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Regulatory Recap | Week commencing 13 April 2026

Date published 16 April 2026
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In this edition of our Financial Services Regulation Newsletter, we focus on key legal developments over the last fortnight.

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Legislation and proposed legislation

Three consultations: Strengthening consumer protection in the superannuation system and ensuring sustainability of the CSLR

On 7 April 2026, the Treasury announced that the government is opening three consultations to give consumers greater protection and trust in the superannuation and financial services sectors. The collapses of the Shield and First Guardian Master Funds, which impacted over 11,000 consumers and more than $1 billion in superannuation funds, have highlighted the need for a comprehensive reform package to address the alleged misconduct surrounding these failures.

The Treasury opened the following consultations:

  • Enhancing member protections in the superannuation system: Seeks feedback on policy options to protect superannuation members, including strengthening superannuation trustee governance standards, creating a safer framework for superannuation switching, restricting or placing greater protections on advice‑fee deductions from superannuation, and requiring platform trustees to compensate members for certain investment failures on their platforms using trustee capital.
  • Compensation Scheme of Last Resort – reform options to support ongoing sustainability: Seeks feedback on options to improve the Compensation Scheme of Last Resort (CSLR), including improving the predictability and structure of funding arrangements, better aligning the scheme as a mechanism of last resort and enhancing recoveries.
  • Curbing lead generation activity: Seeks feedback on options to tackle high‑pressure sales tactics like lead generation and ensuring the sustainability of the CSLR.

Submissions for feedback close 22 May 2026.

Assent: Corporations Amendment (Digital Assets Framework) Act 2026

On 8 April 2026, the Corporations Amendment (Digital Assets Framework) Act 2026 received Royal Assent. The Act amends the Corporations Act to extend the Australian financial services licence (AFSL) framework to digital assets.

For more information, please see G+T Insight or the March Corporate Advisory Update.

Assent: Treasury Laws Amendment (Genetic Testing Protections in Life Insurance and Other Measures) Act 2026

On 8 April 2026, the Treasury Laws Amendment (Genetic Testing Protections in Life Insurance and Other Measures) Act 2026 received Royal Assent. Schedule 2 of the Act amends the Corporations Act to include AFSL exemptions for foreign financial services providers (FFSPs).

For more information, please see G+T Insight or the March Corporate Advisory Update.

ASIC

ASIC remakes non-cash payment facilities instrument

On 2 April 2026, ASIC remade a legislative instrument that provides exemptions for low-risk non-cash payment facilities from different aspects of the financial services licensing regime in the Corporations Act.

ASIC Corporations (Non-cash Payment Facilities) Instrument 2026/167 (ASIC Instrument 2026/167) extends the relief previously provided by ASIC Corporations (Non-cash Payment Facilities) Instrument 2016/211 until April 2031.

ASIC Instrument 2026/167 remakes the relief for the following non-cash payment products:

  • travellers’ cheques, which are exempt from the requirement to provide confirmation of transaction;
  • loyalty schemes and road toll facilities, which are not subject to the financial services laws;
  • prepaid mobile facilities and some non-reloadable gift facilities, which are exempt from the licensing, conduct and disclosure obligations; and
  • low-value non-cash payment products, which are exempt from the licensing, conduct and disclosure obligations.

Relief is also provided so that AFS licensees who provide advice about or arrange for use of payment services do not need to hold an authorisation to do so on their AFS licence.

ASIC InFocus Volume 35 Issue 3 (April 2026)

On 1 April 2026, ASIC published InFocus Volume 35 Issue 3 (April 2026), including updates and information on:

  • Simplification update: more forms enabled for email lodgements – ASIC announced it had enabled another 30 paper forms that can now be submitted via email. Find out more information about ASIC’s simplification initiatives.
  • RegistryConnect: Stabilising and uplifting ASIC’s business registers – ASIC is expected to launch a refreshed ASIC Companies Register search service in June, with a simpler and more intuitive online search experience, making company information easier to access. For more information, visit ASIC’s website.
  • Understanding multiple late fees and how to avoid them – Some companies are surprised to find that one missed update can sometimes lead to more than one late fee. For more information, visit late fees.
  • New dashboard highlights complaints across financial services – ASIC launched a new interactive Internal Dispute Resolution (IDR) data dashboard, giving Australians unprecedented access to consumer complaints data across the financial services sector. Explore the IDR dashboard to understand complaints trends and outcomes.
  • Meet the new Moneysmart.gov.au – Moneysmart has been refreshed with a modern design and an improved digital experience, making it easier for Australians to access clear, independent financial guidance when it matters most. Visit the new Moneysmart to explore practical tools and guidance.

