actualising this regulation around sound remuneration are the European sectoral remuneration rules with sector-specific accents. DNB believes that this has indicated the differing nature of the various financial undertakings which are subject to these remuneration rules. Therefore, DNB has decided to seek more connections with the scope of the requirements as set out in the various underlying European directives and the contents of the guidelines that have been issued by the European Supervisory Authorities.
In summary this means that the relevant requirements set out in the Capital Requirements Directive IV will only apply to banks and investment firms within the meaning of the Capital Requirements Regulation. The remuneration requirements for premium pension funds are set out in the Retirement Provision Directive (IORP II) and for insurers in the Solvency II Regulation (EU/2015/35). Sectors which are not subject to European sectoral rules may decide (but are not obligated) in the preparation of the remuneration rules laid down in the Act on the Financial Supervision (Wet op het financieel toezicht) to focus on the rules of affiliated sectors.
The consultation period ends on 13 October 2017.
View the Regulation (Dutch only), 27 September 2017