Govt needs to show regulatory restraint, says Zurich

Zurich Australia has called on the Government to show restraint in its drive for regulatory reform of the financial services industry.

Regulatory reform must be balanced and must not stifle customer centricity, innovation, choice and competition, said Zurich Financial Services Australia chief executive David Smith.

“Few areas have been spared, with reports and proposed legislation flowing freely,” Smith said. He said while this is understandable given the tumult of the global financial crisis, reform should promote the interests of consumers as well as recognise the interests of all stakeholders.

Smith said Australia is currently seen by overseas investors as overregulated and a hard place to do business.

“The hallmarks of our economy and society are customer centricity, innovation, choice and competition delivered through the free market, with government intervention to correct anomalies,” Smith said. “We need to ensure that regulatory reform stifles none of these things, nor promotes one at the expense of others.”