Bill introduced to ‘bolster’ APRA powers

Treasurer Scott Morrison has announced the introduced of new legislation, designed to “bolster” APRA’s powers through the appointment of up to two deputy chairs, which he claimed would maximise the skills and capabilities available to the regulator.

“Our financial regulators need to have the capacity available to ensure our financial system remains strong and stable. That’s why we are acting to further strengthen APRA’s ability to do its job,” Mr Morrison said.

“The appointment of up to two deputy chairs will provide greater flexibility in the way in which APRA is governed and the allocation of responsibilities to each APRA member. This helps to maximise the skills and capabilities available to APRA within its leadership.”

In March, the government also moved to appoint a deputy chair of the Australian Securities and Investments Commission (ASIC), nominating barrister and Victorian Bar Council member Daniel Crennan to fill the newly created role.

Treasurer Morrison added that such reforms are part of the government’s plans to increase accountability and competition in the financial sector.

“This reform supports the government’s actions to increase accountability and competition in the financial sector,” the Treasurer noted.

“These actions include APRA’s implementation of the Banking Executive Accountability Regime, as well as helping foster competition and drive out complacency among incumbents by supporting the entry of new banks into the sector.

“Monitoring — and where necessary, strengthening — the capabilities of our financial regulators is an ongoing process under the Turnbull government.”

[Related: Nominee for new deputy ASIC chair named]