The Swiss upper house (Council of States) advanced the post-Credit Suisse capital rules bill in September 2026 by endorsing a 90% CET1 backing requirement for UBS foreign subsidiaries, defeating both the government’s stricter 100% proposal and a bank-favored 50/50 CET1/AT1 compromise by a 29-16 margin. The measure, intended to strengthen the too-big-to-fail framework and protect Swiss taxpayers, now moves to the lower house (National Council) for debate, with final parliamentary resolution projected for late 2026 or 2027 and a possible referendum. Finance Minister Karin Keller-Sutter and the Swiss National Bank have backed higher equity standards, while UBS has warned of competitiveness risks and continued lobbying against the package. With the June 2027 deadline still eight months away and cross-party momentum for tighter oversight, traders see passage of some form of the law as the probable outcome.