The Financial Services Council has called for a review of the Australian Securities and Investments Commission and the Australian Prudential Regulation Authority as part of the financial system inquiry.

CEO John Brogden says while the twin-peaks model “is robust and appropriate”, there is room for a review of the regulators’ roles.

“On too many occasions during the past few years, the Parliament has ceded its authority to regulators,” he said in a speech.

“We strongly believe the role of Parliament is to write the law and the role of regulators is to enforce it. But the exact boundaries of the regulators need to be set and adhered to.”

He says the council is evaluating the regulatory model and considering changes that could enhance the financial services industry’s integrity, efficiency, competitiveness and stability.

“Financial services regulation should be… efficient, robust and stable, competitively neutral, sustainable and open and trade-oriented”, Mr Brogden said.