<p data-end="256" data-start="0"><a href="https://www.apartments.com.au/developers/sunland-group">Sunland Group</a> has officially lodged plans for its first Gold Coast apartment project since the departure of the Abedian family from the company three years ago, unveiling a new high-rise proposal for a prominent Broadbeach corner site on Old Burleigh Road.</p>

<p data-end="446" data-start="258">The application was submitted by an entity directed by Tom Jamieson, stepson of longtime Sunland leader Soheil Abedian, and Riaz Rezvanipour, brother-in-law of Sahba Abedian, Soheil’s son.</p>

<p data-end="645" data-is-last-node="" data-is-only-node="" data-start="448">Sunland acquired the 1,283 sqm site on the corner of Old Burleigh Road and Armrick Avenue for $9.5 million late last year and is now seeking approval for a <a href="https://www.apartments.com.au/new-apartments/99-101-old-burleigh-road-broadbeach-qld-4218">42-storey tower with 81 apartments</a>.</p>

<p><img alt="First look: Sunland Group returns to Broadbeach with new Old Burleigh Road tower plans" data-entity-type="file" data-entity-uuid="fea2946d-90ee-4cfc-babe-2a8ad5db2cb6" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/pers.png?VersionId=BV0fihJw31nDIQ8ozY_h3GbS8mxDyhnm" /></p>

<p>Designed by <a href="https://www.apartments.com.au/architects/contreras-earl-architecture">Contreras Earl Architecture</a>, the proposed tower at 99-101 Old Burleigh Road would deliver a predominantly larger-format apartment mix aimed at the owner-occupier market. Plans include 17 two-bedroom apartments, 55 three-bedroom apartments, and nine four-bedroom residences across 35 residential levels.</p>

<p>The development also incorporates three basement levels, four podium parking levels, two levels of communal recreation facilities, and rooftop plant and equipment. A total of 189 car spaces are proposed, significantly exceeding the 90 spaces required under the planning scheme.</p>

<p>The architecture adopts a sculpted, curvilinear form, with deep wraparound balconies and integrated landscaping intended to soften the tower’s vertical expression. The planning report states the building’s “slender footprint/form provides a complimentary yet varied built form within the local streetscape” and contributes to “a varied, yet ordered skyline.”</p>

<p data-end="626" data-start="350">Contreras Earl noted in its Architectural Statement that from the early stages, the project addressed a fundamental challenge: how to accommodate the required residential yield while avoiding the conventional model of a tower sitting on a rigid, fully resolved parking podium.</p>

<p data-end="928" data-start="628">“The most direct response would have been to consolidate parking into a singular, flat podium and extrude a repetitive tower above,” the statement said. “While efficient, this approach would result in a consolidated built form with limited engagement with the surrounding landscape and public realm.”</p>

<p data-end="1147" data-start="930">Instead, the conventional podium model was “deliberately rejected”. The architects described the base of the building as “a landscaped architectural condition where structure, planting and circulation are integrated”.</p>

<p data-end="1510" data-start="1149">“Rather than presenting a continuous built mass, the base of the building is articulated through a series of concrete planter elements that organise the podium into a fragmented system,” the statement said. “This approach reduces the perceived bulk of the lower levels while establishing a more permeable interface with the streetscape and adjacent open space.”</p>

<p data-end="1510" data-start="1149"><img alt="Sunland" data-entity-type="file" data-entity-uuid="923fad8d-c960-4527-8fbe-975cf1ddf88d" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-25%20at%2010.32.03%E2%80%AFAM.png?VersionId=pngwb0hYOIUpq9vDw6F2EsOiVuHF3DiX" /></p>

<p>&nbsp;</p>

<p>The site sits within the High Density Residential Zone and inside the City of Gold Coast’s unrestricted “HX” building height area, where the planning framework anticipates intensified residential development tied to the expanding light rail corridor. The planning report notes the area is undergoing “transition toward more intense development forms” given its proximity to Broadbeach, Surfers Paradise, and high-frequency public transport infrastructure.</p>

<p>Positioned directly opposite Broadbeach Park and within walking distance of Florida Gardens light rail station, the development would sit among a rapidly evolving stretch of Old Burleigh Road that has become one of the Gold Coast’s most active apartment development corridors.</p>

<p>The application joins a growing pipeline of luxury residential projects reshaping Broadbeach, including nearby developments by 5Point Projects, Polycell, and Graya.</p>

<p>The planning report argues the project contributes toward the Gold Coast’s long-term housing targets under the South East Queensland Regional Plan, which forecasts the need for more than 100,000 additional high-rise dwellings across the city by 2046.</p>

<section data-scroll-anchor="false" data-testid="conversation-turn-4" data-turn="assistant" data-turn-id="request-WEB:84a2af5e-d7cf-4ddf-922a-f4d44d6c6caa-1" data-turn-id-container="request-WEB:84a2af5e-d7cf-4ddf-922a-f4d44d6c6caa-1" dir="auto">
<p data-end="305" data-is-last-node="" data-is-only-node="" data-start="0">The Abedian family departed Sunland Group in late 2023, ending a four-decade association with the company, and subsequently established the private development firm Abedian &amp; Co. The group is currently delivering <a href="https://www.apartments.com.au/new-apartments/greenmount-residences-cnr-hill-street-and-marine-parade-coolangatta-qld-4225">Greenmount Residences</a> at Rainbow Bay and recently launched <a href="https://www.apartments.com.au/new-apartments/18-mary-avenue-14-18-mary-avenue-broadbeach-qld-4218">18 Mary Avenue</a> in Broadbeach.</p>
</section>


Joel Robinson

First look: Sunland Group returns to Broadbeach new apartment market with new Old Burleigh Road tower plans

<p style="text-align:start">The Minns Labor Government has established the new Bays West Delivery Authority to lead the development&nbsp;of the Bays West Precinct and Blackwattle Bay Precinct.&nbsp;</p>

<p>The Authority is charged with creating Sydney’s newest precinct, a thriving, connected, sustainable hub with White Bay Power Station as its cultural heart. Its vision is to build on the area’s natural, cultural and industrial history to shape a vibrant new neighbourhood.</p>

<p>The precinct will deliver up to 8,500 well-located homes, including a minimum of 10 per cent affordable and essential worker homes. Combine new housing with public open space, opening public access to the waterfront for the first time in more than 100 years, while retaining important deep-water facilities to support Sydney’s working harbour.</p>

<p>Located just minutes from the Sydney CBD and connected to a world-class metro, ferry, walking and cycling links, the Bays West precinct will rebalance housing growth towards well-serviced inner-city locations and help tackle the state’s housing crisis.</p>

<p>The Bays West Delivery Authority,&nbsp;an agency of the Department of Planning, Housing and Infrastructure, will report to the NSW Minister for Lands and Property who already has oversight of major precinct renewal projects including at Blackwattle Bay and Barangaroo.</p>

