What does it cost to use T2S?

The delivery-versus-payment fee in T2S is €0.15 per instruction. This price is guaranteed from 22 June 2015 (the start of operations) until the end of 2018. It is based on the estimated cost of T2S and the expected number of transactions.

On 21 June 2018 the Governing Council of the ECB decided that the T2S pricing structure would be realigned in accordance with the T2S Framework Agreement. In doing so, it accepted a proposal by the Advisory Group on Market Infrastructures for Securities and Collateral to increase T2S fees from €0.15 to €0.195 per instruction, plus a temporary surcharge of €0.04 per instruction (see full price list below).

Pricing principles
  • Full cost recovery. The fees charged to participants using the T2S platform are calculated to cover all costs, and there is no profit margin.
  • Simplicity. The market expressed a preference for a simple pricing structure, where each service can be easily identified.
  • Equal prices for all CSDs, regardless of the volumes settled in T2S.
  • Stability of the pricing policy and fee structure, i.e. the prices should not change often or by much, i.e. only when necessary to achieve full cost recovery.
Price list

The T2S pricing structure resulted from a thorough discussion with the market. It balances the market’s strong preference for simplicity with the need to pay for resources used in providing T2S services.

There are several billable items (service items) that are charged to the users of T2S. For simplicity they are grouped into 15 tariff items arranged in three categories: settlement services, information services and account management services. See Mapping of service items with T2S price list for the full list of service items.

The price list below shows the price of each service and its price relative to the DvP price. A number of items are free, on the understanding that this can be changed according to the pricing principles.

Network connectivity costs are not featured in the T2S pricing structure. These costs are covered separately by each CSD, which can choose from among the network providers selected by the Eurosystem.

Service category
(tariff item)
Price Price as a percentage of DvP price Explanation
  Settlement services
Delivery versus payment (DvP) 15 cents 100% per instruction*
Free of payment / payment free delivery 9 cents 60% per instruction*
Account allocation 3 cents 20% per instruction*
Matching 3 cents 20% per instruction*
Intra-position/intra-balance movement 6 cents 40% per transaction
Auto-collateralisation service with payment bank 15 cents 100% per transaction, charged to the collateral provider†
Internal T2S liquidity transfer 9 cents 60% per transfer
Daytime settlement process 3 cents 20% surcharge per instruction *
**Daytime – last two hours, 2pm – 4pm Free 0% surcharge per instruction
Intended settlement day failed transaction 15 cents 100% surcharge per business day failed – both sides*
**Auto-collateralisation service with NCB Free 0% per transaction, charged to the collateral provider
**Instruction marked with “top/high priority” Free 0% surcharge per instruction*
**Cancellation Free 0% per instruction*
**Settlement modification Free 0% per instruction*
  Information services
A2A reports 0.4 cent 25% of total T2S revenues Per business item in any A2A report generated
A2A queries 0.7 cent Per queried business item in any A2A query generated
U2A queries 10 cent Per executed search function
Message bundled into a file 0.4 cent Per message in each file containing bundled messages
Message subscription services ? Per message in a file
Transmissions 1.2 cents Per transmission
  Account management services
**Securities account Free 0% Fee options: a) monthly fee per ISIN in the account or b) monthly fee per account
**Fee per cash account Free 0% Monthly
* Two instructions per transaction will be charged.
** The price for these items is set at zero, based on expected usage. However, should the use of the IT system resources exceed expected levels and adversely affect T2S performance, charging for these items will be reconsidered.
† Auto-collateralisation with payment bank (i.e. client-collateralisation) is charged in line with the use of T2S resources; and only the collateral provider is charged, in accordance with the T2S Framework Agreement. One collateralisation item plus both instructions of each auto-collateralisation leg are charged per ISIN and providing account, i.e. 15 cents * 5 (i.e. 1 collateralisation item + 4 settlement instructions) = 75 cents for each auto-collateralisation service with payment bank.
Conditions for pricing to remain fixed

The price of 15 euro cent per delivery-versus-payment instruction will remain fixed from 22 June 2015 (the start of operations) to 31 December 2018, provided that the following conditions are fulfilled:

  • non-euro currencies add at least 20% to the revenue generated by euro settlement
  • the securities settlement volume in the EU is not more than 10% lower than the volume projected by the ECB based on market advice received yearly