Powered by MOMENTUM MEDIA
SUBSCRIBE TO OUR NEWSLETTER SIGN UP
Powered by MOMENTUM MEDIA

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.

CBA defends Bankwest takeover

Staff Reporter 4 minute read

CBA has hit back at claims its takeover of Bankwest has added to decreased market competition.

The bank claims the consequences would have been disastrous for the banking system had CBA not acquired the regional bank.

Concern has been mounting in recent weeks that CBA’s acquisition of Bankwest, along with Westpac’s acquisition of St George, is diminishing competition in the banking sector.

A report released by CoreData in May showed the big four banks, post the two acquisitions, accounted for more than 70 per cent of all mortgage lending in the March quarter.

Advertisement
Advertisement

ACCC chief Graeme Samuel has also indicated he would have opposed the takeover of Bankwest should the market circumstances have been different.

Ralph Norris, CBA CEO, told The Australian today however that had CBA not taken over Bankwest, the market would have lost a significant player.

"… I think at the time we made the offer there weren't too many options for Bankwest; it was failure or being taken over," he said.

"…Competition issues, I think, had to be pushed to one side, because it would have been absolutely disastrous for the domestic banking system to have a bank fail.

"Confidence in the Australian banking system would have been significantly damaged."

PROMOTED CONTENT


 

CBA defends Bankwest takeover
default
TheAdviser logo

If you’re feeling overworked and overwhelmed in this fast-paced mortgage market, it’s time to make some changes, and the Business Accelerator Program can help! Early bird tickets are on sale now. Work smarter, not harder, this year.

default

 

more from the adviser
Renee blethyn NextGen.Net appoints head of broker

NextGen.Net has appointed its inaugural national head of broker ...

BBS Summit 2021 ta Better Business Summit and Awards Sydney postponed

Due to the ongoing COVID-19 resurgence in Sydney, the NSW leg of ...

Andrew Moulds Darren Smith ta Lend adds FleetPartners to platform

Lend has integrated vehicle fleet leasing and fleet management pr...