The financial services industry will pay $30 million less to be regulated after the Federal Government released details of the levies that it will be charged to fund the sector’s regulators.
The Federal Government flagged the reduced levies – which translates as less money for the actions of various government regulators – in the recent budget with the Australian Securities and Investments Commission (ASIC) and the and the Australian Tax Office (ATO) facing slight reductions in their levies.
The Australian Prudential Regulation Authority (APRA) will receive a small increase on levies with most of the $30 million stemming from reduced costs related to the implementation of the SuperStream reforms.
Earlier this week The Treasury released the proposed Financial Institutions Supervisory Levies that will apply for the upcoming new financial year with APRA to collect $1.3 million more in the coming financial year than in the past for a total levy collection of $116.9 million.
ASIC will have its levy collection reduced by $3.7 million to $28.5 million, the ATO by $200,000 to $7.3 million and SuperStream by $27.8 million to $71.7 million. Collectively levies will fall from $259 million to $228.7 million and are separate from other regulatory body funding supplied through the budget.
Treasury stated that levies will continue to be used to defray expenses related to consumer protection, financial literacy, and regulatory and enforcement activities undertaken by ASIC, APRA and the ATO.
The reduction in SuperStream levies was consistent, Treasury stated, with the temporary nature of the levy on APRA regulated superannuation funds during implementation of the SuperStream reforms.
