The European Supervisory Authorities (EBA, EIOPA and ESMA – the ESAs) today issued an Opinion on the European Commission’s (EC) rejection of the draft Regulatory Technical Standard (RTS) on subcontracting.
The EC rejected the original draft RTS on subcontracting, which specified further elements that financial entities must determine and assess when subcontracting ICT services that support critical or important functions under the Digital Operational Resilience Act (DORA), on the grounds that certain elements exceeded the powers given to the ESAs by DORA.
Today’s Opinion acknowledges the assessment performed by the EC and confirms that the amendments proposed ensure that the draft RTS is in line with the mandate set out under DORA. For this reason, the ESAs do not recommend further amendments to the RTS in addition to the ones proposed by the EC.
The ESAs encourage the EC to finalise the adoption of the RTS without further delay as submitted to the ESAs.
