The Australian Prudential Regulation Authority has finalised targeted amendments to Prudential Standard CPS 230 Operational Risk Management, Prudential Practice Guide CPG 230 and the Material Service Provider Register template. The changes introduce limited exemptions from specific contractual requirements for material arrangements with certain categories of non-traditional service providers where contractual compliance is not practicable, including central banks and clearing and settlement facilities, following industry feedback. The amended CPS 230 points to categories of exempt service providers in an attachment to the standard, while the revised CPG 230 clarifies APRA's expectations for managing those arrangements. The updated Material Service Provider Register template includes revised instructions and accommodates arrangements with exempt service providers. The updated CPS 230 and CPG 230 commence on 1 July 2026, and APRA will issue an updated APRA Connect return for the 2026 submission in the coming weeks.
Australian Prudential Regulation Authority 2026-04-30
Australian Prudential Regulation Authority finalises CPS 230 amendments granting limited contractual exemptions for certain non-traditional service providers
The Australian Prudential Regulation Authority has finalised targeted amendments to Prudential Standard CPS 230 Operational Risk Management, Prudential Practice Guide CPG 230 and the Material Service Provider Register template. The changes introduce limited exemptions from certain contractual requirements for material arrangements with specified non-traditional service providers, including central banks and clearing and settlement facilities, and clarify expectations for managing these arrangements and reporting on exempt providers.