Cash Distribution Framework Bill 2026, Cash Distribution Framework (Consequential Amendments and Transitional Provisions) Bill 2026

Ms WITTY (Melbourne) (11:19): The other day I was out and about in the community talking to friends and neighbours. I had one question to ask: 'What's important to you?' It's something that I ask everybody when I meet them. I was there early to prepare, and there was no-one else around.

All of a sudden, out of the blue, someone flew over to me and wanted to have a chat. I asked, as I always do, 'What's important to you?' Their reply surprised me. They said that what is important to them is their job.

And it wasn't about what they said; it was about how enthusiastic they were. I then thought, 'Well, actually I have the best job in the world,' so I had to know what their job was. I asked, 'What's your job?' They said they are the CEO of an exchange company that supports children and teaches them about money.

Then they said they are a little famous. I was a bit curious because I didn't recognise them at first, and I said, 'Alright, what's your name?' They said their last name is Fairy and their first name is Tooth. It was the tooth fairy!

They were out and about having a chat, and they wanted to tell me about a friend—a little boy they had an eye on. His name is Leo. He is a twin, and he was very excited because his tooth had become wobbly.

He came to his mum and let her know. His twin brother had received $2 the other day and was excited about what he was going to spend it on at the shop. Later on in the day, Dad helped get that tooth removed and, at the end of the night, Leo was happy to go to bed nice and early.

Mum asked him to take his brother with him. It was a really great night for Mum as she settled in for a kid-free night with Dad and a glass of wine. She was woken up really early the next day with a very excited Leo coming in because he'd received some money from the tooth fairy.

Mum looked over, bleary-eyed, and asked, 'What have you got there, Leo?' Leo said, 'I got $20, Mum—$20 from the tooth fairy!' He ran up, excited to tell his brother about how much money he had received. Mum then looked over at Dad and asked, 'What is going on?' Dad went on to explain that the tooth fairy had looked everywhere to find some money but wasn't able to find anything, and all he had was $20 in his pocket.

I asked the tooth fairy if that had happened before, and the tooth fairy sighed and said: 'Yes, sometimes it's hard for the tooth fairy to find cash. It's not as easy as it used to be.' More often than not, this actually happens. Parents don't keep coins around the house like they used to.

Many pay with the tap of a card. They order online. Their wages arrive electronically.

It's a wonderful and convenient way of receiving money—right up until that little tooth falls out at bedtime. Suddenly the search begins. Drawers are opened, jacket pockets are checked and the car's cup holders become the last place of hope to find a gold coin.

Every parent listening probably knows exactly what I'm talking about. In 2025, the Reserve Bank found that around 15 per cent of payments were still made in cash. While around one in 10 Australians rely on cash for most of their purchases, for older Australians, families with young children, people on lower incomes and many regional communities, cash remains an essential part of everyday life.

Cash is also there when the internet fails, when the power is out or when the EFTPOS systems break down. Cash is a way of making a moment feel real. Just as the tooth fairy said, a child can hold it, they can count it and they can begin to understand what it's worth.

Cash makes money visible. It helps children learn. When people think about cash, they rarely think about financial infrastructure.

They think about pocket money, a $20 note from a grandparent, a gold coin for a fundraiser or the selling of something on Marketplace. Have you ever tried to sell something on Marketplace? Have you had something lying around the house which was too good to go into landfill but which you no longer used?

If you had, you would know that the key thing you need is cash. I know most people use cards or phones for making purchases, but if you're standing at your neighbour's door buying that musical instrument that you'd always wanted to learn, you need cash. Cash is quick and an efficient part of the modern economy.

I support innovation. I support technology that makes life easier. But modernisation should expand choice.

It should never shut people out. A fall in the use of cash does not mean the need has disappeared. It means people who still rely on cash could become easier to overlook.

Well, Labor will not overlook them. The Albanese Labor government has committed to maintaining cash for as long as Australians want to use it. That commitment sits behind the cash acceptance mandate that began on 1 January 2026.

Supermarkets and fuel retailers covered by that mandate must accept cash between 7 am and 9 pm for transactions of $500 or less. A cash mandate at the check-out only works if cash can still move through the economy. Shops need change, ATMs need filling and communities need reliable access.

This bill, the Cash Distribution Framework Bill 2026, creates a national framework to protect that distribution system. It allows the Reserve Bank to safeguard critical cash providers and give the ACCC oversight of fair commercial arrangements so businesses and communities can continue to access cash when they need it. The first purpose of this bill is clear: protect choice, protect access and keep cash available for people who still need it.

It seems the tooth fairy's generosity can also have consequences elsewhere in a family budget, as was revealed later that day when I spoke to a lovely couple. They were out and about because it was Mum's birthday. Mum and Dad were chatting with me and her two boys, who happen to be twins, were playing nearby.

Mum was out looking for a present because, apparently, the kids didn't get the present that she had asked for. Dad had pulled some money out and given it to the kids for them to go shopping for Mum's present, but, as it turned out, Dad was a little bit short due to one very expensive tooth. Mum rolled her eyes; of course, they were only joking—partly.

This family, like other families, understands that money involves choices. Small businesses like the tooth fairy's understand that too. For a business to keep accepting cash, it needs confidence in the system behind it.