<p>As part of the broader Bays West transformation, the Minns Government recently announced that a proposal from Lendlease to redevelop part of the Bays West Precinct has progressed to Stage 2 of the NSW Government’s unsolicited proposals process.</p>

<p><img alt="Sydney" data-entity-type="file" data-entity-uuid="2ed71eb9-d8e8-4fa7-b9d1-de4531dcf2f3" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Screenshot%202026-05-25%20at%209.42.31%E2%80%AFAM.png?VersionId=IDryFIbped9SNDg72LEN_EecvhUsOPvp" /></p>

<p>The Minns Labor Government has also confirmed the Bays West precinct will have a new suburb name. This will be the first major suburb built in close proximity to Sydney’s CBD in decades and will encompass the area currently being referred to as Bays West, including Glebe Island and the White Bay Power Station. Served by a new Metro station just five minutes from the CBD, it will become one of the most populous suburbs in the Inner West and one of Sydney’s premier cultural destinations.</p>

<p>An early works program is taking shape, which&nbsp;includes the first stages of an international design competition.&nbsp;</p>

<p>The aim of the Bays West&nbsp;International&nbsp;Design Competition is to&nbsp;ensure design excellence is embedded in the project from the start. The competition will deliver an&nbsp;urban framework that defines the character, ambition and long-term identity of&nbsp;this&nbsp;former industrial precinct as it transitions to a vibrant, inclusive and sustainable residential&nbsp;neighbourhood.</p>

<p>The competition will be led by the Bays West Delivery Authority in partnership with Government Architect NSW.&nbsp;</p>

<p>It will launch with an invitation for a global Expressions of Interest, before moving to an invitation-only stage that will be assessed by a panel that&nbsp;will provide advice to Cabinet who will select a winner.</p>

<p>Premier of NSW, Chris Minns said the establishment of the new Authority is the first step in transforming the Bays West precinct into a vibrant, livable suburb minutes from the Sydney CBD and two stops from Hunter St Station on the Metro West line.</p>

<p>“The Authority will deliver well-located homes close to the heart of the city and integrate the new precinct with Blackwattle Bay and the new Sydney Fish Market.</p>

<p>“This is a generational opportunity to build a new suburb on the city’s edge and open the harbour foreshore to the public for the first time in a century.”&nbsp;</p>

<p>Minister for Lands and Property Steve Kamper said the new Bays West Delivery Authority established by the Minns Government will turbocharge the development of Sydney’s newest suburb.</p>

<p>“The Authority is working at a record pace to deliver an international design competition, planning pathways and a financial model so that this development benefits Sydney with well-designed homes in a central location, close to public transport, jobs, entertainment and essential services.</p>

<p>“If we want Sydney to stay liveable and affordable, we need to be bold about using underutilised government-owned land to deliver homes for the future while making sure essential working harbour functions can be accommodated.”</p>


Bays West Delivery Authority established to "turbocharge" Sydney’s newest suburb

<p>Around 400 additional homes could be built at Southwark Grounds on Port Road, lifting total site capacity from 1300 to around 1700 dwellings.</p>

<p>A recently approved code amendment would allow apartment towers of up to 14 storeys in some areas of Renewal SA’s redevelopment of the former West End Brewery.</p>

<p>Renewal SA Acting Chief Executive Shane Wingard said he welcomed the code amendment, with the increase in heights and homes making a positive impact on the supply of high-quality, well-connected housing close to the city.</p>

<p>“By going higher across some parts of Southwark Grounds, we are adding a substantial number of very well-located homes with little impact on project delivery time or planned open space,” Mr Wingard said.</p>

<p>Since the project officially launched in 2025, Mr Wingard said more than 12,000 enquiries had been received about living at Southwark Grounds.</p>

<p>“The very strong early interest we’ve seen since homes were first released in the precinct reinforces our plans to create more housing opportunities,” he said.</p>

<p>The Southwark Grounds code amendment was launched in December last year, with community engagement undertaken over five weeks from January.</p>

<p>It proposed increasing maximum building heights from eight to 14 storeys on the eastern section of Southwark Grounds, and to 12 storeys across the remainder of the site, with minimum building heights ranging from two to four storeys.</p>

<p>The code amendment was implemented through an Early Commencement policy in late January, allowing developers to quickly explore the viability of increased height and housing yield while other planning processes continue.</p>

<p>One of the first developers delivering apartment sites have already finalised redesigns to increase the number of apartments following the code amendment.</p>

<p>Samaras’ development adjacent to the future Colonel Light Park is now planning to deliver 125 apartments across 11 storeys, significantly greater than original plans of around 50 apartments across four storeys.</p>

<p>The developer is also exploring the potential for additional affordable housing outcomes.</p>

<p>Most of the apartments at Southwark Grounds will be delivered within a master-planned precinct on a large parcel of land on the eastern portion of the site, covering around two-thirds of its 8.4 hectares.</p>

<p>Wingard said detailed precinct planning over the coming months may identify further opportunities to increase yield further that could see total apartment numbers at Southwark Grounds, exceed this number.</p>

<p>Affordable homes at Southwark Grounds will also see a net increase, with Renewal SA maintaining its commitment to a minimum of 20 per cent affordable housing across the development.</p>

<p>&nbsp;</p>

<p>&nbsp;</p>

<p>Civil works have begun across the site, with construction under way on the first new roads surrounding a townhouse precinct in the south‑west corner of Southwark Grounds. This includes Renewal SA’s 17 Founder’s Row homes, which are on track for completion by Christmas.</p>

<p>“We expect to have people living at Southwark Grounds by the end of the year, so delivering roads and public spaces for those residents is among our highest priorities.”</p>

<p>Construction of 40 townhouses off Anderson Street, known as West Village and being delivered by Contour, is forecast to begin in mid‑2026. Kolabb’s Anderson Lane development will follow shortly after, delivering a further 26 townhouses.</p>

<p>Southwark Grounds is a state government‑led urban renewal project now set to deliver around 1,700 homes over the next decade.</p>

<p>Homes will be supported by a supermarket, a range of retail and hospitality offerings anchored by a revitalised Walkerville Brew Tower, a childcare centre, car parking and well‑connected public spaces.</p>


400 new homes planned for Adelaide's former West End Brewery site

<p>Brisbane developer&nbsp;<a href="https://www.apartments.com.au/developers/cavcorp">Cavcorp</a> has lodged plans for a new mixed-use residential development at <a href="https://www.apartments.com.au/new-apartments/55-wyandra-street-teneriffe-qld-4005">55 Wyandra Street</a>, Teneriffe, anchored by an 85-metre public laneway designed to reconnect the suburb’s riverfront with the Gasworks precinct.</p>

