Policy paper

UK–Australia Joint Financial Regulatory Forum 2026: Joint Statement

Published 29 October 2026

The second UK–Australia Joint Financial Regulatory Forum took place on 27 October 2026.

The Forum was held virtually and was jointly chaired by Director General (Financial Services) of HM Treasury, Gwyneth Nurse, and Deputy Secretary (Markets Group) of the Australian Treasury, James Kelly. It was attended by official representatives from HM Treasury, Australian Treasury, Bank of England, Financial Conduct Authority, Australian Securities and Investments Commission, Reserve Bank of Australia and Australian Prudential Regulation Authority.

In line with the commitments in the UK–Australia Free Trade Agreement, the Forum provided an opportunity to deepen bilateral cooperation, identify opportunities for alignment on financial services regulation, and to exchange views on shared priorities.

Both sides reaffirmed their support for open, resilient and well-regulated financial markets, and recognised the importance of international cooperation in addressing cross-border risks. They also welcomed progress under the UK–Australia Investment Partnership Memorandum of Understanding as a practical framework for strengthening cross-border investment, sharing expertise and deepening links between UK pension funds and Australian superannuation funds.

The UK and Australia agreed to continue working closely through bilateral channels and international bodies, including the G20 and the Financial Stability Board, to support financial stability, sustainable economic growth and innovation. The UK’s 2027 G20 Presidency offers further opportunities to provide global leadership on financial sector policy, including by harnessing opportunities for growth and innovation presented by developments in Artificial Intelligence (AI), digital assets and cross-border payments, as well as by addressing emerging risks.

Private markets governance and asset valuation

The UK and Australia exchanged views on the growth and evolving structure of private markets and the contribution that private capital can make to innovation, productive investment and diversified sources of finance. The UK set out its approach to monitoring potential vulnerabilities arising from the expansion of private markets, including the Financial Policy Committee’s work to identify and monitor risks, the Bank of England’s System Wide Exploratory Scenario on private markets, the FCA’s regulation of alternative investment fund managers, and the PRA’s supervision of banks and insurer exposures to private equity, private credit and funded reinsurance.

Australia outlined the structure of its private markets, including their concentration in domestic property, construction and real estate development, and the growing significance of superannuation funds as institutional investors in unlisted assets. Australia also set out ASIC’s work on the evolving relationship between public and private markets, APRA’s focus on the valuation and governance practices of superannuation funds, and Australia’s proposed reforms to improve data collection for managed investment schemes and regulatory visibility of the private credit sector.

Both sides agreed to continue sharing information on market developments, supervisory experience and emerging risks.

Operational resilience and critical third parties

The UK and Australia shared observations on the evolving cyber and operational risk landscape, including the challenges associated with reliance on third-party providers. The UK shared its experience of implementing its Critical Third Parties regime, while Australia outlined its approach to third-party risk in the financial sector, including APRA’s prudential requirements for regulated entities and the Reserve Bank of Australia’s oversight of systemically important payment systems and financial market infrastructures. The discussion offered an opportunity to learn from each other’s experience, recognising the different regulatory frameworks and approaches in each jurisdiction. It also considered how comparable regimes could support effective oversight while reducing unnecessary duplication for global providers.

The UK and Australia agreed to continue cooperation bilaterally and through the G20 and Financial Stability Board on the operational resilience implications of AI.

Cross-border financial services cooperation

Both sides exchanged views on their respective reform priorities and considered where closer regulatory alignment, information-sharing or practical cooperation could promote further cross-border investment. Participants emphasised the importance of predictable and proportionate regulation that supports innovation and competitiveness alongside financial stability and consumer protection.

The UK and Australia exchanged views on innovation initiatives including sandboxes. Both sides welcomed ongoing dialogue and knowledge-sharing between authorities on emerging technologies and innovation. Both sides also agreed to explore avenues for further cooperation on the role of AI in the provision of financial advice, including on approaches to balancing access and consumer protection.

Conclusion

The UK and Australia welcomed the constructive discussion and agreed that relevant authorities would maintain engagement and take forward agreed actions ahead of the next Forum, to be hosted in 2027.

The Forum was followed by an industry-led UK-Australia business roundtable on 29 October with participation from industry representatives from both countries.