Regulatory news

The Australian Prudential Regulation Authority (APRA) has released for consultation a new draft licensing framework for locally-incorporated Authorised Deposit-taking Institutions (ADIs).

The consultation package follows APRA’s 2025 discussion paper on improving the licensing framework for ADIs. When finalised later this year, the changes will implement Action 6 of the Council of Financial Regulators’ Review into Small and Medium-sized Banks – that APRA update its ADI licensing framework to make the application process more transparent and efficient.

Written submissions should be sent to Licensing@apra.gov.au by 31 July 2026.

The consultation paper, draft ADI Licensing Criteria, draft ADI Licensing Guidelines, and non-confidential submissions to APRA’s 2025 consultation are available on the APRA website at: APRA consults on more efficient and transparent bank licensing framework

Ashley Arandez of Hoppers Crossing in Victoria has been sentenced to 5 years and 6 months imprisonment in the County Court of Victoria, after pleading guilty to offences involving dishonest conduct, carrying on an unlicensed financial services business, and recklessly dealing with the proceeds of crime.

View the full media release.

ASIC is calling on all licensees and market participants to urgently strengthen their cyber resilience measures, as frontier artificial intelligence (AI) intensifies the global cyber risk environment.

In an open letter to industry ASIC has urged entities to act now and not wait for advanced AI tools to uplift their cyber security fundamentals and ensure their systems can withstand AI-accelerated threats.

View the full media release.

ASIC has permanently banned property developer Trent Simon Giumelli, of Noosa, Queensland, from providing financial services after finding that he demonstrated serious incompetence and irresponsibility, a disregard for the law, and a lack of fairness, professionalism and trustworthiness.

View the full media release.

The Federal Government has announced plans to strengthen the annual superannuation performance test, with a new consultation process aimed at ensuring the framework continues to protect members without unnecessarily constraining long-term investment opportunities.

The review follows concerns raised during last year’s Economic Reform Roundtable that elements of the current performance test may discourage super funds from investing in sectors capable of delivering strong long-term returns and supporting broader economic productivity.

Importantly, the Government stressed the performance test is “here to stay” and that any reforms will not weaken member protections. Instead, the proposed changes are intended to modernise the framework, better align it with the evolving superannuation landscape, and ensure coverage keeps pace with market developments.

Treasury has been working with industry participants and technical experts since 2025 to assess potential reforms, building on earlier public consultation. The latest consultation paper explores targeted options to remove unnecessary investment barriers while maintaining a robust accountability regime for trustees.

The review will also examine whether the performance test should be expanded to cover a broader range of superannuation products, particularly in light of recent market failures including the collapse of Shield and First Guardian.

The Government said the reforms recognise the growing importance of Australia’s $4.5 trillion superannuation sector in supporting capital flows, innovation and economic growth, while continuing to prioritise improved retirement outcomes for members.

Submissions can be made through the Treasury Consultation Hub and close on 19 June 2026.

The Australian Prudential Regulation Authority (APRA), as part of its ongoing regular review of the standards and guidance that form its prudential framework, has temporarily withdrawn its Guidelines on the Recognition of an External Credit Assessment Institution (the Guidelines).

The Guidelines were last updated in 2013. APRA will provide a further update once the review of the Guidelines is complete.

In the meantime, any questions may be directed to: Questions or complaints