In January, the European Parliament, European Council and European Commission published their agreed amendments to the Solvency II Directive, which has been under review since 2020. This represents a significant milestone in the process. The implementation date is still uncertain, with early 2026 as the soonest possibility. This briefing note provides some background on the review and summarises the amendments, with sections discussing the proposed changes to the following: 

• Risk margin
• Solvency capital requirement
• Long-term guarantee measures
• Pillars II and III
• Proportionality

It also includes a comparison to the set of proposed Solvency II reforms in the UK.