ASIC remakes relief instruments for AFS licensees and overseas banks

On 31 March 2026, ASIC announced it had remade a legislative instrument providing relief for foreign companies that are AFS licensees and foreign authorised deposit-taking institutions (ADIs) and extended other relief following consultation with industry. ASIC Corporations (Foreign Licensees and ADIs) Instrument 2026/121 exempts:

  • Foreign licensees from record keeping obligations, and the requirement to lodge financial statements and have them audited under Div 6 of Pt 7.8 of the Corporations Act 2001.
  • Foreign ADIs from the requirement to hold an AFS licence when dealing in derivatives and foreign exchange contracts on their own behalf.

The new instrument will replace ASIC Corporations (Foreign Licensees and ADIs) Instrument 2016/186. It will expire on 1 April 2031.

ASIC has also extended the operation of ASIC Corporations (Licence Conditions—Treatment of Lease Assets) Instrument 2021/229 for five years to 1 May 2031. This instrument allows certain AFS licensees to include lease assets (right-of-use assets) when calculating their net tangible assets, adjusted surplus liquid funds and surplus liquid funds.

ASIC issues new legislative instrument for operators of employee entitlement schemes

On 30 March 2026, ASIC announced that it has made a new legislative instrument to reflect ASIC’s updated policy for the regulation of employee entitlement schemes under the Corporations Act. ASIC Corporations (Employee Entitlement Schemes) Instrument 2026/199 replaces the existing relief in ASIC Corporations (Employee redundancy funds relief) Instrument 2015/1150, which expired on 1 April 2026. Under the new instrument:

  • scheme operators are required to apply to ASIC for an AFS licence by 1 September 2026;
  • conditional relief is given from the managed investment, product disclosure and hawking provisions of the Corporations Act;and
  • transitional arrangements apply until an AFS licence is granted by ASIC.

More information about the relief available to scheme operators under the new instrument is outlined in ASIC Information Sheet 295 Employee entitlement schemes (INFO 295). ASIC will update standard licence conditions in Pro Forma 209 AFSL conditions (PF 209) and INFO 295 to reflect its policy approach and the new instrument in April 2026.

ASIC remakes technical relief and updated credit disclosure instruments

On 31 March 2026, ASIC announced it had remade two legislative instruments, which give technical relief to AFS licensees and modify required reverse-mortgage disclosures by Australian credit licensees:

In addition to remaking the relief, ASIC has made ASIC Corporations (Amendment) Instrument 2026/116, which incorporates consequential amendments to other ASIC instruments. ASIC will incorporate minor amendments to Regulatory Guide 121 Doing financial services business in Australia (RG 121) in April 2026.

ASIC makes consequential updates following the remaking of relief for generic financial calculators

On 1 April 2026, ASIC updated two regulatory guides and an information sheet: RG 167 AFS licensing: Discretionary powers, RG 276 Superannuation forecasts: Calculators and retirement estimates and INFO 248 Enhanced regulatory sandbox. This is a consequential amendment following the remaking of ASIC Corporations (Generic Calculators) Instrument 2026/41.

See ASIC media release and regulatory tracker.

ASIC remakes two instruments

On 31 March 2026, ASIC announced that ASIC Corporations (Amendment) Instrument 2026/246 extended the expiry date of ASIC Corporations (Margin Lending Relief for Exchange-Traded Instalment Warrants) Instrument 2021/194 to 1 April 2031. ASIC also announced that ASIC Corporations (Exchange-Traded Warrants) Instrument 2026/247 remade ASIC Corporations (Exchange-Traded Warrants) Instrument 2016/886, which is due to sunset on 19 October 2026.

