ECB Report Highlights Internal Governance Failures as Top Reason for Whistleblowing Reports

The European Central Bank (ECB) has released its first public report on whistleblowing activities within the Single Supervisory Mechanism (SSM), revealing a growing number of reports with internal governance failures accounting for nearly two-thirds of substantiated cases.

The report, which covers 2025 data, shows that out of 592 SSM-related reports received by the ECB and national competent authorities (NCAs), 63% pertained to alleged breaches in internal governance, including risk management and internal controls, suitability of management body functions, and remuneration.

The majority of reports came from persons who work for or are in direct contact with credit institutions, highlighting the importance of whistleblowers in exposing and preventing compliance risks. The ECB and NCAs have set up protected channels to enable reporting of suspected breaches under prudential rules applicable to credit institutions.