The Australian Government has announced a series of changes to the Consumer Data Right (CDR) that are intended to encourage further uptake among consumers, following a consultation on changes to consent and operational rules.
The new rules, set out by Stephen Jones MP, Assistant Treasurer and Minister for Financial Services, came into effect immediately (12 November).
Back in August, the Albanese Government promised to instigate a “reset” of the CDR, opening a consultation on the rules around consent, as part of plans to “build a CDR framework that better serves consumers”.
The amendments to the CDR rules announced yesterday will “simplify the consent process and streamline requirements for providers”, in an effort to improve the “consumer experience” and increase uptake.
Jones said: “By allowing consents to be bundled, consumers would be able to provide multiple consents through one single action.”
The second change involves removing “barriers” for banks “by simplifying requirements that apply when an accredited bank seeks data from a consumer”.
Jones called the previous process “complex and confusing for consumers”, often resulting in them dropping out.
Finally, the government has pledged to support innovation by extending a trial of CDR-enabled energy products to 24 months, from 12 months, and to 2,000 customers, up from 1,000.
“The expansion will ensure the trial period supports the unique nature of energy contracts, Jones said.
It has been confirmed that the Treasury will undertake further consultation with stakeholders on proposed amendments to the CDR, to improve business consumer participation.
The government continues to work with stakeholders to ensure that any changes it introduces represent value‑for‑money, after the findings of an independent review of CDR compliance costs conducted by Heidi Richards, concluded that the regulatory costs of implementing the CDR on its current track were “substantial”.
Further reading: Six strategies to get Australia’s CDR back on track