See ASIC regulatory tracker.

ASIC updates relief for securitisation entities from holding an AFS licence

On 10 April 2026, ASIC announced it had remade a legislative instrument exempting securitisation entities from holding an AFS licence. ASIC Corporations (Securitisation Special Purpose Vehicles) Instrument 2026/175 continues the relief provided under ASIC Corporations (Securitisation Special Purpose Vehicles) Instrument 2016/272. ASIC determined that the instrument is operating effectively and continues to form a useful part of the legislative framework. ASIC will also make minor amendments to AFS licensing: Discretionary powers (RG 167) for consistency and clarity.

ASIC ramps up action to protect consumers from AI-powered online investment scams

On 8 April 2026, ASIC announced that it is removing large numbers of harmful social media phishing and investment scam websites, as it warns Australians that artificial intelligence (AI) is super-charging online scam threats. New data shows between 1 January 2025 and 31 December 2025, ASIC coordinated the removal of 11,964 phishing and investment scam websites, which is a 90% increase in takedowns compared to the previous 12-month period when 6,270 were removed.

ASIC updates regulatory guides to reflect remade legislative instruments and regulatory guides

On 9 April 2026, ASIC updated the following regulatory guides to reflect remade legislative instruments and the renamed Product Disclosure Statements: Disclosure and other obligations (RG 168) (released December 2025), remove out-of-date information and align with current ASIC style and drafting practices:

See ASIC regulatory tracker.

ASIC updates regulatory guides and an information sheet following the remaking of electronic lodgement of financial and sustainability reports instrument

On 7 April 2026, ASIC updated the following to reflect the remaking of ASIC Corporations (Electronic Lodgment of Financial and Sustainability Reports) Instrument 2016/181 (see media release) and extension of its relief to Cboe Australia, remove out-of-date information and align with current ASIC style and drafting practice:

See ASIC regulatory tracker.

ASIC updates regulatory guide for derivative transaction reporting

On 7 April 2026, ASICupdated a regulatory guide titled Derivative transaction reporting (RG 251) to reflect changes to the derivative transaction reporting framework since the previous version (effective 21 October 2024), including the commencement of amendments on 20 October 2025.The update also refreshes background references to international standards and guidance used to support harmonised reporting outcomes.

See ASIC regulatory tracker.

APRA

APRA finalises changes to the capital treatment of longevity products to improve retirement outcomes

On 31 March 2026, APRA announced it had finalised amendments to its prudential standards on the capital treatment of longevity products, including annuities, to strengthen the market for retirement income products. The reforms reflect APRA’s commitment to support innovation and reduce unnecessary regulatory constraints, while maintaining strong prudential safeguards. These changes better align capital settings with the long-term nature of longevity liabilities, enhance capital efficiency and creates a more proportionate, risk-sensitive framework.

The reforms will come into effect on 1 July 2026. To support implementation, APRA released a reporting template for insurers who choose to use the annuity investment-linked product and is seeking feedback on the template by 12 May 2026.

APRA releases letter on liquidity treatment of deposits placed with settlement service providers

On 2 April 2026, APRA announced it released a letter to Minimum Liquidity Holdings (MLH) authorised ADIs on the liquidity treatment of deposits placed with settlement service providers (SSPs). The letter seeks to clarify the treatment of deposits placed with SSPs.

APRA releases consultation on remaking Level 3 conglomerate standards

On 31 March 2026, APRA announced it had released a consultation package on remaking Level 3 conglomerate prudential standards. APRA proposes to remake the standards with minor amendments to ensure the standards remain current. Submissions close 29 May 2026.

APRA sector statistics

  • APRA releases Monthly Authorised Deposit-taking Institution Statistics for February 2026 – see APRA statistics.
  • APRA releases private health insurance risk equalisation statistics for 2024–2025 – see APRA statistics.
  • APRA releases intermediated general insurance statistics for December 2025 – see APRA statistics.