<p>The buildings, known as Teneriffe House and Teneriffe Lane, would replace the existing Queensland Cotton head office site with a 15-storey residential tower transitioning to eight storeys toward Helen Street. The project has been designed by Plazibat Architects and lodged as a code assessable development application for 93 apartments across a 3,401 sqm mixed-use site within the Newstead and Teneriffe Waterfront neighbourhood plan.</p>

<p>Central to the scheme is the transformation of an existing service easement into a publicly accessible cross-block connection linking Wyandra and Helen Streets. Cavcorp says the new laneway will act as both a pedestrian shortcut and a landscaped civic space between the Teneriffe Riverwalk, ferry terminal, and Gasworks precinct.</p>

<p><img alt="First Look: Cavcorp unveils Teneriffe House and Teneriffe Lane plans for landmark wellness tower in Teneriffe" data-entity-type="file" data-entity-uuid="26e7f058-b065-4de8-b13d-a2b8cb64dfcc" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/bldg.png?VersionId=sELS0ZKYi361oYipUa1BIKfe_.DLZoFV" /></p>

<p>“The revised proposal delivers a legacy public-realm cross-block link, permanently secured for community use, transforming an existing private easement into a safe, high-quality pedestrian connection between the Teneriffe heritage riverwalk and the Gasworks–Long Island precinct,” the planning report states.</p>

<p>The laneway will sit beneath a large subtropical loggia integrated into the podium levels of the development. The design incorporates deep landscaping, water gardens, lobby spaces, business lounges, and ground-floor apartments to create what Cavcorp describes as a climate-responsive “urban verandah.”</p>

<p>The tower itself has been designed as a slender form with recessed floorplates and curved translucent corners inspired by contemporary Japanese architecture. The building height aligns with the Commercial Road precinct controls, which permit towers up to 15 storeys within proximity to Longland Street.</p>

<p><img alt="First Look: Cavcorp unveils Teneriffe House and Teneriffe Lane plans for landmark wellness tower in Teneriffe" data-entity-type="file" data-entity-uuid="a8a17d40-43b6-4718-b3fd-67676fcbb485" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/pers%202_1.png?VersionId=i3VwDtp5AmL_8InW7w4qRbDFEpb744Jt" /></p>

<p>The project will comprise a mix of larger-format apartments aimed at owner-occupiers, downsizers, and families. The proposed apartment mix includes 11 loggia apartments across the lower levels, 50 four-bedroom Sky-Terrace apartments from levels three to seven, and 32 Sky-Pool Homes occupying the upper tower levels. The Sky-Pool Homes will feature private thermal plunge pools integrated into oversized balconies.</p>

<p>According to the application, the apartments are intended to reinterpret the scale and character of Teneriffe’s woolstore conversions and Queensland homes within a vertical residential format.</p>

<p>“The sky-pool homes build on Cavcorp’s previous projects and introduce a distinct apartment typology to Teneriffe, informed by both local and international precedent and responding to an identified market demand for enhanced safety, space and amenity,” the planning submission notes.</p>

<p>A major focus of the proposal is its five-level wellness and lifestyle offering, extending from the basement through to the rooftop.</p>

<p>Amenities proposed include a rooftop Swim &amp; Racquet Club with a 25-metre Olympic lap pool and tennis court, coworking spaces and libraries, golf simulators, wine storage, concierge facilities, business lounges, pet wash areas, and rooftop longevity-focused wellness spaces with spas, outdoor fitness zones, and landscaped terraces.</p>

<p><img alt="First Look: Cavcorp unveils Teneriffe House and Teneriffe Lane plans for landmark wellness tower in Teneriffe" data-entity-type="file" data-entity-uuid="944b352c-49b9-4247-a4c6-5967b4b69fda" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/amenity.png?VersionId=Ed_qKjAtMwFT.5gfl3jiA9QwdWxSMsaX" /></p>

<p>All parking will be concealed within basement levels accessed from Wyandra and Helen Streets. Cavcorp says the deep-basement engineering approach allows the entire ground plane to prioritise landscaping, pedestrian movement, and active frontage rather than vehicle infrastructure.</p>

<p>The development continues Cavcorp’s concentration in Newstead and Teneriffe, where the Brisbane developer has delivered a number of apartment projects including Lucent, Le Bain, and Luminare, as well as the Long Island Wellness Precinct nearby. Several of those projects have received national design and architecture awards, including recognition under Brisbane’s “Buildings that Breathe” program.</p>


Cavcorp unveils wellness-focused Teneriffe House and Teneriffe Lane apartment buildings

<p>Focus Group Investments has lodged plans for a new apartment development at <a href="https://www.apartments.com.au/new-apartments/64-70-hanover-street-fitzroy-vic-3065">64–70 Hanover Street</a> in Fitzroy, seeking to utilise the Victorian Government’s recently introduced Great Design Fast Track pathway to accelerate approvals for the project.</p>

<p>The proposal is among the latest developments to emerge through the state-led initiative, which was established to fast-track well-designed residential projects in activity centres and transport-connected inner-city locations. The pathway allows qualifying developments that meet elevated design and housing benchmarks to bypass traditional council planning timeframes and instead be assessed directly by the Department of Transport and Planning.</p>

<p>Designed by SJB, the development will comprise a mix of apartments above activated lower levels, with a strong focus on architectural articulation, landscaping, and communal amenity. The design response seeks to balance the industrial character of Richmond’s former warehouse precincts with a more contemporary residential form.</p>

<p><img alt="First look: Focus Group Investments taps Victoria’s Great Design Fast Track for Richmond apartments" data-entity-type="file" data-entity-uuid="abea51cc-d85b-479e-9aef-a589f3b37ca7" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/ground.png?VersionId=e1Kf8EyPWwyiVumtqQ4rM5S4GpOR3CCz" /></p>

<p>Proposed are 63 new dwellings, a wide ranging mix of studio, one-, two-, and three-bedroom apartments, and townhouses and duplexes. They will be spread across a part-three, part-eight storey building.</p>

<p>The Planning and Urban Context Report by Tract says the development is of an "exemplary architectural standard" and has been carefully crafted by SJB Architects.</p>

<p>"Dwellings&nbsp;will benefit from excellent access to natural light, cross-ventilation opportunities and extensive communal space," the report noted.</p>

<p>The architectural material highlights the project’s integration of landscaped elements and communal spaces throughout the building. The proposal also incorporates sustainability initiatives aligned with the Victorian Government’s push for higher-performing apartment developments under the fast-track program.</p>

<p>The Great Design Fast Track was unveiled by the Victorian Government in 2024 as part of a broader housing supply strategy aimed at accelerating the delivery of new homes. Projects assessed through the pathway must demonstrate high-quality architecture, sustainability outcomes, and housing diversity while being located close to public transport and existing infrastructure.</p>

