39. Competent authorities should ensure that the overall SREP score assigned on the basis of the aggregate view of the threats from the four SREP elements achieves the following objectives:
i.providing an indication of the institution’s overall viability;
ii. and whether the institution is ‘failing or likely to fail’ in within the meaning of Article 32 of Directive 2014/59/EU;
iii. indicating the likelihood that supervisory measures may need to be taken to address concerns in accordance with the criteria specified in Title 10;
iv. acting as a trigger for the decision on whether to apply early intervention measures in accordance with the EBA Guidelines on triggers for use of early intervention measures; and
v. helping with the prioritisation and planning of supervisory resources and the setting of priorities in the SEP.
40. Competent authorities should base the Overall SREP score on a scale of '1' to '4' reflecting the overall viability of the institution. When the outcome of th
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