Royal Commission: changes in progress
12 November 2020
Australia’s banks are ready for the next phase of implementation of Royal Commission recommendations, after the introduction of legislation into federal parliament today.
Implementing the changes remains a priority for the banks, and significant steps have already been taken to respond to the recommendations.
The final report of the Royal Commission includes 76 recommendations; 31 relevant to banks, 8 of which were directed at the industry to implement with the remaining number to be implemented by regulators and Government.
Banks have already fully implemented five of these recommendations, including substantial changes to the Banking Code of Practice, with progress being made implementing the remaining three.
“Australian banks have already been acting on the findings of Commissioner Hayne and remain fully engaged for this next phase”ABA CEO Anna Bligh
“Australian banks have already been acting on the findings of Commissioner Hayne and remain fully engaged for this next phase”, said Australian Banking Association CEO Anna Bligh.
“Banks have partnered with the government during the pandemic to support customers and the economy and look forward to continuing that engagement as the Royal Commission legislation is considered”, she said.
The ABA will continue to work with the Government and regulators on the next round of changes and will be ready for their implementation from next year.
“This is about engaging with the entire banking ecosystem in order to ensure the accessibility of the sector’s services are best serving our diverse community now, and into the future.”
“What is underpinning this bank failure is a number of things, but not least of all, it’s a very niche bank with high exposure to one part of the economy. And that’s the part of the economy that’s been quite volatile and troubled”
The Treasurer has indicated that the federal government is closely monitoring the situation.