Swiss Committee Backs Fee on UBS for Public Liquidity Backstop

Key Facts

A Swiss parliamentary committee backed a fee on UBS for access to a state-backed public liquidity backstop. Reuters reported that the measure is intended to ensure the state is compensated for risks taken when providing financial safety nets to the bank.

The move is part of a broader regulatory response in Switzerland following the state-orchestrated rescue of Credit Suisse. The decision aims to tighten banking oversight on the country's largest lender and ensure taxpayers are protected from the costs of providing liquidity support.