Financial Accountability Regime
The Financial Accountability Regime (FAR) imposes a strengthened responsibility and accountability framework for entities in the banking, insurance and superannuation industries and their directors and senior executives. The FAR is designed to improve the risk and governance cultures of Australia’s financial institutions.
The FAR replaces the Banking Executive Accountability Regime (BEAR), which commenced in 2018, and is jointly administered by APRA and the Australian Securities and Investments Commission (ASIC).
The FAR commences for authorised deposit-taking institutions (ADIs) and their authorised non-operating holding companies (NOHCs) on 15 March 2024.
It will apply to insurance entities, their licensed NOHCs, and superannuation trustees on 15 March 2025.
Related documents
Joint Administration Agreement
The Joint Administration Agreement outlines the principles underpinning how APRA and ASIC will jointly administer the FAR.
Information paper for ADIs
The information paper assists ADIs and their authorised NOHCs transition from the BEAR to the FAR and includes the information they must provide to APRA and ASIC.
Information paper – ADI: Transitioning to the Financial Accountability Regime
Information paper for accountable entities
The information paper assists accountable entities and their accountable persons in understanding their obligations under the FAR. It also provides an overview on how the Regulators will jointly administer the FAR including how the Regulators will use their regulatory and enforcement powers.
Financial Accountability Regime: Information for accountable entities
Guidance material for accountable entities
Letter to insurance and superannuation entities
The Regulators jointly released a letter on 14 March 2024 outlining the actions insurance and superannuation entities should take ahead of FAR commencement and introducing a consultation package.
FAR timeline
The timeline below provides indicative dates for key upcoming releases on the FAR and its implementation by APRA-regulated entities.
Related resources