The Reserve Bank of New Zealand has updated the implementation timeline for prudential standards under the Deposit Takers Act 2023, confirming the standards will be issued by 31 May 2027 and will come into force on 1 December 2028. It also published its response to submissions on the proposed non-core standards and a summary of submissions on the Crisis Management issues paper. Exposure draft consultation on the standards will be run in three tranches starting in October 2025. Licensing of existing deposit takers will run for 18 months from 1 June 2027 to 30 November 2028, ahead of the standards taking effect, moving all banks and non-bank deposit takers into a single licensing regime; core standards will be used to assess eligibility for relicensing, while non-core standards will apply to all deposit takers when the standards regime starts. The timeline change was made to allow time for a review of key capital settings announced on 31 March 2025, with the standards previously planned to take effect in July 2028. Following consultation that received 25 submissions in 2024 on non-core standards, the Reserve Bank has adjusted proposals to support a more proportionate approach, reduce compliance impacts and enhance potential competition, including by removing prescriptive detail and increasing flexibility in some areas. Further information on the licensing approach for existing deposit takers is expected in late 2025.

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