The Australian Government notes the new Coalition policy announced today to re-regulate banking including new powers to enable the forced divesture of bank assets.
The new Shadow Minister for Finance, Senator Joyce, announced the policy on Sky PM Agenda today:
DAVID SPEERS: Just trying to establish how will you deal with the banks? This is a major concern of yours: the fact that they have been able to amalgamate like this. Could you break them apart again?
JOYCE: You don't even have to; you don't even have to break them apart. You have to suggest to them that those powers could be in place to do that if they aren't more diligent…
Senator Joyce went on to say:
SPEERS: You'd threaten them with some sort of divesture but you wouldn't actually carry through on it?
JOYCE: Oh, no, you'd put everything on the table.
This is the latest in a long line of thought bubbles from Senator Joyce – who is now the second most senior economic spokesperson for the opposition – and he needs to properly explain this new policy and the serious implications it would have for our financial services sector.
The Government looks forward to seeing the full details of this new Coalition policy, including its impact on the stability and growth of Australia's financial services sector.
10 December 2009