Since the privatisation of the Commonwealth Bank and State Government Insurance Offices, prices have risen dramatically in the banking and insurance sectors. At the same time, services have fallen dramatically.
The Hayne Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry report, delivered in 2019, pointed out that ASIC and APRA had failed as regulators
On the 7th September 2022, a public forum in Parliament House was held by the Licensed Post Office Group (LPOG), which represents the interests of the almost 3,000 small business community post offices around Australia. They made a case for a government-owned public bank; this received bipartisan support from many politicians across the political spectrum.
I believe that Australians do need the government to provide banking and insurance services in addition to those provided by the private sector.
Some of the benefits and services that could be provided are:
- Increased banking competition in Australia;
- Improved standards of conduct;
- Better banking services for communities
- Guaranteed access to face-to-face banking services for every community, individual, and small business;
- Financial services restored to all communities (many regional towns have lost their banking services);
- Guaranteed savings deposits;
- Greater access to capital for small businesses;
- Support the financial viability of Australia Post and its licensed post offices;
- Contribute to the nation’s economic development.
A postal bank and insurance service will help provide essential services at a reasonable cost and in doing so make the private banks and insurance companies more competitive and accountable.
