New banking sector measures still not enough to ensure proper industry reform

4 August 2016
New measures announced by the Turnbull Government to address poor banking and financial services practices are still yet to go far enough in reforming the industry for consumers, Maurice Blackburn Lawyers said today.

Maurice Blackburn Principal Josh Mennen said that today’s announcement demonstrated that the Federal Government knew more work was required to clean-up the industry, but the measures again fell well short of the proper scrutiny required for long-term sector reform.

“Clearly the Federal Government has recognised that consumers remain disheartened by the ongoing behaviour of the big banks and the broader financial services industry, and want to see more comprehensive action taken,” Mr Mennen said.

“In our view however, a Royal Commission is the only way forward to properly shine a light on the many poor practices at play within the industry that continue to leave consumers worse off.

“What we are continuing to see is band-aid measures being offered in response to a very significant and widespread problem - measures that repeatedly fail to properly deal with the poor behaviour that is plaguing the industry.

“Such measures on their own are not enough, and consumers deserve better.

“The banking and financial services industry has continued to demonstrate that it is unable to properly regulate itself, or to act appropriately in responding to major problems when they are identified.

“Enough is enough, it is time for a comprehensive inquiry with the powers of a Royal Commission to get to the bottom of these issues and reform the industry once and for all,” he said.