APRA will lose the power to disqualify individuals under a reform bill introduced into Federal Parliament last week.

The Financial Sector Legislation Amendment (Review of Prudential Decisions) Bill 2008 incorporates measures recommended in various inquiries, including the HIH Royal Commission.

The most significant is the introduction of a court-based process for disqualifying individuals from operating APRA-regulated entities.

APRA currently holds the power to disqualify an individual from holding "prudentially significant" roles within general insurance, superannuation and deposit-taking banking industries. It has barred 98 individuals in the past five years.

Superannuation and Corporate Law Minister Nick Sherry says the reforms will improve regulator transparency and accountability. The bill is due for debate in the Senate next month.