A lack of competition in the banking sector is being blamed on poor regulation.  

Financial experts believe a fundamental change to the Reserve Bank and the Council of Financial Regulations is required. 

Andrew Body, one of the experts, told Mike Hosking the regulators have created a “moat” around the large banks in New Zealand. 

He says the capital requirements, the Reserve Bank’s outsourcing requirements and branch policy, as well as the conduct and disclosure regulation and costs of operating all favour the big banks.  

Body told Hosking that RBNZ Governor Adrian Orr has completely “overcooked” the regulation. 

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