The Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry (Royal Commission) recommended that a compensation scheme of last resort (CSLR) be established and that the three principal recommendations made in the Supplementary Final Report of the Review of the financial system external dispute resolution and complaints framework (Ramsay Review) should be carried into effect (see recommendation 7.1).
The Government’s response to this Royal Commission recommendation agreed to establish a forward looking CSLR that is industry-funded, operated by the Australian Financial Complaints Authority (AFCA), extends beyond personal advice failures and has design features consistent with the recommendations of the Ramsay Review.
The Government has released for public consultation a discussion paper to further explore and seek views on four aspects of the CSLR. These four aspects are:
- coverage, beyond personal advice;
- funding arrangements;
- compensation to be paid; and
- managing scheme evolution.
You can submit responses to this consultation up until 07 February 2020. Interested parties are invited to comment on this consultation.
While submissions may be lodged electronically or by post, electronic lodgement is preferred. For accessibility reasons, please submit responses sent via email in a Word or RTF format. An additional PDF version may also be submitted.
All information (including name and address details) contained in submissions will be made available to the public on the Treasury website unless you indicate that you would like all or part of your submission to remain in confidence. Automatically generated confidentiality statements in emails do not suffice for this purpose. Respondents who would like part of their submission to remain in confidence should provide this information marked as such in a separate attachment.
Legal requirements, such as those imposed by the Freedom of Information Act 1982, may affect the confidentiality of your submission.
View our submission guidelines for further information.
How To Respond
Address written submissions to:
Financial Services Reform Taskforce
PARKES ACT 2600
Phone: Chris Lyon +61 2 6263 2111