Red tape headache in financial services

Federal Treasury has found that the cost of red tape to financial services industry firms has increased three to fourfold over the past five years. And an Australian Chamber of Commerce and Industry survey has listed government regulations as the second-worst constraint on small business investment. In Treasury's April business liaison survey, financial services firms said they could see too much overlap in the roles of the ACCC, APRA and ASIC. Commonwealth Bank CEO David Murray said it now takes 116 pages of documentation just to open a simple bank account. The ACCI survey found that SMEs singled out GST and BAS compliance in particular.

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