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APRA provides an update on the implementation of new operational risk standard

The Australian Prudential Regulation Authority (APRA) has released an updated timeline for the implementation of the new cross-industry Prudential Standard CPS 230 Operational Risk Management (CPS 230).



CPS 230 is designed to strengthen the management of operational risk in the banking, insurance and superannuation industries. 



In response to feedback received during the consultation period, APRA intends to:

  • move the effective date for the new standard to 1 July 2025; and
  • provide transitional arrangements for pre-existing contractual arrangements with service providers, with the requirements in the standard applying from the earlier of the next contract renewal date or 1 July 2026.

 APRA also plans to release a final version of CPS 230, together with draft supporting guidance, in mid-2023. Further information on this consultation is available on the APRA website at: Operational risk management.

Risk

Media enquiries

Contact APRA Media Unit, on +61 2 9210 3636

All other enquiries

For more information contact APRA on 1300 558 849.

The Australian Prudential Regulation Authority (APRA) is the prudential regulator of the financial services industry. It oversees banks, mutuals, general insurance and reinsurance companies, life insurance, private health insurers, friendly societies, and most members of the superannuation industry. APRA currently supervises institutions holding around $9 trillion in assets for Australian depositors, policyholders and superannuation fund members.