The 2007-09 financial crisis has highlighted the lack of an effective crisis management framework for cross-border financial institutions. National approaches differed, but broadly speaking authorities either used public money to bail out banks or ring-fenced a bank’s assets within their territory and applied national resolution tools at the level of each entity rather than the level of the cross-border group. This undermined confidence in the international financial system, increased competitive distortions, added to bail-out costs borne by taxpayers, and added to legal uncertainty.