UBS Warns on Swiss Capital Plans as Government Loses Support

UBS Group AG said planned Swiss banking reforms are a threat to the national economy as pressure builds on the government to water down the proposals.

If implemented in its current form, the plan to require full equity backing for foreign subsidiaries would “place a heavy burden on the Swiss economy,” the country’s largest lender said Monday in its formal response to the planned legislation. It would also “jeopardize the continuation of the successful UBS business model,” it said.