Following UBS’s takeover of Credit Suisse earlier this year, the Swiss consumer pricing supervisor has placed UBS under observation due to competition concerns that may result in higher loan costs.
The watchdog convened with the financial regulatory authority FINMA, the competition supervisor ComCo, and the Swiss National Bank to assess the implications of the merger. The supervisor suggested that the merger could potentially lead to increased loan charges.
The pricing supervisor’s office noted, “The price supervisor assumes that the merged major bank is aware of its social responsibility and will behave accordingly.”
In May 2024, the UBS CEO expressed concerns that delays in IT and data integration during the merger process could pose significant risks.