How many AFSLs were cancelled in FY24?
ASIC data shows 269 Australian Financial Services Licences (AFSL) were cancelled or suspended during FY24.
In REP 797 Licensing and professional registration activities: 2024 update, the corporate regulator discussed its activity around licensing and how many licences were approved or cancelled during the financial year from 1 July 2023 to 30 June 2024.
It said it received 1,531 licensing and registration applications, and finalised 874 new and variation AFSL applications.
This was a 2 per cent increase in applications, but a 17 per cent decrease in finalisations on the previous year.
When it came to new AFSL applications received during the financial year, 111 were approved with additional regulatory outcomes, 64 were approved without additional regulatory outcome, and 57 were rejected for lodgement. Some 17 were withdrawn before the start of the assessment, and 4 were withdrawn afterwards.
The time taken for an AFSL application to be decided saw 50 per cent decided within 89 days and 90 per cent within 240 days.
Some 269 AFSLs were cancelled or suspended; 29 were cancelled by ASIC, 212 were cancelled at the firm’s request and 28 were suspended. The figure was a 18 per cent decrease from 2022–23.
A further 44 professional registrations were withdrawn and two were refused during the financial year.
ASIC commissioner Alan Kirkland said: “ASIC’s licensing and professional registration function plays a key gatekeeping role by ensuring new licensees and registered professionals meet the necessary thresholds.
“This year we are continuing to improve ASIC’s licensing processes and systems through our stakeholder and applicant engagement process.
“We’re also building a new digital portal for AFS licensees and applicants to make it easier and more efficient to apply for, maintain, and vary their licence, enabling a modern and user-friendly application process.”
AUTHOR
Laura Dew
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