Skip to main content

Prepare for APRA Connect

Entity readiness is essential to the successful implementation of APRA Connect and each entity is responsible for managing its own readiness.

APRA intends to make a test environment available for APRA Connect as a permanent feature for entities to become familiar with the new solution and trial submission of entity information and financial data. Returns will be available in the test environment before entities are required to submit them in APRA Connect. The test environment will also be used to support the design of new collections and APRA’s consultations with industry.

APRA will provide more information and guidance materials to help entities get ready for APRA Connect before the release of the test environment.

What this means for entities generally

All entities should be preparing for the September 2020 commencement of APRA Connect to report entity information such as entity profile, contact details, responsible persons, related parties and be able to submit ad hoc supporting information to APRA.

The commencement date of financial data reporting through APRA Connect will vary for each industry.  As APRA replaces existing collections with new collections, they will be introduced on APRA Connect. 

Direct to APRA (D2A) will continue to be used for most existing collections and no historical financial data will be migrated to APRA Connect. This means that dual reporting systems will be in place for the medium term and any resubmissions for D2A-submitted returns must be made through D2A.

Form 701 Data on intermediated business with APRA authorised general insurers, Lloyd’s underwriters and unauthorised foreign insurers, (which is submitted by Australian Financial Services Licence holders who are authorised to conduct GI intermediary brokering business) will be moved to APRA Connect with the first submission due in APRA Connect from January 2021. Lodgement by email, fax or mail will no longer be accepted once APRA Connect goes live which means that some entities who currently don’t use D2A will need to start using APRA Connect.

 

What this means for industries

The following information is provided to help entities understand industry-specific differences from the general implementation approach.

Authorised Deposit-taking Institutions (ADIs)

In addition to what this means for entities generally:

  • ADIs will be required to maintain all Banking Executive Accountability Regime information (including for example, accountability statement and maps) in APRA Connect from September 2020.
  • APRA intends to move all reporting for ADIs and RFCs from D2A to APRA Connect in the current format in March 2021.  This means that the first monthly and quarterly returns (for the March period end) will be submitted in APRA Connect. No historical financial data will be migrated to APRA Connect and any resubmissions for D2A-submitted returns will need to be made through D2A.
  • APRA Connect will enforce data format rules differently from D2A so entities will need to ensure that submissions comply with relevant reporting standards and associated taxonomies. 
  • For manual data entry, users will no longer be able to copy and paste multiple rows of data; copy and paste works for single cells only in APRA Connect.
  • APRA continues to consult on revisions to the capital framework for ADIs, and as the related collections are replaced, they will be introduced to APRA Connect.
  • Resubmission of data must be made in the same system as the data was originally submitted (i.e. D2A or APRA Connect).

Superannuation

In addition to what this means for entities generally:

  • APRA is consulting with the industry about APRA’s Superannuation Data Transformation. All new collections will be introduced in APRA Connect, but are not anticipated to start on APRA Connect in 2020.
  • The data models used for the new collections are expected to be similar to those used for the pilot collections (as part of current consultations) and be used in APRA Connect with minimal to no changes required. 
  • Entities should be familiar with the test environment which APRA intends to use to support engagement with industry on the design of future data collections.

Insurance

In addition to what this means for entities generally:

  • APRA is consulting with the industry about the new accounting standard - AASB 17 Insurance contracts. This new collection will be introduced in APRA Connect, but will not start on APRA Connect in 2020. The first new collection to be introduced to APRA Connect after the September 2020 go live date will be the Private Health Insurance (PHI) Reform (HRS 605.0).
  • Resubmission of Form 701 data must be made in the same system as the data was originally submitted (i.e. D2A or APRA Connect).
  • Entities should be familiar with the test environment which APRA intends to use to support engagement with industry on the design of future data collections.

 

What this means for RegTechs

RegTechs are an important part of the regulatory reporting ecosystem. APRA has and will continue to work with RegTechs as they support the needs of reporting entities. The test environment will be an important part of the testing and development processes and therefore access to the test environment will be made available to RegTechs on an ongoing basis.

APRA will advise RegTechs of the registration process and will continue to engage through the Software Vendor Working Group.  

Subscribe for APRA Connect updates

You can register for APRA Connect email updates straight to your inbox.  

Contact us

You can contact us at APRAconnect@apra.gov.au