Linda Reynolds (WA, Liberal Party) Share this | Hansard source

I too rise to take note of comments by my ministerial colleagues during question time, and I will absolutely address the banking royal commission. The first comment I'd make is that, unusually, I wholeheartedly agree with Senator McAllister's comments commending the government for introducing this royal commission on banking and financial services. I also commend the government on the terms of reference and, in particular, on the timing of it to get in, get it done and implement the recommendations of the many inquiries that have been happening since then.

Despite the demonisation by those opposite of the Australian banks, there is no question that our banking system and our financial sector in general are strong and robust. However, there is also no question that there have been many issues that have to be addressed by this parliament and by our agencies. That is particularly why I commend the government for their approach on this. As early as a few days ago, I was still unconvinced. I was open to the idea, but I was unconvinced it was necessary given the depth and breadth of activities the government has already been taking, and I've said so on the public record. But, after having a look at the terms of reference today and how they intend to go about it, I think that it is the right thing to do at this time, and I will explain why.

Senator Polley was just telling us that those opposite have, for 601 days, been calling for a royal commission into the banking and financial sectors. Guess what? This government, for those 601 days, hasn't been calling for a two-, three-, four- or five-year royal commission which would mean that nothing would have happened in relation to reforms until the end of the inquiry. So, Senator Polley, in the 601 days during which you have been calling for yet another inquiry, what has this government been doing? Let me tell you that what we have been doing is really substantial. In those 601 days during which you were proposing a lawyers' picnic, this government has conducted the Murray financial system inquiry, the Australian Financial Complaints Authority has been established, there are additional resources and powers for ASIC, the Banking Executive Accountability Regime has been introduced, the House of Representatives Standing Committee on Economics has done a significant amount of work, and we have increased competition in the banking sector. So, instead of waiting 601 days for an inquiry, we have taken substantive action which I commend the government for.

But now the government is saying that, given the political events surrounding us, we need certainty for our banking sector. It is a sector which is absolutely vital for our economy, for our national sovereignty and for every single man, woman and child in this country, who need a strong, reliable and secure banking system. All of these reforms and actions that have occurred to date—and if I had another half an hour, Senator Polley, I would happily go through—