The Finance Brokers Association of Australia (FBAA) remains unimpressed by the Australian Securities and Investments Commission's (ASIC) efforts to streamline tech platforms and cut red tape for small businesses and mortgage brokers alike.
“Governments and regulators have been talking for decades about cutting red tape and yet we are still singing the same old song, but that’s no substitute for meaningful action,” said FBAA managing director Peter White.
Earlier this month, ASIC announced a series of regulatory changes aimed at simplifying processes for Australian small businesses, including a major website overhaul that’s eliminated more than 9,000 pages since January. It’s also trimming down regulatory guidebooks to be clearer and more concise, and by 1 October, all documents will be electronically signable, ending paper-only requirements..
ASIC chair Joe Longo said the updates were driven by industry feedback on how the regulator communicates through its guidance, website and legal tools. He warned that overly complex regulations drive up costs, stifle innovation, and create unnecessary compliance burdens.
"We have been focused on simplifying how we regulate," Longo said. "These are practical next steps towards fully streamlined digital lodgement services in the future."
But FBAA's White said "it's too little, too late. They still don't seem to grasp the basic issues."
White argued that ASIC’s updates – which are set to take many years to complete – offer little support to small businesses and brokers who need immediate solutions.
"We need better websites based on current technology and operating platforms, and far clearer and plain English communication now, not years into the future," he said.
"Brokers and small businesses often find it exceptionally difficult to navigate meeting their compliance requirements online because of poorly designed websites. The ASIC and ATO [Australian Tax Office] websites might make sense to regulators, but users find them confusing and impenetrable."
ASIC's revisions come as borrowers are increasingly turning to brokers across Australia for financial assistance, including help with mortgage loans. In fact, mortgage brokers settled approximately 76.8% of all new residential home loans during the March 2025 quarter, the most recent data available from the Mortgage & Finance Association of Australia (MFAA), Australia's other major broking industry body.
White told Australian Broker earlier this year that broker market share is likely to keep growing.
"I reckon we'll get to 80% market share. I don't see that as an unrealistic achievement," he said.
But with that growth, added red tape and complex processes only make it harder for mortgage brokers to do their jobs.
At the same time, the need for self-employed financing among small business owners is on the rise with more than 2 million Aussies classified as self-employed, according to the World Bank. This underscores the rising need for streamlined processes – particularly from lenders.
