- Published:
- Monday 16 September 2024 at 7:33 pm
In August 2024, the Department of Treasury and Finance launched the new Victorian Fit and Proper Test Framework.
Fit and Proper Tests are vital to ensure only suitable applicants receive permission to undertake regulated activities. But they can also put an unnecessary burden on applicants if they’re not well designed and be expensive to administer.
This new framework is helping policymakers and regulators create Fit and Proper Tests, which are effective in reducing risk of harm, straight forward to administer, while reducing burden on businesses.
The framework is guided by 3 key principles:
- risk-based assessments
- minimised requirements
- standardised administration.
Currently the framework provides a 2-stage process:
- Stage 1: Decision: Assess the necessity of the test
- Stage 2: Design: Create fair and effective tests.
Stage 3 is under development.
We encourage policymakers and regulators to use this framework to ensure that the burden of these tests aligns with the level of risk being managed.
Read more about the Fit and Proper Test Framework.
Contact us at reg.reform@dtf.vic.gov.au to schedule a workshop or ask any questions.
Updated