Government’s Response To De-Banking

Written by Claude Haiku 4.5 from the extracted text on 28 Feb 2026. It can miss or misread redacted and scanned pages. Check the source before relying on it.

Treasury's May 2024 update on de-banking policy confirms the Government is implementing recommendations from the August 2022 Council of Financial Regulators report (publicly released October 2022). The Government agreed to establish voluntary data collection on de-banking with the four major banks, with consideration of formal collection thereafter. It supported in principle CFR recommendations for banks to implement five transparency and fairness measures and to communicate risk tolerance guidance to affected sectors. The Government noted the CFR's recommendation for funding capability uplift in affected sectors, supporting its objectives while acknowledging its potential. De-banking—when banks decline or withdraw services from customers—prompted CFR analysis citing risks including AML/CTF compliance, sanctions, modern slavery, and fraud. Treasury coordinated stakeholder consultation with major banks, the Australian Banking Association, fintech groups, and remittance providers. The update notes parallel AML/CTF reform consultations by the Attorney-General's Department, with