Banking union to treat all institutions in EU the same regardless of size

Under the EU banking union, troubled banks in small countries like Ireland will get the same treatment as those from bigger countries.

During a marathon 16 hours of negotiations aimed at finalising the union, EU member states and the European Parliament decided on rules such as who decides to wind up or restructure a bank and how such a move would be funded.

Germany had been anxious to ensure other countries’ financial institutions could not claim their banking funds, but in a phone call at around 5am yesterday, Wolfgang Schäuble, the finance minister, agreed to the deal.