The ACCC has issued a draft determination proposing to grant authorisation with conditions to allow the Australian Banking Association Ltd (ABA), major banks, major retailers and supermarkets, Australia Post and other industry participants to collaborate to ensure the future continuity of cash-in-transit services.
The ACCC proposes to grant authorisation with conditions for the ABA, major banks and retailers to provide financial support to Armaguard and for the parties to discuss, agree and implement operational sustainability and efficiency measures across the services provided by Armaguard’s cash-in-transit business The parties are also seeking to develop an independent pricing mechanism in respect of their cash services agreements with Armaguard.
The ACCC has previously granted interim authorisation for the major banks and retailers to provide financial support to Armaguard and for the parties to discuss, agree and implement operational sustainability and efficiency measures across the services provided by Armaguard’s cash-in-transit business.
The ACCC considers that the proposed conduct would be likely to reduce the risk of a disruption to Armaguard’s cash-in-transit services in the immediate future, and the increased sustainability of those services would support the ongoing access to cash across Australia. The ACCC considers that the proposed conduct is likely to result in minimal public detriments.
The ACCC proposes to grant authorisation with reporting and transparency conditions to ensure consultation takes place and a wide range of perspectives are heard. The ACCC, the Reserve Bank of Australia and Treasury will receive regular reports about the measures being discussed and consulted on. The ACCC invites submissions in relation to this draft determination by 7 February 2025. Further information on the application, draft determination and process for making a submission is on the ACCC’s public register.