The Single Resolution Mechanism (SRM) is one of the three pillars of the banking union. The Single Resolution Board (SRB), together with national resolution authorities forms the SRM. The other two pillars of the banking union are the Single Supervisory Mechanism (SSM) and a common deposit insurance scheme, which is not yet complete.
The SRB is responsible for resolution planning for all the entities under its remit. This covers the major financial institutions in the countries that form the banking union, which at present is comprised of the countries in the euro area, although it should be noted that the banking union is also open to non-euro area Member States.
An EU Member State can become a participating Member State under the SRM after establishing close cooperation with the ECB in accordance with Regulation (EU) No 1024/2013.