Labor government locks in compensation scheme for financial misconduct victims despite ‘god-like powers’ warnings

Minister for financial services says government's accountability regime is locked and loaded' and will not be changed

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The Labor government will push ahead with a new compensation scheme for victims of financial misconduct, refusing to water down civil penalties for the finance sector, and rejecting a claim it would give the responsible minister god-like powers" to punish banks.

The assistant treasurer and minister for financial services, Stephen Jones, said the government's financial accountability regime was locked and loaded" and will not be changed, and rejected Liberal senator Andrew Bragg's call to have parliament determine the scope of a new levy on financial industry members that will pay for the scheme.

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