Board to publish conflict plans as new strategy takes shape
Stakeholders want the Financial Markets Authority (FMA) to sharpen its focus on outcomes and take a more proportionate approach, as it completes its takeover of consumer credit regulation.
The feedback comes from the Ease of Doing Business Survey released alongside the FMA’s annual report for the year to 30 June 2026.
What the industry wants to see change
The survey asks industry participants how effective their dealings with the FMA have been and how well it is delivering its mandate. Respondents again recognised the regulator’s role in protecting consumers and market integrity, but they pointed to two areas for improvement: its focus on the outcomes that matter most for consumers and markets, and whether its regulatory approach is beneficial and proportionate.
That concern shows in the numbers: agreement that the FMA focuses on outcomes that matter for consumers and markets fell from 73% to 59%, according to the annual report.
Newly appointed board chair James Miller (pictured) said the board expects the FMA to act on the feedback.
“As a board, we expect the organisation to listen carefully, respond to those concerns, and continue improving the way it delivers on its mandate,” he said.
The FMA is developing an updated strategy over the coming months and will appoint a new chief executive.
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One regulator for credit and conduct
For mortgage advisers and lenders, a key change was the FMA’s push to establish itself as New Zealand’s single conduct regulator for financial markets. Responsibility for anti-money laundering and countering financing of terrorism (AML/CFT) supervision also moved during the year.
“We completed the transfer of credit regulation from the Commerce Commission and the transfer of AML/CFT responsibilities to the Department of Internal Affairs,” acting chief executive Alastair Hercus (pictured right) said.
Hercus said 2025/26 was the first year the FMA reported publicly against the priorities in its Financial Conduct Report, and that it delivered on almost all of them.
Its focus for the current year is already set: the FMA’s Financial Conduct Report 2026/27 names managing conflicts from remuneration structures in consumer credit and financial advice as a cross-sector priority.
Board conflicts made public
The FMA will also publish each board member’s relevant governance interests and conflict management plans on its website, alongside its conflicts of interest policy.
Miller said directors’ industry backgrounds give the board practical insight but can create conflicts with entities the FMA regulates. Under the plans, members disclose their interests and do not take part in, or receive information about, matters where they may be conflicted.
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