Australian banks welcome today's proposal from APRA and ASIC to reduce the regulatory burden associated with the Financial Accountability Regime (FAR).
ABA CEO Simon Birmingham said this was a sensible measure announced in the 2026-27 Federal Budget to reduce some of the administrative burden placed on banks related to FAR.
"This is a commonsense and practical proposal to streamline reporting requirements for banks and reduce administrative costs for regulators," Mr Birmingham said.
"It's important that regulators continue to identify areas where they can reduce unnecessary regulatory burden on banks without lowering protections for customers.
"FAR is an important accountability tool but it needs to be just that: focused on applying effective accountability, not excessive paper shuffling. These changes are a step in the right direction after two years of experience in standing up the regime.
"This measure was part of APRA and ASIC's contribution to the Government's Better Regulation reforms announced in the Budget alongside other measures to level the playing field for smaller and medium-sized banks.
"Australian banks stand ready to work with regulators on this proposal and other measures that will seek to get the balance right between compliance obligations and accountability standards."
