Our public policy team has been busy making submissions to Treasury’s consultations on reforms to the regulation of payments in Australia. Zepto is excited to contribute to the development of reforms which will shape the future of Australia's payments ecosystem.
Zepto was the first non-bank fintech to connect directly to the New Payment Platform as a Connected Institution and was the first non-bank payments provider to be accredited as an Accredited Data Recipient in the Consumer Data Right. We were recently named FinTech Organisation of the Year at the 2023 Finnies Awards, as well as being named NSW Business of the Year and receiving the Excellence in Innovation Award at the 2022 Business NSW Awards.
As pioneers of payments innovation in Australia, Zepto is well positioned to provide insights to Treasury and contribute to the development of the payment reforms.
Payments regulation in Australia is currently undergoing once-in-a-generation reform. In June 2023, the Treasurer released the Government's Strategic Plan for Payments which stated the Government's vision to create a "modern, world-class and efficient payments system that is safe, trusted and accessible, and enables greater competition, innovation and productivity across the economy", a vision which Zepto wholeheartedly supports. The Government also released consultation papers on reforms to the Payment Systems (Regulation) Act 1998 (Cth) and on defining the payment functions to underpin a new payments licensing framework.
As a leading voice in the payments industry, we have made written submissions to both consultations, which you can download, read and share using the links in the thumbnails below.
Broadly speaking, Zepto supports the proposed reforms to the PSR Act. By broadening the regulatory perimeter of the PSR Act to capture new, emerging and future payment systems, and by ensuring — through enhanced powers for the Reserve Bank of Australia and a new role for Treasury — that access regimes and standards in respect of those systems can be both set and complied with, the proposed reforms will support competition in the payments industry, consistent with Zepto’s mission to create a better way to pay.
When it comes to the payments licensing framework, Zepto advocates for one which promotes competition and innovation through clearly defined rights and obligations, and which upholds the highest possible standards of consumer protection. This is because we understand that a secure and safe payments ecosystem is not only the key driver of value for our businesses but is at the heart of a digital economy that empowers both consumers and businesses. In developing the payments licensing framework, policy-makers should look to adopt the best elements of equivalent frameworks in comparable jurisdictions whilst leveraging Australia’s existing regulatory structures and regulators’ expertise.
We thank Treasury and our industry counterparts with whom we have engaged in robust discussions which has assisted us in developing these submissions.
It's an exciting time to be a part of Australia's payments ecosystem. We are grateful for the opportunity to contribute to the reforms via the consultation processes as we press ahead with our mission to create #ABetterWayToPay for all Australians.
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