Request for letters to Treasurer from regulators on seeking actions to reduce compliance costs.

Written by Claude Haiku 4.5 from the extracted text on 27 Feb 2026. It can miss or misread redacted and scanned pages. Check the source before relying on it.

APRA's letter to the Treasurer and Minister for Finance outlines the regulator's approach to supporting productivity growth while maintaining financial system stability. APRA affirms its mandate prioritises a safe and stable financial system, noting international confidence in Australia's banking sector is critical for capital attraction. The letter details APRA's framework for minimising regulatory burden through risk-based, proportionate standards that avoid prescriptive requirements stifling innovation. APRA notes recent international regulatory paring-back (UK ring-fencing and capital standards, US leverage requirements) generally aligns with APRA's existing framework rather than representing new deregulation. APRA commits to targeted improvements rather than comprehensive reforms, emphasising its standards remain subject to regular review, including an upcoming independent assessment by the International Monetary Fund. The response addresses the government's request for substantial, measurable productivity-supporting actions without compromising prudential standards.