Competition in the provision of clearing and settlement services
The Financial Services Committee of the Business Law Section of the Law Council of Australia (the Committee) provided a submission to the Treasury in relates to the exposure draft Financial Sector Reform (Competition in Clearing and Settlement) Bill 2023 (the Bill) and accompanying Explanatory Memorandum, which Treasury released for consultation on 23 March 2023.
The Bill proposes amendments to the Corporations Act 2001 (Cth), the Australian Securities and Investments Commission Act 2001 (Cth) and the Competition and Consumer Act 2010 (Cth). Those amendments are intended to facilitate competitive outcomes in the provision of clearing and settlement (CS) services for Australia’s financial markets.
The two core elements of the Bill are:
(a) a framework for the making of CS services rules; and
(b) a framework for resolving disputes with respect to access to CS services provided by a CS facility licensee.