Our latest insights

In October, APRA Executive Board Member Suzanne Smith delivered a speech at the ICA Conference 2025. In her speech, Suzanne Smith urged the insurance industry to embrace resilience, innovation, and leadership as core pillars to future proof the industry, at a time of heightened scrutiny around operational resilience, consumer trust, and the evolving risk landscape driven by climate change and artificial intelligence.

The AML Reforms introduce the concept of a 'reporting group'—a flexible model that allows both related and unrelated entities to manage and mitigate ML/TF risks under a single, comprehensive AML/CTF Program.

The introduction of Value Transfer Service obligations under Australia’s AML/CTF reforms significantly broadens the scope of compliance requirements, affecting a wide range of businesses and requiring new processes, technology, and training.

Australia’s AML/CTF reforms represent a fundamental shift from a prescriptive, compliance-based regime to a flexible, outcomes-focused framework – prioritising the effective prevention of money laundering, terrorism financing and proliferation financing, rather than merely following prescriptive rules.

The final amendments to the Anti-Money Laundering and Counter-Terrorism Financing (AML/CTF) Rules, published on 30 August 2025, introduce a series of structural and operational changes following extensive consultation by AUSTRAC and industry feedback.

APRA’s latest reforms are designed to make its banking framework more proportionate, supporting a more competitive banking environment and fostering innovation. For smaller and medium-sized banks, this could mean reduced compliance pressures and more scope to focus on customers and growth.

As Australia moves away from legacy business payment systems like batch payments and cheques, the shift to real-time, account-to-account payments is transforming the way businesses interact – not just with their banks, but with each other.

ASIC’s review of 50 responsible entities revealed outdated and incomplete compliance plans – some missing key regulatory obligations like DDO and IDR entirely. With investigations now underway, responsible entities must act.

ADIs are navigating regulatory reform, digital transformation, and rising fraud risks by strengthening governance, modernising infrastructure, and aligning strategy with compliance to drive resilience and long-term value.

Last week, the Australian Securities and Investments Commission (ASIC) released a report highlighting issues with the superannuation industry's handling of death benefit claims and the impact these have on grieving Australians.

While APRA has acknowledged the achievements of member-owned and not-for-profit funds to-date, it also noted Boards must do more to ensure long-term sustainability of their organisations.

APRA has proposed eight updates to governance and fit and proper requirements for banks, insurers, and superannuation trustees. Businesses must proactively adapt their governance practices to align with these enhanced standards.