A major shift of focus is under way at the Australian Prudential Regulation Authority (APRA) as it seeks to embed planned cost savings for industries it supervises. The move follows the regulator’s recognition over the past two years of areas requiring change.

A project to cut unnecessary compliance cost burdens has so far seen APRA ditch a requirement for general insurers to obtain an external peer review of their insurance liability valuation reports.

The regulator is also reviewing general insurance appointed actuary role requirements, with submissions on a consultation paper due by September 21.

Feedback on future cost-saving opportunities will be through the regular consultation process, the regulator says in an update report released this month.

“APRA does not plan to conduct any further separate and wide-ranging formal consultations on regulatory cost savings such as those undertaken in 2014 and [last year],” it says.

The report also says the regulator is not planning to change prudential standard GPS 117’s rules on letters of credit in support of reinsurance arrangements.

“Submissions requested APRA reconsider this issue, although no new information or costs were presented. APRA’s view remains unchanged since the previous update. However, this issue may be reconsidered as part of future reviews of the prudential framework.”