The Financial System Inquiry’s final report (issued on 7 December 2014) makes 44 recommendations to improve the efficiency, resilience and fairness of Australia’s financial system.  The Government is consulting on the recommendations before making any decisions, with submissions due by 31 March 2015.  We will continue to monitor the progress of the report.

The Financial System Inquiry released its final report on 7 December 2014 with the aim of outlining a blue print for the Australian financial system over the next decade.  To this end, the final report makes 44 recommendations to improve the efficiency, resilience and fairness of Australia’s financial system.

The final report focuses on 7 themes.

Generally:

  • Funding the Australian economy - removing distortions to efficiency; and
  • Competition - allowing competition and market forces to drive efficiency.

More specifically:

  • Resilience - strengthening the economy by making the financial system more resilient;
  • Lifting the value of the superannuation system and retirement incomes;
  • Innovation – driving economic growth and productivity through policy settings that promote innovation;
  • Consumer outcomes - enhancing confidence and trust by creating an environment in which financial firms treat customers fairly; and
  • Regulatory system - enhancing regulator independence and accountability, and minimising the need for future regulation.

The final report also makes a number of tax observations for consideration by the Tax White Paper.

The Government is consulting on the recommendations before making any decisions.  Submissions are due by 31 March 2015.

See media release dated 7 December 2014.