AUSTRAC

AUSTRAC InBrief (March 2026)

On 30 March 2026, AUSTRAC published the March issue of InBrief (Issue 22), which brings the latest news and updates from AUSTRAC, including:

AUSTRAC: Public register makes it harder for criminals to launder money through crypto

On 2 April 2026, AUSTRAC announced that Australia’s AML/CTF laws have expanded, strengthening safeguards to make it significantly harder for criminals to launder money through crypto and other virtual assets. The reforms introduce greater oversight of businesses operating in the virtual asset sector, which AUSTRAC continues to identify as a high money‑laundering risk.

AUSTRAC targets financial crime vulnerabilities in foreign-owned banks

On 10 April 2026, AUSTRAC announced it had completed two separate supervisory campaigns targeting different parts of the foreign-owned banking sector:

  • Campaign 1 – Low SMR reporting by foreign bank branches in Australia.
  • Campaign 2 – Money mule risks in foreign bank subsidiaries in Australia.

These campaigns showed that weaknesses in controls and reporting are creating opportunities for criminals to exploit Australia’s financial system. The campaigns examined low suspicious matter reporting (SMR) in foreign bank branches as well as money mule risks in foreign bank subsidiaries. This reflects the very different business models and risk profiles across the sector.

Other bodies and regulators

Treasury: Ending card surcharges to help with the cost of living

On 31 March 2026, the Treasury announced that Australians will no longer pay $1.6 billion a year in surcharges and small businesses will save $910 million when credit and debit card surcharging ends in October. These changes are to take pressure off consumers and businesses and help with the cost of living. In response to this, the Reserve Bank will take steps to end credit and debit card surcharging from 1 October 2026.

G+T articles 

G+T Insight – AFSL exemptions for foreign financial services providers (updated) – Peter Reeves, Georgina Wilcock, Vince Battaglia, Emily Shen, Anthony Basa, Stephanie Choong, Amiinah Dulull, Maya Ruber and Billy Elsum (9 April 2026).

G+T Insight – Australia passes highly anticipated digital asset regulation (updated) – Peter Reeves, Georgina Wilcock, Vince Battaglia, Emily Shen, Anthony Basa, Stephanie Choong, Amiinah Dulull, Maya Ruber and Billy Elsum (9 April 2026).

G+T Insight – NDIS in motion – April 2026 – discusses recent announcements, reminders and updates across the NDIS sector – Peter Munro and David Baddeley (8 April 2026).

G+T Insight – Federal Court clarifies NDIS support funding criteria – discusses the decision in National Disability Insurance Agency v Eastham – Peter Munro and David Baddeley (8 April 2026).

G+T Insight – The shift to long duration storage is inevitable – but current market design is not supporting investment at scale – discusses why it is critical to maintain system reliability in the National Electricity Market – Jamie Guthrie (8 April 2026).

G+T Insight – Remaking relief instrument for non-cash payment facility providers – discusses how ASIC has remade a longstanding relief instrument for certain non-cash payment facilities – Peter Reeves, Georgina Wilcock, Vince Battaglia, Emily Shen, Anthony Basa, Amiinah Dulull and Maya Ruber (7 April 2026).

G+T Insight – Sunscreen shake-up: TGA proposes sweeping sunscreen regulatory reforms – explains why Australia's sunscreen industry is facing a significant regulatory shake-up – Chris Williams and Alexander Hagan (2 April 2026).

G+T Insight– The Competitive Edge Podcast – this episode is titled ‘The Secret Agent: Peter Waters and Andrew Low on the rise and the risks of agentic AI in commerce’ – Moya Dodd and Matt Rubinstein (1 April 2026).

G+T Insight – Payments System Modernisation Tranche 1: key proposals at a glance – summarises the key proposals that will impact payment service providers – Peter Reeves, Georgina Wilcock, Vince Battaglia, Emily Shen, Anthony Basa, Stephanie Choong, Amiinah Dulull, Maya Ruber and Billy Elsum (31 March 2026).

G+T Insight – Remaking of relief instrument for managed discretionary account services – discusses ASIC’s consultation on whether to remake the relief instrument for managed discretionary account services – Peter Reeves, Georgina Wilcock, Vince Battaglia, Emily Shen, Anthony Basa, Stephanie Choong, Amiinah Dulull, Maya Ruber and Billy Elsum (31 March 2026).

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