Treasury has released an exposure draft of the Banking Regulation 2016 which remakes the Banking Regulations 1966, which is due to sunset on 1 April 2017.

The Regulations principally deal with the financial claims scheme and unclaimed moneys.

The exposure draft proposes design changes to the Regulation to improve its operation, including repealing redundant provisions, simplifying language and restructuring provisions that are difficult to navigate. These changes do not change the substantive meaning or operation of the provisions.

Section 11 (Financial claims scheme) has been simplified and provides a single limit of $250,000 for all entitlements under the scheme, rather than prescribing a method for working out the limit as in the Banking Regulations 1966.

Part 3 (Unclaimed moneys) has been renamed from ‘Miscellaneous’ to ‘Unclaimed moneys’ to better indicate the subject matter and its structure has been improved by splitting the sections into two Divisions.