Regulation Impact Statement Updates
Official website for publishing regulatory impact analysis information for regulatory decisions announced by the Australian Government, COAG and COAG Councils.
‘Open Banking’ – Banking Sector Consumer Data Right
Independent Review – Department of the Treasury
On 13 February 2019, the Government introduced legislation to provide a consumer data right (CDR) over banking data for individuals and businesses.
The banking CDR is designed to give consumers of banking services more control over their information and, thereby, enable more choice in where they take their business, or provide more convenience in managing their money and services. By doing so, the CDR aims to increase competition and enhance consumer welfare. The CDR provides individuals and businesses with a right to access information held by businesses about the transactions they enter into as consumers and to authorise secure access to this data by trusted and accredited third parties. The CDR will also require businesses to provide public access to information on specified products they have on offer.
The Department of the Treasury certified that, collectively, two reports had undertaken a process and analysis equivalent to a Regulation Impact Statement (RIS), specifically, the Data Availability and Use Productivity Commission Inquiry Report and the Review into Open Banking report. The Office of Best Practice Regulation (OBPR) does not assess the quality of independent reviews and RIS-like processes used in lieu of a RIS.
The Treasury estimates average regulatory costs to be $86.6 million a year. The OBPR has agreed to the estimate.