Last Thursday’s “position paper” from the SRB said it expected EU27 banks to include a contractual recognition of bail-in clause (under article 55 of BRRD) in new issues of bonds under English law in the event of a hard Brexit. Simple enough. Readers know that two recent issuers have gone farther and reserved the right to change the governing law. The SRB was misreported as saying legacy English law bonds will no longer qualify for MREL. All it said was that this was possible. Readers know that BRRD article 45 requires EU27 banks to “demonstrate” that English law would recognise the effectiveness of a local law decision to write down the bond, having regard to the terms of the contract, international agreements and “other relevant matters”. In any event, new issues should not be a problem – so long as they have the bail-in clause.