The Basel III implementation timeline runs in two large stages: the original capital, liquidity, and leverage rules phased in between January 1, 2013 and January 1, 2019, and the finalized “endgame” package that is still being adopted unevenly around the world. The European Union started its endgame rules on January 1, 2025, the United Kingdom has pushed its start to January 1, 2027, and the United States has not yet finalized its version. As of late 2025, the revised credit risk and operational risk standards along with the output floor are in effect in roughly 80% of Basel Committee member jurisdictions.1Bank for International Settlements. RCAP on Timeliness: Basel III Implementation Dashboard
The 2013 to 2019 Phase-In
Banks began phasing in the higher capital standards on January 1, 2013. By the end of the phase-in, three minimum capital ratios applied, each measured against risk-weighted assets: Common Equity Tier 1 at 4.5%, Tier 1 capital at 6.0%, and total capital at 8.0%.2Bank for International Settlements. Definition of Capital in Basel III – Executive Summary These were bare minimums. Buffers layered on top of them pushed effective requirements higher.
The capital conservation buffer began phasing in on January 1, 2016 at 0.625% of risk-weighted assets, rose in equal annual steps, and reached its full 2.5% on January 1, 2019.3FDIC. Regulatory Capital, Implementation of Basel III, Minimum Regulatory Capital Ratios4Bank for International Settlements. The Capital Buffers in Basel III – Executive Summary5Bank for International Settlements. RBC30 – Buffers Above the Regulatory Minimum6Federal Register. Risk-Based Capital Surcharges for Global Systemically Important Bank Holding Companies
The Liquidity Coverage Ratio phased in on a five-step schedule:7Bank for International Settlements. Basel III: The Liquidity Coverage Ratio and Liquidity Risk Monitoring Tools
- January 1, 2015: 60%
- January 1, 2016: 70%
- January 1, 2017: 80%
- January 1, 2018: 90%
- January 1, 2019: 100% (fully effective)
The leverage ratio became a binding Pillar 1 requirement at 3% of total exposure on January 1, 2018.8Bank for International Settlements. Basel III Leverage Ratio Framework and Disclosure Requirements Globally systemically important banks picked up an additional leverage ratio buffer equal to 50% of their risk-based G-SIB surcharge.9Bank for International Settlements. Leverage Ratio Requirements for Global Systemically Important Banks
The Net Stable Funding Ratio was set to become a minimum standard on January 1, 2018 under the Basel Committee’s schedule.10Bank for International Settlements. Basel III: The Net Stable Funding Ratio Individual jurisdictions moved on their own calendars; the United States did not finalize its NSFR rule until 2021.11Federal Register. Net Stable Funding Ratio: Liquidity Risk Measurement Standards and Disclosure Requirements
The Endgame Package: 2017 Through 2028
The Basel Committee finalized the last major piece of the framework in December 2017 and originally targeted a January 1, 2022 start. The COVID-19 pandemic prompted a one-year deferral to January 1, 2023, and the output floor transition was extended to January 1, 2028.12Bank for International Settlements. Governors and Heads of Supervision Announce Deferral of Basel III Implementation
The endgame package has three main pieces. A revised standardized approach to credit risk assigns more granular risk weights, so residential mortgages, for example, now vary by loan-to-value ratio rather than carrying a single flat weight. Operational risk capital shifts to a new standardized method based on a bank’s income streams, replacing the internal-model approaches that had produced inconsistent results across institutions. And a revised Credit Valuation Adjustment framework addresses losses tied to changes in counterparty creditworthiness on derivatives and securities financing contracts.13Bank for International Settlements. MAR50 – Credit Valuation Adjustment Framework
Output Floor Schedule
The output floor is phased in separately from the rest of the endgame package. It sets a minimum: a bank’s total risk-weighted assets calculated under internal models cannot fall below a fixed percentage of what the standardized approach would produce. The Basel Committee’s schedule runs the floor up over six years:
- Year 1: 50%
- Year 2: 55%
- Year 3: 60%
- Year 4: 65%
- Year 5: 70%
- Year 6: 72.5% (permanent level)
Under the Basel Committee’s post-COVID timeline, the permanent 72.5% level is set for January 1, 2028.14Bank for International Settlements. Finalising Basel III – In Brief Jurisdictions that started later run on correspondingly later calendars. The EU, which began its phase-in in 2025, is running the floor from 50% up to 72.5% by 2030, with additional transitional adjustments that may delay the full bite further.15Deutsche Bundesbank. Basel III Monitoring Once the floor reaches 72.5%, a bank’s internal model can reduce capital requirements by no more than 27.5% compared to the standardized calculation.
Where Each Major Jurisdiction Stands
European Union
The EU began implementing the finalized Basel III reforms on January 1, 2025, making it the first major jurisdiction to bring the endgame rules into force.16European Commission. Basel III Its transposition covers the output floor, the revised credit risk and operational risk standards, and the Fundamental Review of the Trading Book market risk framework. The EU built in jurisdiction-specific calibrations, including transitional adjustments for mortgage risk weights and exposures to unrated corporate borrowers, that soften the near-term impact. Analysts have noted that the floor may not become truly binding for most EU banks until 2030 or later.
United Kingdom
The UK’s Prudential Regulation Authority announced in January 2025 that it would delay Basel 3.1 implementation by one year, to January 1, 2027.17Bank of England. The PRA Announces a Delay to the Implementation of Basel 3.1 The PRA cited the need to monitor developments in other jurisdictions before committing to a start date. Further delays are possible depending on the pace of US finalization.
United States
The US remains the most significant jurisdiction that has not implemented any portion of the finalized Basel III standards. Federal banking agencies jointly proposed endgame rules in July 2023, but the proposal drew intense industry opposition. In September 2024, then-Vice Chair for Supervision Michael Barr outlined a scaled-back re-proposal that would reduce the aggregate capital increase for the largest banks to roughly 9% and narrow the scope of covered institutions.18Federal Reserve Board. Speech by Vice Chair for Supervision Barr on Basel III Endgame
Leadership changes at the Federal Reserve have introduced further uncertainty since then. Current agency leadership has indicated the 2023 proposal will not move forward in its original form and has called for greater tailoring and a broader reassessment of the capital framework. As of mid-2026, the US has not published a final rule, and no firm implementation date has been set. Banks operating in the US continue to follow the existing risk-based capital rules adopted in 2013 and 2019.
Which Banks the Timeline Actually Applies To
Not every bank sits on this timeline. The Basel Committee’s standards are written for internationally active banks, and most member jurisdictions apply at least the core capital and liquidity requirements to all banks above a certain size, with the threshold set by national regulators.
In the US, bank holding companies are sorted into categories by size and complexity. Category I covers G-SIBs. Category II covers firms with $700 billion or more in assets or significant cross-border activity. Category III covers firms at $250 billion or more. Category IV covers firms between $100 billion and $250 billion. Under the 2024 US re-proposal, the finalized endgame reforms would primarily affect Category I through III banks, and firms in the $100 billion to $250 billion band would no longer be subject to most of the endgame changes.18Federal Reserve Board. Speech by Vice Chair for Supervision Barr on Basel III Endgame Community banks with less than $10 billion in assets are not subject to Basel III endgame requirements at all and can use a simplified capital framework.