Government consults on digital economy regulation settings

Minister for superannuation, financial services and the digital economy, Jane Hume, said the move is designed to position Australia as a leading digital economy and society and government is specifically looking to consult on automated decision making (ADM) and artificial intelligence (AI).

Ms Hume said it's estimated that AI alone could contribute to over $20 trillion to the global economy by 2030.

“It is important that outdated regulations do not mean Australia misses out on realising the benefits of these new technologies,” she said.

“AI will continue to bolster other digital technologies and elevate human knowledge and capability to new levels – thanks to AI it’s estimated there could be 1.2 million new technology jobs created by 2034.

“Modern regulatory settings are an essential foundation to grow these jobs and the digital economy. We’re asking innovative businesses and interested parties to share their views on improving Australia’s regulatory settings and systems through the opportunities presented by ADM and AI.”

Consultation is now open and closes on 22 April 2022.

The news comes after Craig Keary, Asia-Pacific chief executive of digital advice provider Ignition, told ifa that government’s terms of reference for the upcoming Quality of Advice review (QAR) highlights the importance of technology in financial services.

The QAR’s terms of reference state that the review will consider the use of regulatory technology and digital advice and will “pay particular attention to how technology and digital advice might enable mass market adoption of low-cost advice”.

“It reflects the growing maturity of the financial advice industry the government and regulators, in acknowledging the important role that technology will play in making financial advice more accessible to more Australians, in a cost-effective manner,” Mr Keary said.

Neil Griffiths

Neil is the Deputy Editor of the wealth titles, including ifa and InvestorDaily.

Neil is also the host of the ifa show podcast.