The Turnbull Government is committed to ensuring that ASIC has the resources and powers it needs to combat misconduct in Australia's financial services industry and bolster consumer confidence in the sector. Consistent with this commitment, the Government has today released draft legislation on the second phase of the ASIC industry funding model - the introduction of ASIC fees-for-service.
The introduction of the ASIC industry funding model was a key recommendation of the Murray Financial System Inquiry and is a critical component of the Government's reforms to strengthen ASIC and better protect Australian consumers.
Under the new fees-for-service regime, fees for activities such as processing a licence application will be revised to reflect ASIC's actual costs. This is the final aspect of the ASIC Industry Funding Model and will commence from 1 July 2018.
The Government previously consulted on this measure over November and December 2017. This draft legislation and its explanatory materials reflect the outcomes of this process.
Fees associated with registry activities are excluded from the scope of this proposal.
"An industry funding model is a critical component of the Government's reforms to strengthen ASIC and better protect Australian consumers. Industry funding ensures that the costs of regulation are borne by those that have created the need for it, rather than the Australian public. These proposed amendments allow ASIC to better align its fees, by enabling ASIC to charge a cost reflective fee for the services it provides for a specific entity" the Minister for Revenue and Financial Services, the Hon Kelly O'Dwyer MP said.
Comments on the draft legislation close 24 April 2018 for the Bills related documents and close 1 May 2018 for the regulations related documents. Stakeholders are invited to provide their feedback on the Treasury website.