The financial industry will pay more than $246 million toward the cost of running corporate regulator ASIC.
The Australian Securities and Investments Commission said on Friday almost 65 per cent of its $387.7 million in total budgeted resources will be recovered through levies on industry.
"Those who create the need for and benefit from ASIC's regulation will bear the costs, which will be recovered by levies on our regulated entities," ASIC said in its cost recovery implementation statement (CRIS).
The federal government in April last year said it would introduce an industry funding model for ASIC following the recommendation from the Financial System Inquiry (FSI).
The FSI found that the government recovered only a small portion of ASIC's costs directly from banks and other industry participants.
As a result, ASIC's costs were not transparent to industry and the regulator was possibly exposed to an increased risk of funding cuts.
ASIC's costs will be allocated between 48 subsectors of the finance industry, through either a flat or graduated levy, the regulator said.
The final CRIS is subject to ministerial approval and is expected to be published in early 2018.
Share
