The relationship between the Swiss finance minister Karin Keller-Sutter and the UBS top brass has been strained for some time. Now, however, the tone is becoming noticeably sharper.

During her visit to the Blick editorial team on Monday, Keller-Sutter once again took aim at the bank’s leadership.

«Lobbying of this Intensity is New»

The trigger: the major bank’s lobbying efforts. The finance minister described the approach as unprecedented: «You can have differing opinions. However, it is not common practice to challenge our institutions so forcefully. This is a rather new style in how a company interacts with the state,» she said in the interview.

She added that she has seen very intense referendum campaigns in the past, but emphasized: «The behaviour of a private actor lobbying with this level of intensity is new.»

Last Wednesday, the Federal Council adopted its proposal to amend the Banking Act and presented the implementation of the corresponding ordinances to parliament. The bottom line: the government made certain concessions in response to consultation feedback. However, on the key issue of capital requirements for foreign subsidiaries, it remains firm.

Criticism Also Directed at Parliamentarians

The ball is now in parliament’s court. Keller-Sutter stated: «The Federal Council has fulfilled its responsibility. (…) At the end of the day, the question is which interests will prevail: those of taxpayers or those of UBS.»

The finance minister is unlikely to have an easy time in parliament. Criticism has also come from within her own party, the FDP. «I am a federal councillor, not a party politician. The Federal Council must keep the overall interest in mind and cannot represent the individual interests of a single company,» she responded.

She went further, suggesting that some parliamentarians may be influenced by financial considerations: «I hear from parliamentarians who fear that UBS could reduce its contributions to their party. Such pressure is not easy for parliament to handle.»

In an initial response, UBS sharply criticized the Federal Council’s plans, describing them as «misleading comparisons,» among other things. The bank is set to present its quarterly results on Wednesday and intends to comment further on the government’s proposals at that time.