The Government has today released a consultation paper seeking stakeholder views on the potential introduction of an industry funding model for the regulatory activities of the Australian Securities and Investments Commission (ASIC).
This consultation forms part of the Government's consideration of findings of the Financial System Inquiry (Murray Inquiry), which recommended that ASIC's regulatory activities be funded by industry.
The Murray Inquiry observed that an industry funding model would provide more funding certainty for ASIC and enhance the transparency of ASIC's costs and operations.
An industry funding model for ASIC would:
- ensure that the costs of the regulatory activities undertaken by ASIC are borne by those creating the need for regulation (rather than all taxpayers);
- establish price signals to drive economic efficiencies in the way resources are allocated in ASIC; and
- increase ASIC's accountability to its stakeholders.
The Government is committed to broad consultation with the community on the potential introduction of industry funding for ASIC, before making any decision.
The Government's decision will also be informed by the findings of ASIC's Capability Review.
I encourage all stakeholders who have an interest in the efficient operation of ASIC to participate in this consultation process.
The closing date for submissions is 9 October 2015.