The Australian Prudential Regulation Authority (APRA) has released a response paper and draft prudential standard for a third round of consultation on the implementation of the Financial Claims Scheme (FCS) for authorised deposit-taking institutions (ADIs).

The key changes include removing the need for ADIs to submit FCS-related data to APRA on a regular basis for testing and other purposes. ADIs will still need to maintain the systems and data for testing purposes to ensure that the data are readily accessible in a failure situation.

Subject to industry feedback, APRA will release the final prudential standard in late 2011, to take effect from 1 January 2012. Allowing for the two-year transition period, ADIs will need to comply with the standard not later than 31 December 2013, unless they are granted an extended transition.