Law Reform Commission plays down financial services review outcomes
The Australian Law Reform Commission (ALRC) has sought to play down expectations that its inquiry into the potential simplification of financial services laws will necessarily change the day to day operations of financial services licensees.
In a statement acknowledging the Government’s initiation of the review, the ALRC specifically noted what it had not been asked to do.
“The ALRC is not tasked with recommending policy changes regarding the content of obligations on financial services providers,” it said.
“Rather, the inquiry is more technical in nature and seeks to facilitate a more adaptive, efficient, and navigable framework of legislation ‘within the context of existing policy settings’,” the ALRC said. “The ultimate goal is to achieve meaningful compliance with the substance and intent of the law.”
The terms of reference handed to the ALRC by the Attorney-General, Christian Porter, in September last year asks it to consider what changes are necessary to the Corporations Act and associating regulations to simplify and rationalise the law.
The terms of reference specifically mention promoting robust regulatory boundaries, understanding and general compliance with the law including consistent use of terminology.
Recommended for you
Government has introduced a bill to Parliament to legislate the first stream of the QAR reforms.
ASIC now has a 1:1 ratio when it comes to court success in the enforcement of crypto activities and more action is expected as Treasury seeks to introduce a regulatory framework.
A leading governance body has hit out at “specialist interest groups proposing ad hoc law reform” when it comes to reforms of financial services legislation and believes an independent body is needed.
The release of ALRC’s final report into financial services legislation has highlighted financial advice as a “significant” focus as it seeks to reduce costs and help advisers understand their obligations, alongside the Quality of Advice Review.