ANZ's dealings with the banking royal commission will cost it about $50 million this year, the bank has revealed.
The bank has reported it spent $16 million on legal and other costs associated with the royal commission in the first half of the year and flagged a $50 million hit for the full year.
In a report released ahead of its May 1 half-year results, ANZ on Monday said it is unable to predict the outcome of the inquiry or what impact it will have on its own business or the broader financial industry.
The update came on the same day that the royal commission heard that before changes to the law five years earlier, the culture inside ANZ's financial planning business rewarded growth ahead of client interests.
ANZ chief risk officer Kylie Rixon admitted that before the introduction of Future of Financial Advice reforms in 2013, the bank's financial planners worked in a culture that emphasised growing the business over the best interests of clients.
"Prior to 1 July 2013, when ANZ determined the financial rewards to advisers it placed greater emphasis on how the financial adviser had grown business as opposed to the quality of services provided to clients," Ms Rixon told the commission hearing in Melbourne.
ANZ has refunded about $220 million to customers over a string of issues such as charging customers the wrong interest rates.
ANZ chief executive Shayne Elliott was the first CEO of the big four lenders - Commonwealth Bank, Westpac, ANZ, National Australia Bank - to publicly back a royal commission, which the federal government established after prolonged resistance to mounting calls for a probe of the scandal-ridden industry.
Mr Elliott said he hoped the royal commission would serve as a watershed moment that would restore the trust of customers and the community.