<p><img alt="First look: Focus Group Investments taps Victoria’s Great Design Fast Track for Richmond apartments" data-entity-type="file" data-entity-uuid="afdbe834-8dc4-4a77-a943-ba07bc927348" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/site_11.png?VersionId=0J657j.TaChAZfp93wqJYBTqSsnREJx2" /></p>

<p>Focus Group, founder and led by Paul De Lutiis, is increasingly active across Melbourne’s inner suburbs, targeting well-connected urban renewal locations suited to medium and higher-density residential development. The Fitzroy proposal continues that strategy, leveraging the area’s strong transport links, established retail amenity, and proximity to the CBD.</p>

<p>Fitzroy has been one of the most popular spots for developers and buyers in recent years. The likes of PACE Development Group, SMA Projects, Crema Group and Chapter Group, currently selling projects in the suburb.</p>


First look: Focus Group Investments taps Victoria’s Great Design Fast Track for Fitzroy apartments

Royal Commission

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<h1>
<a href="https://theconversation.com/au/team#jenni-henderson" target="_blank" style="font-family: Tahoma, Helvetica, Arial, sans-serif; font-size: 12.16px;">The Financial Services Royal Commission has </a><a href="https://theconversation.com/the-financial-services-royal-commission-highlights-the-vulnerability-of-many-older-australians-93359">exposed some irresponsible lending</a><a href="https://theconversation.com/au/team#jenni-henderson" target="_blank" style="font-family: Tahoma, Helvetica, Arial, sans-serif; font-size: 12.16px;"><span style="color: #333333;"> by Australia’s biggest banks.</span></a>
</h1>
<p>Some of the revelations from the commission <a href="http://www.afr.com/business/banking-and-finance/financial-services/westpac-hit-outs-at-hayne-inquirys-release-of-mortgage-report-20180507-h0zqw2" target="_blank">have affected certain banks’ share prices</a> but not their profits.</p>
<p>The question is whether the information brought to light by the commission will further push down property prices?</p>
<p><img src="https://images.theconversation.com/files/218408/original/file-20180510-184630-1ac5082.png?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=754&amp;fit=clip" alt=""></p>
<h2>Three out of five experts said yes</h2>
<p><strong><em>Here are their detailed responses:</em></strong></p>
<p><iframe style="border: none;" src="https://cdn.theconversation.com/infographics/270/f98f31e4afcd21aa7d12f014580e8f1594d876cf/site/index.html" frameborder="0" width="100%" height="400"></iframe></p>
<hr>
<p><em><strong>Disclosures:</strong></em></p>
<p><em>Grattan Institute began with contributions to its endowment of $15 million from each of the Federal and Victorian Governments, $4 million from BHP Billiton, and $1 million from NAB. In order to safeguard its independence, Grattan Institute’s board controls this endowment. The funds are invested and contribute to funding Grattan Institute’s activities. Grattan Institute also receives funding from corporates, foundations, and individuals to support its general activities as disclosed on its website.</em></p>
<p><img src="https://counter.theconversation.com/content/96349/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1"><em>Cameron Murray is a senior economist at The Australia Institute and member of the Sustainable Australia political party.</em></p>
<p><span><a href="https://theconversation.com/au/team#jenni-henderson" target="_blank">Jenni Henderson</a>, Section Editor: Business + Economy, <em><a href="http://www.theconversation.com/" target="_blank">The Conversation</a></em></span></p>
<p>This article was originally published on <a href="http://theconversation.com" target="_blank">The Conversation</a>. Read the <a href="https://theconversation.com/we-asked-five-experts-will-the-banking-royal-commission-push-down-property-prices-96349" target="_blank">original article</a>.</p>
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j.ballantyne1990-6AQqhLzZaK

Will the banking royal commission push down prices? Five experts offer opinion

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<div class="cq-article-content-paras section">
<p>The ANZ expects the banking royal commission to probe its treatment of farmers following the Landmark acquisition during the financial crisis.</p>
<p>But chief executive Shayne Elliott says he is not expecting any surprises when the royal commission examines business lending during its next round of hearings, given almost every aggrieved customer has been remediated. </p>
<p>ANZ's purchase of the Landmark loan book from the Australian Wheat Board in 2009 was also a key focus of the 2016 parliamentary inquiry into loan impairments.</p>
<p>The committee heard evidence from a handful of Landmark's customers that ANZ had engaged in deliberate impairments or defaults of performing loans, but said in its final report it was not able to conclusively determine this had occurred. </p>
<p>The treatment of farmers by ANZ, and of developers by Bankwest and CBA, were the main motivation for members of the National Party to threaten to cross the floor of the Parliament late last year to initiate a royal commission into the banks. </p>
</div>
<div class="cq-article-content-media section">Elliott told The Australian Financial Review the next set of royal commission hearings, which begin on May 31, will look into business lending in the agricultural sector.</div>
<div class="cq-article-content-media section"> </div>
<div class="cq-article-content-media section">"We did have some failings with respect to the Landmark portfolio that we acquired," he said.</div>
<div class="cq-article-content-paras section">
<p data-gtm-vis-first-on-screen-7770372_137="29186" data-gtm-vis-total-visible-time-7770372_137="2800">"We acquired it, most of the problems we had came with that acquisition. We were not resourced sufficiently, to first identify the real problems, and then to deal with them in a timely manner. We were wrong. We have said that, and we have remediated (customers)." </p>
</div>
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ANZ readies for Landmark farmers complaints at royal commission

