23 January 2014

Government sets about restoring ACCC budget

The Federal Government is continuing to tackle the heavy challenge of Labor’s debt and deficit legacy this time turning its attention to addressing the dire financial position of the Australian Competition and Consumer Commission.

Late last year it was revealed that the ACCC would run out of money in April.

This follows consecutive years of substantial ACCC budget deficits that have consumed the Commission's cash reserves.

The previous Labor Government knowingly left the ACCC on a financially unsustainable footing with no prospect of the Commission operating within the budget prepared by the previous Labor Government for 2013/14 or any of the out-years.

Following this discovery the Government instigated an independent examination of the ACCC's governance, budget controls and financial position.

The Government is actively working with ACCC chairman, Rod Sims to remedy the Commission's dire financial predicament in concert with significant and decisive action to substantially improve the internal governance, organisational leadership, accountabilities, operational efficiencies and financial discipline within the ACCC.