Depositor Compensation Scheme Regulations

Closed 10 May 2024

Opened 11 Mar 2024

Contact

dta@rbnz.govt.nz

Results updated 8 Nov 2024

Consultation outcome 

From 10 March – 10 May 2024, we asked for feedback on policy proposals for regulations under the Deposit Takers Act 2023 (DTA). Thank you to everyone who provided feedback. We received 31 submissions which we have used as part of the policy development process. This process informs our advice to the Minister of Finance, and Cabinet for final decisions. 

Summary of Submissions (PDF, 535KB) 

Ministerial advice 

To give deposit takers time to prepare for the DCS being operational in mid-2025, we are proactively releasing ministerial and cabinet decisions as at November 2024. The Regulations are now going through a formal parliamentary process before being gazetted by the end of 2024.    

See proactive releases of advice to the Minister of Finance, and Cabinet decisions. 

Published responses

View submitted responses where consent has been given to publish the response.

Overview

In March 2024, we consulted on policy proposals for regulations under the Deposit Takers Act 2023 (DTA). 

The DTA creates a new prudential regime by: 

  • integrating the currently separate regimes for banks and non-bank deposit takers, and 
  • introducing the DCS. 

Regulations are necessary to bring the DCS into operation. Many of the regulations are technical in nature. 

Regulations are secondary legislation made by Order in Council on the Minister of Finance's recommendation. We provide advice to the Minister to propose regulations.  

The DCS levies are to be set by regulations. The DTA specifies that deposit takers will meet all costs of the fund. 

Regulations will also help to: 

  • determine the detailed eligibility rules 
  • payout conditions, and 
  • resolve detailed issues such as exemptions and determining balances for payments made but not yet settled. 

Read the consultation paper

Depositor Compensation Scheme Regulations consultation paper (PDF, 901KB)

Public Notice – Incorporation by reference in DCS regulations

In accordance with clause 1 of Schedule 2 of the Legislation Act 2019, I, Adrian Orr, Governor and Chief Executive of the Reserve Bank of New Zealand give notice of a proposal to incorporate the material listed in the public notice below into the proposed Depositor Compensation Scheme (DCS) regulations. Feedback is invited by 5.00pm, 26 November 2024.

Public Notice - Incorporation by reference in DCS regulations (PDF, 115KB)