15 August 2023

Independent review of Franchising Code of Conduct

The Albanese Government is committed to ensuring a fair playing field in franchising and has today announced a comprehensive review of the Franchising Code of Conduct.

The review will be undertaken by eminent small business expert Dr Michael Schaper.

The $170 billion franchising sector is an important employer and contributor to the Australian economy.

A transparent and effective regulatory framework which underpins the relationship between franchisors and franchisees is critical to ensuring confidence in the sector.

Minister for Small Business Julie Collins said the Albanese Government is committed to a framework which promotes positive commercial relationships and fair trade, and doesn’t unduly restrict competitive conduct.

“The review is an opportunity to evaluate the effectiveness of the current regulations, and the Government is very pleased to have Dr Schaper leading this important work,” Minister Collins said.

Dr Schaper has extensive experience with the franchising and broader small business sector.

His review will evaluate previous reforms and bring a number of smaller reviews under one umbrella, including statutory reviews of the Franchise Disclosure Register and New Car Dealership protections in the Code.

Dr Schaper will report his findings and recommendations to the Government. The report will be informed by wide public consultation.

Minister Collins thanked stakeholders in the franchising sector for their engagement so far with the review process.

“I am very grateful for the constructive way in which franchising sector representatives have supported the Government to plan for this important review,” Minister Collins said.

For more information about the review, including the Terms of Reference, please visit the Treasury website.

Further details including a consultation paper will be made available there in due course.