Co-op and mutuals sector says Canberra roundtable should focus on regulation and competition issues

20 August 2025

The Business Council of Co-operatives and Mutuals (BCCM) today said the Australian public should reasonably expect some significant economic reform from the roundtable in Canberra this week, citing regulation and competition issues as key planks in any change agenda.

“Regulation impacts co-operatives and mutuals as much as any business sector,” said Melina Morrison, the chief executive of the $50 billion BCCM whose members include major agriculture, financial services, motoring and housing groups around the nation.

“It is frequently applied disproportionately, with duplication in the system meaning state and federal regulations apply at the same time and usually in an uncoordinated way,” Ms Morrison said. 

“But the real issue in stagnant growth and lack of productivity lies in lack of competition. There’s scant commentary about market concentration in many markets and the lack of consumer choice and price inflation this leads to,” she added.

“It’s impossible to get dynamism in a market where you have just one or two dominant players. Australia’s corporate diversity has declined over several decades, often driven by demutualisation of co-ops and mutuals but also by takeovers and business closure of SMEs.” 

Ms Morrison said banking and retail are just two markets where lack of competition has led to very high market concentration.

“Sky high profits are made in these sectors and new market entrants can’t emerge to put downward pressure on prices. The inquiries into banking and supermarkets should leave no doubt that Australia needs more competition in these sectors,” Ms Morrison said.

In its submission, the BCCM gave examples of the way that co-ops and mutuals shape markets to increase competition and consumer choice. The three key proposals from the BCCM submission to Treasury’s roundtable are:

• Better regulation of co-operatives – modernising the Co-operatives National Law and harmonising it nationally to enable growth and scaling.
• Asset lock protection – voluntary legislation ensuring mutual assets are permanently protected to support long-term investment.
• A Treasury-led working group – creating a national forum to coordinate policy and regulation for co-ops and mutuals.

Interviews:

To discuss the roundtable findings and recommendations with Ms Morrison this week, please contact Ian Pemberton at P&L Corporate Communications in Sydney on 0402 256 576.