Prime Minister of Australia
A royal commission into Australia’s banks and the broader fi nancial services sector has been a possibility for some time. The Federal Opposition has been calling for a royal commission since early 2016, and, more recently, Liberal National Party Senator Barry O’Sullivan worked with senate colleagues on efforts to pass legislation to establish a parliamentary commission of inquiry into the banks and fi nancial services industry.
Initially, the Turnbull Government strongly opposed both a royal commission and a parliamentary commission of inquiry, arguing that such an exercise was unnecessary. However, on 30 November, in what one commentator described as “an extraordinary backfl ip”, Turnbull announced that Cabinet had determined that “the only way we can give all Australians a greater degree of assurance about the fi nancial system is through a royal commission into misconduct into the fi nancial services industry.”
The Prime Minister said the royal commission would cover Australia’s banks, wealth managers, superannuation providers and insurance companies. As well as considering their conduct, he said it would also assess the regulators’ ability to identify and address misconduct. The commission will have a reporting date of 12 months, with a final report expected by 1 February 2019.
