This comes alongside a proposal that would require Switzerland’s largest bank to maintain a greater amount of equity capital.
Published Sun, Sep 27, 2026 · 05:32 PM
Swiss Finance Minister Karin Keller-Sutter has minimized concerns that UBS Group might leave Switzerland to escape stricter capital regulations, asserting that such a decision would likely be more costly than remaining.
“It’s far more financially burdensome and legally complicated to leave Switzerland,” she remarked in an interview with the newspaper Schweiz am Wochenende when questioned about any intention to push UBS out.
“Leaving would mean it would no longer be a Swiss bank. The bank’s operations depend on its Swiss roots, adherence to the rule of law, and the political stability here,” she reportedly stated on Saturday (Sep 26).
Her remarks followed a vote earlier in the week from a majority in the Upper House of Switzerland’s parliament, which backed a plan that would compel UBS, as the nation’s largest lender, to maintain higher equity capital to support its foreign operations.
The bank has estimated this requirement would necessitate an additional US$16 billion in Common Equity Tier-1 capital.
UBS contends that these capital reforms could place it at a competitive disadvantage compared to global rivals and has vowed to continue opposing the proposed measure.
Recent reports indicate that UBS has rekindled discussions about potential strategies to lessen its regulatory burden in Switzerland, possibly by considering a merger with a foreign bank, although no specific details about these talks have been disclosed.
This situation will move to the Swiss Lower House, and it may take some time before a definitive outcome emerges.
“There’s really no requirement for UBS to leave Switzerland. Many analysts believe that the imposed requirements are reasonable and manageable for UBS,” Keller-Sutter shared with Schweiz am Wochenende.
“The capital inflows witnessed by private banks during the Middle East conflicts clearly reflect the confidence in Switzerland as a place for business,” she added.
In a separate conversation with public broadcaster SRF on Saturday, Swiss National Bank president Martin Schlegel echoed similar sentiments.
“Ultimately, UBS needs to decide where its headquarters will be,” he stated.
“It’s an important institution and offers numerous advantages to Switzerland. But Switzerland similarly provides significant benefits to UBS.”
