{"id":75802,"date":"2025-02-20T06:28:26","date_gmt":"2025-02-19T19:28:26","guid":{"rendered":"https:\/\/riskinfo.com.au\/news\/?p=75802"},"modified":"2025-02-26T10:28:24","modified_gmt":"2025-02-25T23:28:24","slug":"fsc-calls-for-deregulation-agenda","status":"publish","type":"post","link":"https:\/\/riskinfo.com.au\/news\/2025\/02\/20\/fsc-calls-for-deregulation-agenda\/","title":{"rendered":"FSC Calls for &#8216;Deregulation Agenda&#8217;"},"content":{"rendered":"<p>The FSC has welcomed <a href=\"https:\/\/asic.gov.au\/about-asic\/news-centre\/news-items\/asic-proposes-further-relief-for-licensees-under-the-reportable-situations-regime\/#:~:text=ASIC%20is%20proposing%20additional%20relief,reports%20of%20high%20regulatory%20value.\" target=\"_blank\" rel=\"noopener\">ASIC\u2019s proposal<\/a> that financial advice firms need not report breaches under some circumstances.<\/p>\n<p>ASIC proposes there would be no need to report a breach if:<\/p>\n<ul>\n<li>It has been rectified within 30 days from when it first occurred (this includes paying any necessary remediation), and<\/li>\n<li>The number of impacted consumers does not exceed five, and<\/li>\n<li>The total financial loss or damage to all impacted consumers resulting from the breach does not exceed $500 (including where the loss has been remediated), and<\/li>\n<li>The breach is not a contravention of the client money reporting rules and clearing and settlement rules<\/li>\n<\/ul>\n<p>ASIC is inviting feedback on the proposal by 11 March.<\/p>\n<p>However, while the FSC welcomes the proposal, it says more should be done to cut red tape and regulations. It\u2019s calling on both sides of parliament to adopt a deregulation agenda &#8220;&#8230;to boost productivity in the financial services sector&#8221;.<\/p>\n<p>&#8220;It is welcome news the regulator has moved ahead of the Government on this,\u201d says FSC CEO <strong>Blake Briggs<\/strong>.<\/p>\n<figure id=\"attachment_60489\" aria-describedby=\"caption-attachment-60489\" style=\"width: 150px\" class=\"wp-caption alignright\"><a href=\"https:\/\/riskinfo.com.au\/news\/files\/2022\/04\/Blake-Briggs-cropped.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"wp-image-60489\" src=\"https:\/\/riskinfo.com.au\/news\/files\/2022\/04\/Blake-Briggs-cropped.jpg\" alt=\"\" width=\"150\" height=\"180\" srcset=\"https:\/\/riskinfo.com.au\/news\/files\/2022\/04\/Blake-Briggs-cropped.jpg 338w, https:\/\/riskinfo.com.au\/news\/files\/2022\/04\/Blake-Briggs-cropped-250x300.jpg 250w\" sizes=\"auto, (max-width: 150px) 100vw, 150px\" \/><\/a><figcaption id=\"caption-attachment-60489\" class=\"wp-caption-text\">Blake Briggs.<\/figcaption><\/figure>\n<p>A survey of 29 of the FSC\u2019s superannuation, financial advice licensees and funds management members, conducted by Positive Economics, found it costs $3,800 in documentation, senior executive time, and auditor reviews every time a minor breach is reported to ASIC.<\/p>\n<p>Examples of minor and technical breaches cited by the FSC include statements being sent to customers one day late, immaterial typos and other inconsequential oversights such as being a few hours late in removing a document from a website.<\/p>\n<p>FSC also states that if its deregulation proposals were adopted it would save the sector $18m annually.<\/p>\n<p>Briggs says: \u201cThe regulator has acknowledged industry concerns that reporting these minor breaches is excessively burdensome. These proposals go some way to addressing some of the problems. However, more work needs to be done.\u201d<\/p>\n<blockquote><p>&#8230;the proposals are relatively limited in their scope&#8230;<\/p><\/blockquote>\n<p>The FSC survey also found the current increased compliance costs are likely being passed onto consumers through higher fees and slower resolution of breaches.<\/p>\n<p>\u201cBusinesses should continue to identify minor breaches,&#8221; says Briggs. &#8220;However, the requirement to report these to the regulator is what creates unnecessary compliance costs.<\/p>\n<p>\u201cWhile the ASIC proposals to provide additional relief by way of legislative instrument would appear to address some industry concerns, the proposals are relatively limited in their scope.\u201d<\/p>\n<figure id=\"attachment_75806\" aria-describedby=\"caption-attachment-75806\" style=\"width: 1200px\" class=\"wp-caption aligncenter\"><a href=\"https:\/\/riskinfo.com.au\/news\/files\/2025\/02\/FSC-Complaint-Data-Graphic.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-75806\" src=\"https:\/\/riskinfo.com.au\/news\/files\/2025\/02\/FSC-Complaint-Data-Graphic.jpg\" alt=\"\" width=\"1200\" height=\"670\" srcset=\"https:\/\/riskinfo.com.au\/news\/files\/2025\/02\/FSC-Complaint-Data-Graphic.jpg 1200w, https:\/\/riskinfo.com.au\/news\/files\/2025\/02\/FSC-Complaint-Data-Graphic-300x168.jpg 300w, https:\/\/riskinfo.com.au\/news\/files\/2025\/02\/FSC-Complaint-Data-Graphic-1024x572.jpg 1024w, https:\/\/riskinfo.com.au\/news\/files\/2025\/02\/FSC-Complaint-Data-Graphic-768x429.jpg 768w, https:\/\/riskinfo.com.au\/news\/files\/2025\/02\/FSC-Complaint-Data-Graphic-696x389.jpg 696w, https:\/\/riskinfo.com.au\/news\/files\/2025\/02\/FSC-Complaint-Data-Graphic-1068x596.jpg 1068w, https:\/\/riskinfo.com.au\/news\/files\/2025\/02\/FSC-Complaint-Data-Graphic-752x420.jpg 752w\" sizes=\"auto, (max-width: 1200px) 100vw, 1200px\" \/><\/a><figcaption id=\"caption-attachment-75806\" class=\"wp-caption-text\">Data and graphic \/ FSC<\/figcaption><\/figure>\n","protected":false},"excerpt":{"rendered":"<p>The FSC has welcomed ASIC\u2019s proposal that financial advice firms need not report breaches under some circumstances. ASIC proposes there would be no need to report a breach if: It has been rectified within 30 days from when it first occurred (this includes paying any necessary remediation), and The number of impacted consumers does not [&hellip;]<\/p>\n","protected":false},"author":23,"featured_media":75805,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[8,8282,5622],"tags":[],"class_list":["post-75802","post","type-post","status-publish","format-standard","has-post-thumbnail","category-compliance-regulation","category-government","category-superannuation"],"_links":{"self":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/75802","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/users\/23"}],"replies":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/comments?post=75802"}],"version-history":[{"count":0,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/75802\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/media\/75805"}],"wp:attachment":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/media?parent=75802"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/categories?post=75802"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/tags?post=75802"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}