It needs to know what a service will cost, it needs fair terms and it needs somewhere to turn when negotiations break down. The tooth fairy knows that running a small business is harder than most people think. It needs suppliers, transport, somewhere to exchange notes for coins and confidence that cash will actually be available when it is asked for.

Every small business depends on infrastructure that most customers never see. When you buy a loaf of bread, you don't think about the truck that delivered it. When you withdraw cash, you probably don't think about the systems that move those notes safely across the country.

Yet, if those systems stop working, everyone notices. That is exactly why this legislation matters This bill gives the ACCC the power to approve standard terms for providers that supply cash. Those terms can cover services and pricing.

They will create a baseline that a critical provider must make available. Chosen providers must also negotiate in good faith. Their terms must be fair, clear and equal.

This is important in a market where customers may have few alternatives. A small supermarket cannot build its own cash network. A regional business may have only one realistic provider.

The framework also recognises that locations affect cost. Moving cash through inner Melbourne is different from moving it hundreds of kilometres across regional Australia. The bill allows for pricing to reflect those differences.

It also requires pricing to be set fairly and transparently. Businesses will have access to dispute resolution. A disagreement should not become a breakdown in service.

The ACCC will also be able to set compulsory minimum standards. Those standards can cover quality, dependability and service ease of use. The bill also creates reporting and record-keeping duties.

Those responsible for oversight need to see where pressure is building. They need to act before a weak point becomes a breakdown. This is especially important for regional and remote Australia.

Bank branch closures have already reduced local access. Reliable cash service cannot become another thing regional Australians are told to live without. The government has secured commitments from the major banks not to close further regional branches before 31 July 2027.

The government has also secured strong investment in Bank@Post. For many communities, Bank@Post provides basic banking services including access to cash. A branch or post office cannot provide cash if cash cannot reach it.

The second purpose of this bill is clear: turn the promise of cash access into systems businesses can rely on. Cash also remains part of community life much closer to home. Across Melbourne, school fundraisers, markets, sporting club canteens and neighbourhood events bring people together every weekend.

Volunteers run cake stands. They sell raffle tickets. They raise money for playgrounds, uniforms and junior teams.

Sooner or later, someone places a jar of lollies on a table and asks us to donate for a guess and a chance to win the jar. The next family I met told me about their school's fundraiser—guess how many jelly beans were in a jar. After being begged by her daughter, the mum dug into her purse and handed over a couple of coins so she could guess.

It was a big decision for her daughter and she spent most of the day trying to get the number right. She was so determined she even asked her dad for a couple of extra coins to make some more guesses. Her hard work paid off, and, yes, she won.

The whole family celebrated. Dad joked that the puzzle should probably come with a toothbrush. Mum immediately started negotiating how many jelly beans could actually be eaten in one day.

The little girl, however, had already worked out a business plan. She was going to share some with her friends, save some for later and keep the rest hidden from her brother. It struck me that all of those little decisions were really lessons about money—spending, saving, sharing.

Those are lessons children often first learn with coins in their hands. The tooth fairy may not have been very happy with the haul of lollies, but I am certain they would not make the same mistake of overspending on one tooth, especially when she had eaten her share of 1,723 jelly beans. The mum was hopeful that the child didn't end up at the tooth fairy's enemy, the dentist.

Cash is about more than payments. It's about family life. You cannot promise Australians access to cash while leaving the system that moves it to chance.

This bill gives the Reserve Bank crisis readiness and resolution powers. When the legislative triggers are met, the Reserve Bank will be able to give directions, appoint a statutory manager and use compulsory transfer powers. The bill also provides for free stays, temporary suspensions of termination rights and, where needed, temporary government funding.

These are strong powers for serious circumstances. Similar tools already exist in insurance, banking, clearing and settlement systems. Their purpose is simple: protect the public when a critical service is at risk.

Critical providers will also need their own crisis plan. They must understand their risk. They must be ready to respond and government must be ready too.

A crisis is not the moment to start deciding who has the authority. This bill puts the rules in place early. It gives the power to act quickly and it protects communities from a sudden and disorderly breakdown.

The third purpose of this bill is clear: prepare before a crisis, act when action is needed and keep cash moving. This legislation is practical Labor reform. Labor has always believed progress should improve people's lives.

This legislation reflects a simple principle. As technology changes, Australians should not lose choice. A modern economy should work for everyone—older Australians, families, regional communities and small businesses alike.

This bill comes from that same belief. Older Australians must be able to participate. People on lower incomes must be able to manage their money in a way that works for them.

Regional communities must retain access to essential services. Small businesses must have fair terms and reliable systems behind them and the tooth fairy must be able to swap coins for teeth. Labor embraces new technology.

We back innovation. We look after people. That is the difference between simply watching a market change and taking responsibility for where that change leads.

This bill protects choice. It keeps an essential service working in the public interest. From the tooth fairy to marketplace, from small businesses to school fundraisers, cash remains part of the moments that shape families and bring communities together.

Behind those moments sit a national system. Labor is making that system fairer. Labor is making it stronger.

Labor is making sure progress carries people with it. I commend this bill to the House.