The Hon Angus Taylor MP
Shadow Treasurer
The Hon Luke Howarth MP
Shadow Assistant Treasurer
Shadow Minister for Financial Services
Senator Dean Smith
Shadow Assistant Minister for Competition, Charities and Treasury
MEDIA RELEASE
4 July 2024
COALITION FORCES CRUCIAL COST OF LIVING MEASURE BACK ONTO THE AGENDA
The Coalition has successfully forced the “game changer” Consumer Data Right (CDR)
policy back onto the legislative agenda, after the Albanese Labor Government left the
reforms languishing since its introduction in 2022.
After more than fourteen months dormant in the Senate without debate, despite tripartisan support for its passage, a Coalition motion has guaranteed that the CDR, a
crucial cost of living relief measure, will now be considered when the Parliament returns
in August.
Passage of the Treasury Laws Amendment (Consumer Data Right) Bill 2022 would
facilitate “action initiation” under the Consumer Data Right. The reforms would allow
consumers in energy and banking to direct accredited persons to securely instruct on
actions on their behalf, such as making a payment, opening and closing an account,
switching providers and updating personal details.
With inflation continuing to rise and the cost of living and doing business getting worse,
this “action initiation” reform should be a top priority for the Labor Government.
Promoting consumer choice and greater competition is essential to bringing down
prices and the CDR represents a new, secure channel for consumers to control their
data and switch to a better deal.
At Senate Estimates last month in June, Senator Katy Gallagher committed to dealing
with the Bill in the June sitting block. Treasury officials also provided evidence that to
their knowledge “there are currently no plans to change the bill as it is”. However, the
Coalition’s motion was ultimately required to force the Bill back onto the agenda.
In its bi-partisan recommendation for the Bill’s passage, the Senate Economics
Legislation Committee said: “…this framework legislation will place consumers at the
centre of an innovative data-sharing system that protects their privacy.”
Since coming into power, the Albanese Labor Government has treated this key
competition initiative with contempt by pausing expansions of the CDR into insurance,
superannuation and telecommunications, and indefinitely delaying expansion into the
non-bank lending sector.
BACKGROUND
The Treasury Laws Amendment (Consumer Data Right) Bill 2022 was first introduced
into Parliament in November 2022 and received a bipartisan recommendation for its
passage from the Senate Economics Legislation Committee in March 2023.
At Senate Estimates in August, Senator Katy Gallagher committed to dealing with the
Bill in the June sitting block. The Government did not bring the Bill on for debate or pass
the Bill.
Action initiation was originally recommended in Dr Scott Farrell’s 2020 Inquiry into
Future Directions for the Consumer Data Right.
A recent Deloitte report, commissioned by the Commonwealth Bank of Australia, found
the Australian economy would be $16.7 billion larger by 2043 if the Consumer Data
Right expands beyond banking and energy sectors, with approximately 46,800
additional jobs created from the combined effect of greater competition and innovation.
ENDS