ANZ refutes Suncorp Bank mothballing rumours
Australia and New Zealand Banking Group (ANZ) has refuted reports that it plans to wind down Suncorp Bank, after claims that Suncorp-branded home loans, savings accounts, and term deposits could be withdrawn by April-May 2026.
Suncorp Bank’s 3,000 staff and 1.2 million customers joined ANZ last year under legally binding conditions aimed at protecting jobs and regional access. These included a three-year ban on regional branch closures, no closures of Suncorp Bank branches in Queensland, and no net employment losses across Australia for three years.
The Australian reported “sources inside the bank” had indicated new Suncorp-branded products may be discontinued as early as May 2026, with existing customers shifted to ANZ products for any variations.
However, ANZ rejected the claims, telling The Adviser: “Reports in The Australian regarding the future of Suncorp Bank are incorrect. A review of our Suncorp Bank integration plans remains underway, and ANZ has made no decisions regarding the future state of Suncorp Bank.”
The rumours arose just days after ANZ revealed it would cut around 3,500 roles under new CEO Nuno Matos’ bank simplification strategy.
The bank also made headlines recently after agreeing to pay a penalty of $240 million covering four different investigations into the bank linked to misconduct. The penalty is the largest announced by ASIC against one entity and includes a $125 million for institutional and markets matters (including a record $80 million penalty for unconscionable conduct) and $115 million in total penalties for three retail matters.
Brokers write record share of new bank mortgages
Mortgage brokers are now writing a record share of new bank loans, with regulator data confirming the growing dominance of the third-party channel.
Brokers originated the majority of home loans for banks in the Australian Prudential Regulation Authority’s (APRA) Quarterly ADI Property Exposure Statistics, released on 11 September.
In the June 2025 quarter, banks funded $187.6 billion in new loans, up 16.2 per cent from $161.5 billion a year earlier.
New term loans accounted for $187.1 billion, with owner-occupied loans making up 63.6 per cent and investment loans 34.1 per cent.
Brokers originated $118.7 billion of owner-occupied loans and $68.0 billion of investment loans during the quarter.
This equates to 63.4 per cent of all new term loans being written via third parties – the highest proportion on record – and edging up from 62.7 per cent in each of the previous two quarters.
The data further cements mortgage brokers as the preferred channel for borrowers, underscoring the industry’s crucial role in driving competition.
Expanded Home Guarantee Scheme starts this month
The expanded Home Guarantee Scheme commenced from 1 October 2025, allowing all first home buyers to purchase with a 5 per cent deposit guarantee, without needing to meet income or place caps.
The scheme will offer unlimited places and expanded property price caps, with significant increases in Sydney, Brisbane, Perth, Adelaide, and the ACT, reflecting rising house prices.
The changes aim to cut years off deposit-saving time and remove the need for costly mortgage insurance, potentially saving buyers tens of thousands.
The scheme will also merge the regional program into the First Home Guarantee and broaden lender participation, ensuring greater broker access.
Great Southern Bank and P&N Group hold merger talks
Great Southern Bank and P&N Group have signed a memorandum of understanding to explore a merger that could be put to member vote in late 2026. If approved, the combined entity would rank among Australia’s largest customer-owned banks with about $30 billion in assets; dual head offices in Brisbane and Perth; and regional hubs in Coffs Harbour, Sydney, and Melbourne.
The three brands – Great Southern Bank, P&N Bank, and BCU Bank – would continue operating, with all staff retained and existing branches and call centres maintained.
Great Southern Bank’s Paul Lewis is slated to become inaugural CEO, with a Perth-based deputy CEO to follow. The board would feature equal representation from both lenders, chaired by Great Southern’s Deborah O’Toole.
The two banks said the merger would strengthen investment in digital banking, cyber security, and services, while preserving local branch connections.
It marks the second move by P&N Group to merge with another mutual bank, after it called off its proposal to join with Beyond Bank last year, following the due diligence process.