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<p>An AMP planner ran a secret property advocacy business while advising clients to source investment properties from his firm, the banking royal commission has been told.</p>
<p>AMP planner Adam Palmer advised several of his clients to set up self managed super funds to buy investment properties through Property Saint of which he owned 60 per cent.</p>
<p data-gtm-vis-first-on-screen-6236702_632="1524482646666" data-gtm-vis-total-visible-time-6236702_632="4000" data-gtm-vis-has-fired-6236702_632="1">AMP had hired Palmer in May 2013 despite knowing Palmer had been found to have given poor advice previously.</p>
<p>AMP was also told ahead of Mr Palmer’s employment that the planner had been found by Financial Ombudsman Service in 2009 to have provided inappropriate advice to a client by recommending they invest in Basis Capital.</p>
<p>Basis Capital’s high risk Basis Yield hedge fund collapsed in 2008.</p>
<p>AMP did not conduct an audit of his advice until July 2014 when it was revealed he had at least 10 clients not told of his conflict of interest involving Property Saint.</p>
</div>
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<div id="adspot-970x250_728x90-pos2" class="undefined _2rioU" data-google-query-id="CNz3l7Sk0NoCFUxolgodQXUCfQ">
<div id="google_ads_iframe_/21671780509/theage/business/bankingandfinance/bankingroyalcommission_3__container__">AMP was yet to notify Mr Palmer's clients, the royal commission heard.</div>
<div> </div>
<div>Property Saint is a Licensed Real Estate Agency that specialises in buying the right property for our clients and property management.</div>
<div>
<p>Property Saint has industry expertise and great customer service. Its real estate sales are facilitated with a Vendor Advocacy service delivering "excellent results."</p>
<p>Established in 2013, Property Saint claimed its provided "an easy solution for clients to buy property for investments and for primary residence." </p>
</div>
</div>
</div>
</div>
<div class="_1ysFk">
<div class="_1665V undefined">
<p data-gtm-vis-first-on-screen-6236702_632="1524482658571" data-gtm-vis-total-visible-time-6236702_632="4000" data-gtm-vis-has-fired-6236702_632="1">AMP head of advice compliance Sarah Britt told the royal commission AMP would start reviewing Mr Palmer's client files.</p>
<p>"Ideally we would be compensating them now," Ms Britt said, Fairfax Media reported.</p>
</div>
<div class="_1665V undefined">
<p>Senior counsel assisting the commission Rowena Orr, QC, grilled Ms Britt about Mr Palmer's advice to clients.</p>
<p>“Do you accept that Mr Palmer’s conduct was dishonest,” Ms Orr asked Ms Britt.</p>
<p data-gtm-vis-first-on-screen-6236702_632="1524482660572" data-gtm-vis-total-visible-time-6236702_632="4000" data-gtm-vis-has-fired-6236702_632="1">Ms Britt said: “I accept obviously that it’s a matter of grave concern that the adviser hasn’t disclosed his interest in this property business… I accept that it could be interpreted as dishonest.”</p>
<p>AMP also decided to not tell Mr Palmer's new employer Dover Financial Group of Mr Palmer's breaches. ASIC later conducted a review of Mr Palmer’s files at Dover and found multiple breaches of the Corporations Act.</p>
<p>According to ASIC's register of financial advisers, Mr Palmer remains a planner for Dover.</p>
</div>
</div>
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AMP planner ran Property Saint property advocacy

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<p class="post-title entry-title">EXPERT OBSERVER</p>
<p class="post-title entry-title"><a href="http://petewargent.blogspot.com.au/2018/04/housing-finance-at-6-month-high"></a><strong style="color: #333333; font-family: Tahoma, Helvetica, Arial, sans-serif; font-size: 12.16px;"><span style="text-decoration: underline;">Housing finance to slow</span></strong></p>
<div id="post-body-3782979424120573100" class="post-body entry-content">
<div>The Housing Finance figures were released for February 2018 this week, reported as "Housing finance falls in February" (Australian), "Falls felt for February" (Rate City), and so on.</div>
<div> </div>
<div>Interesting interpretations, given that housing finance was...well, up!</div>
<div> </div>
<div>Anyway, having allowed a few days to elapse, here are four thoughts.</div>
<div> </div>
<div><strong><span style="text-decoration: underline;">1 - Loan sizes up</span></strong></div>
<div> </div>
<div>One less well reported thing that I picked up was the rise in the average loan size over the past year to non-first homebuyers. </div>
<br><div class="separator"><a href="https://3.bp.blogspot.com/-sFMQ5qZidWg/WtGJFCzTDCI/AAAAAAAApZs/aQj0azYhYZIaNO6P5i4e-tqwiXO6IcE0gCLcBGAs/s1600/A.jpg" target="_blank"><img src="https://3.bp.blogspot.com/-sFMQ5qZidWg/WtGJFCzTDCI/AAAAAAAApZs/aQj0azYhYZIaNO6P5i4e-tqwiXO6IcE0gCLcBGAs/s640/A.jpg" width="640" height="370" data-original-height="799" data-original-width="1380"></a></div>
<br><div>Across the states, Victoria has been the main driver of rising average loan sizes, although each of the most populous states has seen an increase over the year. </div>
<br><div class="separator"><a href="https://1.bp.blogspot.com/-CTDOLXluGZk/WtGdsxOO_wI/AAAAAAAApa0/gZ5P9igaXOweuEskDqxF_Lbb_8RxHBnmwCLcBGAs/s1600/B1.jpg" target="_blank"><img src="https://1.bp.blogspot.com/-CTDOLXluGZk/WtGdsxOO_wI/AAAAAAAApa0/gZ5P9igaXOweuEskDqxF_Lbb_8RxHBnmwCLcBGAs/s640/B1.jpg" width="640" height="376" data-original-height="813" data-original-width="1377"></a></div>
<br><div>As a result, owner-occupier commitments rose +1.3 per cent in February, and investor loans were up +0.5 per cent, taking total housing finance to a 6-month high of $33.52 billion.</div>
<div> </div>
<div>Drilling the trendlines through the data shows that total housing finance has essentially been flat for 15 months now, while a fair chunk of refinancing has been in evidence within that total.</div>
<br><div class="separator"><a href="https://1.bp.blogspot.com/-1Bjss393W5U/WtGJFgDnoVI/AAAAAAAApZw/njaKD7l4b0YeEKNbUqyQmx4zk0-Po1RswCLcBGAs/s1600/A1.jpg" target="_blank"><img src="https://1.bp.blogspot.com/-1Bjss393W5U/WtGJFgDnoVI/AAAAAAAApZw/njaKD7l4b0YeEKNbUqyQmx4zk0-Po1RswCLcBGAs/s640/A1.jpg" width="640" height="376" data-original-height="812" data-original-width="1377"></a></div>
<br><div><strong><span style="text-decoration: underline;">2 - First homebuyer incentives bite</span></strong></div>
<div> </div>
<div>Another notable trend was that first homebuyer loans were up by a third from a year earlier, driven by New South Wales, where the number of first homebuyers doubled from February 2017.</div>
<br><div class="separator"><a href="https://4.bp.blogspot.com/-5ibkv7O3WjA/WtGJGTuCnxI/AAAAAAAApZ4/1T7jjV8_T0w5zCq41Wx86Xe0xZPWDGBowCLcBGAs/s1600/A3.jpg" target="_blank"><img src="https://4.bp.blogspot.com/-5ibkv7O3WjA/WtGJGTuCnxI/AAAAAAAApZ4/1T7jjV8_T0w5zCq41Wx86Xe0xZPWDGBowCLcBGAs/s640/A3.jpg" width="640" height="382" data-original-height="815" data-original-width="1359"></a></div>
<br><div class="separator"> </div>
<div>Homebuyer commitments for new dwellings rose by +6.6 per cent from a month earlier, but are now in a trend decline from 4-decade highs. </div>
<div> </div>
<div class="separator"><a href="https://1.bp.blogspot.com/-1ntJnZ5ey7U/WtGJHSE47qI/AAAAAAAApaA/uQkffE2SL4sQjzMQMv9_3JghWoZw38fNACLcBGAs/s1600/A6.jpg" target="_blank"><img src="https://1.bp.blogspot.com/-1ntJnZ5ey7U/WtGJHSE47qI/AAAAAAAApaA/uQkffE2SL4sQjzMQMv9_3JghWoZw38fNACLcBGAs/s640/A6.jpg" width="640" height="376" data-original-height="797" data-original-width="1350"></a></div>
<br><div><strong><span style="text-decoration: underline;">3 - Prevalence of non-banks</span></strong></div>
<div> </div>
<div>Thirdly, the trend result for non-bank lending declined in the month, and remains at only around half the peak levels of a decade ago, but will nevertheless remain a key point of interest as lending standards come into focus. </div>
<br><div class="separator"><a href="https://1.bp.blogspot.com/-HIFtpR1pkCw/WtGJHYBPHsI/AAAAAAAApZ8/spmSAsGYg9ME6AkJBC5Jjs_eRtOZTkWHgCEwYBhgL/s1600/A4.jpg" target="_blank"><img src="https://1.bp.blogspot.com/-HIFtpR1pkCw/WtGJHYBPHsI/AAAAAAAApZ8/spmSAsGYg9ME6AkJBC5Jjs_eRtOZTkWHgCEwYBhgL/s640/A4.jpg" width="640" height="388" data-original-height="815" data-original-width="1340"></a></div>
<br><div><strong><span style="text-decoration: underline;">4 - Royal Commission to slow lending</span></strong></div>
<div> </div>
<div>Overall housing finance beat expectations despite a small decline in the actual number of home loans. </div>
<div> </div>
<div>The Reserve Bank of Australia (RBA) noted in its Financial Stability Review that an average of $120 billion of interest-only loans per annum are <strong><span style="text-decoration: underline;">due</span> </strong>for conversion between now and 2021.</div>
<div> </div>
<div>Nothing unknown there, though some people misread that as $480 billion of loans that <strong><span style="text-decoration: underline;">will</span></strong> convert to principal repayments, which isn't going to happen.</div>
<div> </div>
<div>Elsewhere, Moody's reported 30+ day delinquencies at 1.45 per cent, down from 1.52 per cent a year earlier, despite some trouble spots including Gladstone, central Queensland, some suburbs of Perth, and other parts of Western Australia. </div>
<div> </div>
<div>A final point, and a key outcome to watch over the days and weeks ahead is the impact of the Royal Commission into banking misconduct.</div>
<div> </div>
<div>It seems that borrowers will now be required to be provide statements on all debts, a loophole closure which appears likely to be a wise move. </div>
<div> </div>
<div>However, there could be some overreach in terms of brokers needing to audit bank statements to support declared living expenses broken down by category, the aim being to reduce the typical reliance on benchmarks. </div>
<div> </div>
<div>There are many problem with this, not least that borrowers tend to have multiple bank accounts and credit cards these days with different banks.<br><br>Certainly private banking clients and affluent borrowers have never been subjected to such scrutiny, which may lead to some interesting discussions! </div>
<div> </div>
<div>Given that loans are already being assessed at mortgage rates way in excess of the rate actually being paid, it seems like overkill.</div>
<div> </div>
<div>If implemented forcefully this will slow the mortgage market and reduce transaction volumes as brokers and borrowers get to grips with the new requirements.<br><br>Mortgage brokers would presumably also need to consider switching to a fee-for-service model to compensate for the exponential increase in paperwork and compliance.<br><br>Regulators in the UK went through their own mortgage market review (MMR) in 2014 which ultimately lowered the risk of borrowers over-stretching and made the industry more professional.<br><br>The MMR also temporarily gummed up the lending market, so we'll have to see what plays out Down Under. </div>
</div>
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pwargent-M4siyDbqQY

