Minister for Superannuation, Financial Services and the Digital Economy Jane Hume said the creation of ASIC’s regulation unit is another step forward to improve regulatory alignment and cut red tape.

“I want all Australian households to have access to affordable, high-quality financial services and advice,” Ms Hume said.

“The creation of this unit, alongside the $46 million of relief the government announced this morning for financial advice, [is an important step] forward for Australian businesses.”

Assistant Minister to the Prime Minister and cabinet Ben Morton added the implementation of the government’s stewardship approach — focused on minimising regulatory burden while preserving consumer protections — provides a model for other regulators. 

“Regulators are the centre of the Morrison government’s Deregulation Agenda and all regulators need to set clear expectations and what best practice looks like,” he said.

“ASIC is also responding to the Deregulation Agenda by embedding a stewardship culture by committing to providing clear guidance and communication on how it will exercise its powers, thus helping businesses comply with the law with minimum compliance costs and actively and transparently engage with stakeholders and take their feedback into account when making regulatory decisions.

“It is also enhancing its co-operation with other regulators, improving its IT capability and continuing to embed consistent risk management tools and practices across all of its functions and teams, to improve compliance.”

The government noted the regulator is also undergoing ongoing transition of registry functions and implementation of the Modernising Business Registers program — part of the government’s first deregulation package — promote regulatory technology (regtech) and administer an enhanced regulatory sandbox to allow the testing of certain innovative business models without first having to obtain an AFS or credit licence.

Assistant Minister Morton commended ASIC’s commitment to align its performance reporting with the principles of regulator best practice, as outlined in the government’s new Regulator Performance Guide. 

The guide is part of work to increase accountability, promote best practice, support cultural change and build the professionalism of regulators. 

This guide also invigorates Ministerial Statements of Expectations for regulators, along with a Statement of Intent, which identify how regulators will deliver on them. ASIC has been quick to deliver its Statement of Intent, which is also included in its Corporate Plan.