BMR — Benchmarks Regulation

The Benchmarks Regulation (BMR) (Regulation (EU) 2016/1011) regulates the provision and use of benchmarks in the European Union. It was introduced in response to the LIBOR scandal of 2012, which uncovered the systematic manipulation of key interest rate benchmarks by banks and severely undermined confidence in financial markets.

The regulation transposes the international IOSCO Principles for Financial Benchmarks of July 2013 into European law. It ensures that benchmarks used as a reference for financial instruments, financial contracts, or measuring the performance of investment funds are provided in an accurate, reliable, and representative manner.

The BMR distinguishes three categories of benchmarks according to their systemic significance: critical benchmarks (such as EURIBOR), significant benchmarks, and non-significant benchmarks. Each category is subject to graduated requirements for governance, transparency, and supervision. Administrators of benchmarks must obtain authorisation or registration from their national competent authority.

In September 2013, the European Commission presented the proposal for the Benchmarks Regulation after the LIBOR scandal and the manipulation of other benchmarks (EURIBOR, foreign exchange benchmarks) had demonstrated the urgent need for regulation. In November 2015, the European Parliament and the Council reached a political agreement. The regulation was adopted on 8 June 2016, published in the Official Journal on 29 June 2016, and entered into force on 30 June 2016. Full application began on 1 January 2018.

Several amendments followed: Regulation (EU) 2019/2089 introduced the EU Climate Transition Benchmarks (EU CTB) and the EU Paris-aligned Benchmarks (EU PAB), as well as ESG disclosure requirements. Regulation (EU) 2021/168 addressed third-country benchmarks and the transition upon cessation of benchmarks; the transition period for third-country benchmarks was extended several times.

The amending Regulation (EU) 2025/914 (the BMR Review) was adopted on 7 May 2025, published on 19 May 2025, and entered into force on 8 June 2025; its provisions apply from 1 January 2026 and narrow the scope to critical and significant benchmarks, EU climate benchmarks, and certain commodity benchmarks. Non-significant benchmarks fall entirely out of scope.

The BMR applies to the provision and use of benchmarks in the EU:

• Administrators: Natural or legal persons that control the provision of a benchmark — they must obtain authorisation or registration from their national authority.
• Contributors: Entities that provide input data for the calculation of a benchmark are subject to a code of conduct and oversight obligations.
• Supervised users: Supervised financial market participants (banks, asset managers, insurers) may only use benchmarks whose administrators are listed in the ESMA register.
• Critical benchmarks: Benchmarks with a total notional amount exceeding EUR 500 billion (such as EURIBOR) are subject to the strictest requirements, including mandatory contributions by contributors.
• EU climate benchmarks (EU CTB/EU PAB): The EU Climate Transition Benchmarks (EU CTB) and EU Paris-aligned Benchmarks (EU PAB) introduced by Regulation (EU) 2019/2089 are subject to specific minimum standards and ESG disclosure requirements; they remain within scope after the 2025/914 reform.
• Third-country benchmarks: Benchmarks from third countries may only be used in the EU if they are integrated into the EU system through equivalence, recognition, or endorsement.

• Authorisation and registration: Administrators of critical and significant benchmarks require authorisation; administrators of non-significant benchmarks require registration with the competent national authority.
• Governance and control: Administrators must establish robust governance structures, including an oversight function that monitors the integrity and quality of the benchmark.
• Methodology and transparency: The calculation methodology must be robust, reliable, and transparent; material changes to the methodology must be subject to prior consultation.
• Input data: Priority use of transaction data; where insufficient, other verifiable data and expert judgement may be used.
• Benchmark statement: Administrators must publish a public statement for each benchmark describing the methodology, essential elements, and potential limitations of the benchmark.
• Third-country regime: Third-country benchmarks may only be used in the EU if the administrator is listed in the ESMA register through equivalence, recognition, or endorsement.
• Cessation planning: Administrators and users must maintain robust plans for the discontinuation of a benchmark (fallback clauses).

The entry nowhere mentions the EU Climate Transition Benchmarks (EU CTB) and EU Paris-aligned Benchmarks (EU PAB) and ESG disclosure obligations introduced by Regulation (EU) 2019/2089. These remain in scope after the 2025/914 reform.

The history text ties Regulation (EU) 2025/914 to a 'political agreement in December 2024'. The regulation 2025/914 belongs to the act adopted 7 May 2025 and published 19 May 2025.

The last_amended field is set to 2024-12-31 and the history refers to a 'political agreement in December 2024'. In fact amending Regulation (EU) 2025/914 was adopted 7 May 2025, published 19 May 2025, and entered into force 8 June 2025.

Benchmarks Regulation had no connections. Linked to MiFID II.