BRUBEG: What Is Changing For Regulated Financial Institutions Now

The Banking Directive Implementation and Bureaucracy Relief Act (Bankenrichtlinienumsetzungs- und Bürokratieentlastungsgesetz, BRUBEG), passed by the German Bundestag on 29 January 2026 in the amended version of the Finance Committee (BT Drs. 21/3897), marks one of the most consequential reforms to the German banking supervisory framework in recent years. It transposes Directive (EU) 2024/1619 (CRD VI) into national law and introduces profound adjustments across, e.g. third country branch regulation, governance, ESG related risk management, corporate transactions and supervisory powers. The bulk of the changes are expected to enter into force at the beginning of Q2 of 2026, at the latest. That leaves institutions with a narrow window to assess impacts and implement necessary changes.