FSC says set boundaries for ASIC/APRA
The Financial Services Council (FSC) has sent a strong signal to the Government that it believes Australia’s financial services regulators need to operate within stricter boundaries with respect to Government policy formulation and executive.
The message has been delivered by FSC chief executive John Brogden, who used a speech yesterday to suggest his organisation would be pressing the issue in its submission to the Financial Systems Review.
Addressing an FSC/Deloitte Leadership Series lunch, Brogden said the FSC was evaluating the regulatory architecture of Australia’s financial system “to assess what changes could be made to facilitate it better meeting” a set of principles including efficiency and competitive neutrality.
“We believe that the current twin peaks model is robust and appropriate,” he said. “However, the scope and role of the two regulators needs to be examined.
“On too many occasions over the past few years the Parliament has ceded its authority to regulators,” Brogden said. “We strongly believe the role of Parliament is to write the law and the role of regulators is to enforce it.”
The FSC chief executive said it was on this basis that “the exact boundaries of the regulators need to be set and adhered to”.
AUTHOR
Mike Taylor
Recommended for you
An adviser has received a written reprimand from the Financial Services and Credit Panel after failing to meet his CPD requirements, the panel’s first action since June.
AMP has reported a 61 per cent rise in inflows to its platform, with net cash flow passing $1 billion for the quarter, but superannuation fell back into outflows.
Those large AFSLs are among the groups experiencing the most adviser growth, indicating they are ready to expand following a period of transition and stabilisation after the Hayne royal commission.
The industry can expect to see more partnerships in the retirement income space in the future, enabling firms to progress their innovation, according to a panel.
