15 May 2017
Sydney, 15 May 2017: The Australian Bankers’ Association has today called for the Federal Government to release analysis of the impact of the major bank levy on the broader economy, including households and businesses.
“It is an understatement to say that this tax requires a thorough Regulatory Impact Statement (RIS),” ABA Chief Executive Anna Bligh said.
“A poorly-designed tax could have consequences for the nation’s finances and for everyday Australians.
“Under the Government’s own guide to regulation, only the Prime Minister can exempt a government entity from the need to complete a RIS, and we urge Prime Minister Turnbull not to do this,” she said.
In a submission lodged to Treasury today, the ABA said the introduction of the proposed new major bank tax disregarded the Government’s own best practice guidelines.
“The Government has failed to meet its own criteria around transparency and accountability in decisions, evidence-based policy development, and effective administration of regulation,” Ms Bligh said.
“Further Treasury analysis is imperative, including on the modelling of the economic impacts of the tax, and banks should be given at least four weeks to respond to the Treasury analysis, the draft legislation and explanatory memorandum.
“A longer consultation period, including engagement between banks and all affected regulators, will help to avoid unintended consequences on the economy and financial system,” Ms Bligh said.
A copy of the ABA submission is attached.
ENDS
Contact: Stephanie Arena 0477 470 677 or Nic Frankham 0435 963 913
Latest news
Michael McLaren (Host): Well, here we are at the Easter Show, the great celebration of country life in the city, but it’s also an important platform this to better understand the challenges that the regions face. Now, yesterday, we looked at the floods. Today, I want to look at the banks. Now in the regions,… Read more »
The ABA is reminding customers across North and Far North Queensland that they don’t have to tough it out on their own, as they continue to recover from February’s severe flooding event. ABA CEO Anna Bligh recently met with Queensland’s State Recovery Coordinator Andrew Cripps to discuss how banks can assist customers facing financial difficulty… Read more »
Banks stand ready to support customers in western Queensland and parts of New South Wales affected by heavy rainfall and flooding. ABA CEO Anna Bligh said customers don’t have to tough it out on their own and banks have a range of practical measures to assist those facing financial stress. “This is a challenging time… Read more »