Are US banks ready for consolidation?

Are US banks ready for consolidation?

Are US banks ready for consolidation? The US banking sector remains fragmented, with over 4,000 federally insured institutions. Rising regulatory and technology costs create strong incentives for consolidation. Yet, non-crisis mergers and acquisitions have fallen below 50% of the historical average since the global financial crisis (GFC). M&A activity among large banks has dropped to just 10% of pre-GFC levels due to regulators' anti-consolidation stance. Despite this, many in the industry believe this position will eventually change. Source: https://www.oliverwyman.com/our-expertise/insights/2025/jan/key-trends-driving-us-bank-consolidation-and-growth.html