Royal Commission to slow property lending: Pete Wargent

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<p>The financial services Royal Commission seems set to have significant consequences for home borrowers, and the impact will hit a lot quicker than any interim or final report to the Federal Government.</p>
<p>It already seems likely Commissioner Kenneth Hayne will recommend sweeping changes to the home loan industry arising out of just the first few weeks' hearings.</p>
<p>He has uncovered dreadful lending practices by banks and mortgage brokers.</p>
<p>The worst was NAB employees in greater western Sydney accepting cash bribes over the counter in white envelopes to facilitate loans they knew were based on fake documents in order to collect bonuses.</p>
<p>The fraud and bribery came with the manipulation of a mortgage commission incentive program that incentivised gym owners, taxi drivers, hairdressers and sporting clubs who made money by referring customers to the bank.</p>
<p>Then there's the more prevalent, so-called liar loans, where mum and dad borrowers simply skirt around the reality of their income, expenses, debts and assets when filling in their successful loan applications without much checking by the banks.</p>
<p>"By and large customers are poor historians when it comes to identifying their outgoings," Commissioner Hayne drily noted.</p>
<p>The regulatory backdrop has been Wayne Byres, the chairman of the Australian Prudential Regulation Authority, moving over recent times to put the brakes on dubious lending.</p>
<p>Byres has sought to ensure that standards for property lending are prudent, particularly in what he viewed as an environment of heightened risk.</p>
<p>Given the Australian banking system's very high exposure to both the residential mortgage and commercial property markets, APRA's ultimate goal was to protect bank depositors, because it's their money that banks are lending.</p>
<p>You would expect as Commissioner Kenneth Hayne uncovers further misconduct or poor lending oversight, getting an honest home or investment loan will become a lot harder for borrowers.</p>
<p>And any reining in the bank's zealous willingness to lend will trigger the possibility of a Royal Commission-induced credit slowdown.</p>
<p>This could impact on interest rates.</p>
<p>According to Shane Oliver, chief economist at AMP Capital, tighter lending may have the effect of pushing the next interest rate rise back to 2020, rather than 2019.</p>
<p>"It seems a real risk around the issues of lax lending standards is that banks move to a far more rigorous assessment of applications for loans," Shane Oliver noted.</p>
<p>This was unlikely to cause a full-on credit crunch, Oliver forecasts, but more likely a slowing in credit growth.</p>
<p>UBS analysts have warned too there is a growing risk the RBA was under-estimating the downside risk from tightening lending standards.</p>
<p>“While a tightening of mortgage underwriting standards is prudent, it has a material impact on the economy,” UBS noted.</p>
<p>“It must be remembered that house prices are determined by the demand and supply of credit, not the demand for and supply of housing,” UBS advised.</p>
<p><em>This article first appeared in </em>The Daily Telegraph.</p>
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jchancellor-FAypfDUnLy

