The Government is committed to ensuring that Australia’s financial system is competitive and innovative.
That is why I have tasked the Productivity Commission to hold an inquiry into competition in Australia’s financial system. Competition is central to the Government’s plans to support innovation and economic growth, and deliver better outcomes for consumers and small businesses.
This delivers on the Turnbull Government’s commitment to task the Productivity Commission to review the state of competition in the financial system, made as part of the Government’s response to the Financial System Inquiry.
The Productivity Commission will look at how to improve consumer outcomes, the productivity and international competitiveness of the financial system and economy more broadly, and support financial system innovation, while balancing financial stability objectives.
In doing so it will consider the level of contestability and concentration in key segments of the financial system, including the degree of vertical and horizontal integration. It will also examine competition in the provision of personal deposit accounts and mortgages and services and finance to small and medium businesses.
The Government encourages all parties with an interest in competition in the financial system to consider making a submission to the Commission.
The Inquiry will commence on 1 July 2017 and is due to report to the Government by 1 July 2018.
Further information and the terms of reference will be available on the Commission's website.