Major bank levy will affect borrowers, warn CEOs

Treasury officials are set to brief bankers in Sydney on Thursday.

In response, Danielle Szetho, CEO of Fintech Australia, says they're a "huge step forward when it comes to growing a globally competitive Australian fintech industry".

"Furthermore, as a result of other measures announced within the budget, such as the introduction of a residential mortgage pricing inquiry, banks may not be able to pass the additional costs of this levy to bank customers".

It is unimaginable that a politician will make a decision to harm their fellows, but the Australian Treasurer has done the next best thing by slapping a new tax on large banks.

"The banks want to send a message to their customers about how much they value them?"

Mr Narev said only that the banks had "a responsibility", once they had all the details of the proposed new levy, to explain its impact and explain that "it really is a tax on all Australians".

But Australian Bankers' Association chief executive Anna Bligh criticised the new tax, which Morrison warned banks against passing on to consumers.

Revenue raised from the scheme - fees from which could be as high as $5,000 - would be redirected into the broader package of housing affordability, and would be in addition to current FIRB charges for approval of foreign purchases of Australian property which are now set at $5,000 and $10,000 for properties worth less than $1 million and $1 million or greater respectively. "Banks can jack up prices on their customers any day. if they do, take your money somewhere else, take your money to a regional or smaller bank".

The latest reports are not the first time the idea of a vacancy tax has been raised.

The tax on liabilities unveiled in Tuesday's federal budget caught banks, which had previously enjoyed the support of the ruling centre-right government, unawares and was strongly criticised by bank executives.

Moreover, the government says it will legislate a mandatory comprehensive credit reporting regime, if credit providers are not reporting at least 40% of their data by the end of 2017.

Here, Cosmo pulls out the main points from the speech that will impact ~young people~, including how the government plans to tackle the housing affordability crisis, and how things may get a little harder for people who are on the dole.

"If you are a working Australian and you have a superannuation account, then you own shares in one of the major banks in Australia, and the treasurer is saying this tax should be passed on to your investments".

The Treasurer said the funding included $13.6 million for building maintenance at the Museum of Australian Democracy at Old Parliament House and $3.9 million for the National Film and Sound Archive for capital works and replacement of critical equipment. He said Fitch would look closer at new policy measures on the economy and housing market, "factors we have identified as rating sensitivities in our previous review".

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