Financial Services Royal Commission to have big impact on home borrowers

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<p>GUEST OBSERVER</p>
<p>One worrying takeaway from the first week of the Financial Services Royal Commission is how many elderly people are being adversely affected by irresponsible lending.</p>
<p>Such lending is often the result of an agreement with a family member, for example an adult child, to help that person financially by entering into a joint loan. These loans are secured against the older person’s home, which is a huge risk if the loan defaults and the older person cannot service the debt.</p>
<p>To ensure that older people contemplating joint loans are aware of the downside of transactions, there needs to be greater access to legal and financial advice prior to the transaction and better training for bank employees and loan officers about responsible lending obligations and the potential “unsuitabilty” of such loans.</p>
<p>Consideration should also be given to larger penalties for banks that provide unsuitable loans to older people.</p>
<p>Other examples we have seen this week include an elderly woman who has been paying off the same A$1,000 since the 1990s, and a 72-year-old nurse who was permitted to borrow more than A$3 million to buy 11 investment properties.</p>
<p>On the face of it, there are laws that should safeguard elderly consumers from “getting in over their head”.</p>
<p>When a consumer applies for credit, the National Consumer Credit Protection Act obliges a credit provider to make reasonable inquiries about the consumer’s financial situation and their requirements and objectives.</p>
<p>In so doing, the credit provider must take reasonable steps to verify the consumer’s financial situation. This means that payments must be able to be made without substantial hardship to the consumer.</p>
<p>However, the Consumer Action Law Centre says that “it is common that these steps are not adequately followed by lenders”.</p>
<p>Even if these steps are followed, the legislation does not define “substantial hardship”. There is a presumption that if a consumer must sell their principal residence to pay back a loan, this demonstrates substantial hardship.</p>
<p><strong>Emotional lending</strong></p>
<p>Of particular concern is when an older person is persuaded to enter into a joint loan with a third party, such as their son or daughter. These loans are invariably secured by the older person’s property, with the younger person agreeing to pay off the debt.</p>
<p>If the adult child does not pay off the debt, the older person – who is often asset-rich but income-poor – may be unable to service the loan. The older person’s property will be repossessed by the lender, forcing them to relocate, enter the rental market, or even become homeless.</p>
<p>The loans may arise simply because the older person wants to help their adult child through a difficult financial period. It is understandable that a parent would want to help if a business is failing or a child is at risk of losing their house.</p>
<p>But such loans often arise within an atmosphere of crisis (real or exaggerated), in which the adult child pressures the older person into entering into the loan.</p>
<p>In extreme cases, older people have been told that they will be unable to see their grandchildren if they do not enter into loans.</p>
<p>It is not always that the older person is vulnerable per se, but that they are “situationally vulnerable” because of concern for the well-being of a child, or the desire to maintain relationships.</p>
<p>The reality is that it is often difficult for the older person to refuse.</p>
<p>Karen Cox of the Financial Rights Legal Centre noted at the Royal Commission that these loans are: "outright exploitative … elderly persons [are] left in dire circumstances as a result of a loan for which they’ve seen absolutely no benefit."</p>
<p>Similar comments apply to other financial transactions made for the benefit of a third party such as entering into a “reverse mortgage”. This is where the older person takes out a loan against the equity built up in a home (or other asset), with the money given to a child to buy a house or prop up their business.</p>
<p><strong>What could be done?</strong></p>
<p>Advocates are rightly concerned about the financial consequences for older people who enter into such loans. However, the property does belong to the older person and they are entitled to make whatever decisions they want, including risky ones.</p>
<p>Elderly people should be fully informed of their obligations and the potential consequences, should a transaction goes wrong. Banks could lead the way with this.</p>
<p>One initiative would be for the banks to contribute to legal and financial advice for older people, or subsidise the provision of such advice at community legal centres.</p>
<p>Loan assessors and brokers must also be made aware of the risks of such transactions.</p>
<p>The Australian Bankers Association is introducing enhanced measures to address elder financial abuse and the risks associated with such loans should be emphasised.</p>
<p><img src="https://counter.theconversation.com/content/93359/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1">Finally, the government should consider tougher penalties against credit providers who disregard responsible lending obligations. Presently, if a bank is found to have lent irresponsibly they will simply compensate the consumer for the loss. Meaningful penalties that deter reckless lending should be considered.</p>
<p><em><strong>Eileen Webb</strong>, Professor, Curtin Law School, Curtin University</em></p>
<p><em>This article was originally published on <a href="http://theconversation.com" target="_blank">The Conversation</a>. Read the <a href="https://theconversation.com/the-financial-services-royal-commission-highlights-the-vulnerability-of-many-older-australians-93359" target="_blank">original article</a>.</em></p>
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The Financial Services Royal Commission highlights the vulnerability of many older Australians: Eileen Webb

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<p>A Royal Commission-induced credit slowdown could push the next interest rate rise back to 2020, according to Shane Oliver, head of investment strategy and economics and chief economist at AMP Capital.</p>
<p>"We are only two weeks into the Royal Commission, but it seems a real risk around the issues of lax lending standards is that banks move to a far more rigorous assessment of applications for loans," Shane Oliver noted.</p>
<p>"This is most unlikely to cause a full-on credit crunch, but the end result could be much tougher lending standards and a slowing in credit growth.</p>
<p>"Its early days yet but it’s worth keeping an eye on.</p>
<p>"It could serve to further delay any move to higher interest rates by the RBA, into say 2020," Oliver suggested.</p>
<p>Oliver anticipates more rigorous attention to lending in terms of each applicant’s income, expenses, assets and other debts.</p>
<div>
<p>Rowena Orr, QC, the senior counsel assisting the Hayne royal commission, has already revealed serious breaches committed by the banks and mortgage brokers.</p>
<p>There have been instances where banks had breached their statutory obligations under the National Consumer Credit Protection Act as well as under the Corporations Act to provide financial services "efficiently, honestly and fairly."</p>
<p>There appears to have been a failure to ensure that customers were not disadvantaged by conflicts of interest.</p>
</div>
<div>Bankers had not adhered to National Credit Act in making loans without making reasonable inquiries about the customer's financial circumstances.</div>
<div> </div>
<div>Bank staff frequently receive incentive payments based on the volume of products sold, rather than on ensuring that the bank met responsible lending obligations. It already seems likely Commissioner Kenneth Hayne will recommend sweeping changes to the country's home loan industry. </div>
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Royal Commission-induced credit slowdown could push interest rates rise back to 2020: Shane Oliver

