15 May 2017
Sydney, 15 May 2017: The Australian Bankers’ Association has today called for the Federal Government to release analysis of the impact of the major bank levy on the broader economy, including households and businesses.
“It is an understatement to say that this tax requires a thorough Regulatory Impact Statement (RIS),” ABA Chief Executive Anna Bligh said.
“A poorly-designed tax could have consequences for the nation’s finances and for everyday Australians.
“Under the Government’s own guide to regulation, only the Prime Minister can exempt a government entity from the need to complete a RIS, and we urge Prime Minister Turnbull not to do this,” she said.
In a submission lodged to Treasury today, the ABA said the introduction of the proposed new major bank tax disregarded the Government’s own best practice guidelines.
“The Government has failed to meet its own criteria around transparency and accountability in decisions, evidence-based policy development, and effective administration of regulation,” Ms Bligh said.
“Further Treasury analysis is imperative, including on the modelling of the economic impacts of the tax, and banks should be given at least four weeks to respond to the Treasury analysis, the draft legislation and explanatory memorandum.
“A longer consultation period, including engagement between banks and all affected regulators, will help to avoid unintended consequences on the economy and financial system,” Ms Bligh said.
A copy of the ABA submission is attached.
ENDS
Contact: Stephanie Arena 0477 470 677 or Nic Frankham 0435 963 913
Latest news
Major banks and major retailers have reached an agreement with Armaguard to extend their financial contribution for a further six months. This will see Armaguard receive an extension of $25.5 million from July to December. This is in addition to the approximately $50 million already provided over the last twelve months to support cash distribution across… Read more »
The Australian Banking Association (ABA) has released an updated industry guideline setting out best practice for banks when assisting customers experiencing financial difficulty. The updated guideline reflects the industry’s ongoing commitment to support customers when they need it most. ABA CEO Anna Bligh said this guideline builds on the existing obligations as well as the… Read more »
ABA CEO Anna Bligh: Well, here we are on the front line of the fight against scams. This is one of Australia’s largest banks, and the team of people here talking with customers, trying to protect customers and fight against scammers. Today, here we are launching a new piece of technology called Confirmation of Payee…. Read more »