Banks want tax breaks for deposits

Banks want new tax breaks on savings accounts to give them access to cheaper money.

Suncorp Bank chief executive David Foster, Westpac deputy chairman John Curtis and ANZ chairman John Morschel said tax incentives to encourage deposits would help banks further reduce their reliance on volatile offshore markets.

Suncorp's Mr Foster said there was a need for further incentives to encourage savings in deposits. “The thing that is going to drive the ability of banks to sustain customers is the ability to have sustainable and affordable funding,” he said. “It's the ongoing challenge for the industry.”

Source: The Australian