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<p>Comparison website RateCity has welcomed the federal government’s decision to hold a Royal Commission into Australia’s financial sector.</p>
<p>RateCity CEO Paul Marshall said the only way to restore public trust in our financial sector was through a Royal Commission.</p>
<p>“Australians rely on financial products every single day," Marshall said.</p>
<p>"They hold the keys to our homes. They are the keepers of our retirement.</p>
<p>“We all agree banks are a fundamental to our economy but they are also fundamental to our society. We expect our banks to lend responsibility and help us manage our finances.</p>
<p>“Every Australian is entitled to financial products that are honest and fair. The government is right to focus on this point.</p>
<p>“We would like to see changes that make financial services more transparent and easy-to-understand. Any recommendations should focus on increasing competition and reducing costs for consumers, not the reverse.</p>
<p>“Australia’s big banks have been at the forefront of a long list of scandals and wrongdoings for too long. We’re well past the mea cupla stage.</p>
<p>“It’s time to look at the culture inside our banks and make sure it is in line with community values,” Marshall said.</p>
<p>Mr Turnbull’s announcement comes after the chief executives of the big banks, the Commonwealth, Westpac, National Australia and ANZ banks requested the government step in to  aunch an inquiry.</p>
<p>It was in an email sent to Treasurer Scott Morrison yesterday.</p>
<p>Treasurer Scott Morrison dubbed the Royal Commission a “regrettable but necessary action”.</p>
<p>Leader of the opposition Bill Shorten took to Twitter to take a dig at Prime Minister Malcolm Turnbull.</p>
<p>He tweeted "Is Malcolm Turnbull the last person in Australia who doesn't see the need for a Banking Royal Commission?"</p>
<p>Heritage Bank welcomed the Royal Commission into the banking sector, however Heritage Bank CEO Peter Lock said that the customer-owned banking sector, which included Heritage, should not be dragged into an inquiry based on the alleged wrong doings of the big banks. </p>
<p>“The whole issue of the need for an inquiry into the banking sector has been used as political football for far too long,” Mr Lock said. </p>
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jonathanchancellor-7SQnKwU6yx

Banking royal commission should focus on an honest and fair financial system

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<p><img src="https://counter.theconversation.edu.au/content/64216/count.gif" alt="The Conversation" width="1" height="1"></p>
<p>GUEST OBSERVER</p>
<p>Bill Shorten is continuing to press for a banking royal commission by highlighting rising bank profits and escalating consumer complaints in recent years.</p>
<p>Shorten said the tribunal that some government MPs – including Liberal Warren Entsch and Nationals John Williams – are urging be set up to consider grievances would not solve the problem.</p>
<p>The backbenchers want the tribunal to be a forum to give redress without victims facing expensive legal costs; they say it should also be able to impose fines. The government, under pressure from Shorten’s campaign for a royal commission, has indicated it will consider the proposal.</p>
<p>But Shorten said there was already the Financial Ombudsman Service (FOS), a not-for-profit, non-government organisation for dispute resolution that provides a free service for applicants.</p>
<p>In 2008-09 there were 19,107 new complaints to FOS; by 2014-15 this had risen to 31,895, a 60% increase. Credit card complaints rose by 145%, from 6731 in 2008-09 to 16,458 in 2014-15.</p>
<p>The Commonwealth Bank’s net profit went from almost A$4.8 billion in 2006 to nearly $9.2 billion in 2015. The figures of the other banks were: Westpac, about $3.9 billion in 2006 to nearly $8.3 billion in 2015; ANZ, almost $4.5 billion in 2006 to more than $7.8 billion in 2015; and NAB, from about $3.6 billion in 2008 to about $5.8 billion in 2015.</p>
<p>Shorten said that the tribunal that the backbenchers advocated “simply won’t cut it”. “There is already an Ombudsman in place but the number of people getting ripped off has been going up and up.</p>
<p>“While the banks have been getting richer, the rip-offs and rackets have been getting worse. The Coalition MPs who say they want to stop these rip-offs have a duty to stand up to Mr Turnbull and tell him anything less than a royal commission is just another cop out,” Shorten said.</p>
<p>Meanwhile the government on Monday morning will release its draft legislation to protect the Victorian Country Fire Authority (CFA) and similar volunteer organisations from union power. Malcolm Turnbull promised the legislation after the issue blew up dramatically before the election, with a push from the United Firefighers Union (UFU) through a new enterprise agreement.</p>
<p>Turnbull and Employment Minister Michaelia Cash say in a statement: “As enterprise agreements are governed by federal legislation – the Fair Work Act – we are intervening to amend the act to ensure that these agreements cannot be misused to undermine volunteer emergency services organisations”.</p>
<p>They say the proposed CFA agreement discriminates against volunteers and provides the union with an unwarranted amount of control over volunteer operations.</p>
<p>The legislation “will invalidate terms in enterprise agreements that undermine the capacity of firefighting or state emergency service bodies to properly manage their volunteer operations”.</p>
<p>It will also give volunteer organisations the right to make submissions to Fair Work Commission agreement approval proceedings – a right they presently do not have.</p>
<p>“This long-running debacle has now resulted in the resignation of the Victorian emergency services minister and the CFA CEO as well as the sacking of the CFA board, who refused to capitulate to the militant United Firefighters Union’s demands. We will not stand by and let the discriminatory and offensive terms of this agreement undermine the effective use of the CFA’s volunteer firefighters,” the statement said.</p>
<p><em><span class="fn author-name">Michelle Grattan is p</span>rofessorial fellow, University of Canberra and author for The Conversation. She can be contacted <a href="https://theconversation.com/profiles/michelle-grattan-20316" target="_blank">here</a>.</em></p>
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Shorten says grievance tribunal would not stop bank ‘rip-offs’

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<p><span style="line-height: 1.3em;">The Australian Property Institute has called for the establishment of a Royal Commission into banking. </span></p>
<p>API Chief Executive Mike Zissler said he is seeing significant changes within the industry which are not in the best interests of the banks and financiers, the valuation profession and the community as a whole.</p>
<p>According to him industry must change if the valuation profession is to continue to remain an independent, objective and authoritative provider of valuation services to the Australian banking and financing industry. </p>
<p>“We need a reset in which banks and valuers can come into a room and be pragmatic about what is happening," he said.</p>
<p>“Why is there so much distrust and enmity between the parties and why is it that members of the API cannot speak openly with the banks without implied threats and withdrawal of contracts as a punishment for speaking out?</p>
<p><span style="line-height: 1.3em;">“My members are more than unhappy and feel trapped. They must be able to speak with the lenders, whom they contract with, without fear of reprisal. </span></p>
<p>“Companies have been pitted off against each other over pricing, and prices have been forced back to 1980’s rates. Yet so much more work and prescription is now required. <span style="line-height: 1.3em;">Many companies would need to cut their margins to sub-cost pricing in order to be competitive in a tender process. Companies will be forced out of business which will inevitably lead to a monopoly and potential market failure. Moreover, some of the firms that have taken on the new work simply won’t have the capacity to service it particularly in areas they don’t have a presence,” he said. </span></p>
<p>“As the CEO of a members-based organisation it greatly concerns me that my members are intimidated by the banking industry, which apparently has failed to recognise the harm it is doing in the long run to itself, the industry and the community.”</p>
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