Strata Commissions Review

The NSW Productivity Commissioner has been requested by the Minister for Better Regulation and Fair Trading to review the market impacts of prohibiting strata managing agents from accepting commissions and other conflicted payments, and to provide an evidence base to support government decision-making.

The Commission has published an issues paper (PDF 1.36MB) that examines the challenges posed by commissions, and provides preliminary analysis on the effects of three different policy options:

• Option one: Self-regulation, building on the Strata Community Association (NSW) plan to support and encourage members to transition away from insurance commissions.
• Option two: The NSW Government would introduce a ban on strata managers accepting commissions of any kind.
• Option three: Like option two, but with an additional ban on strata managers arranging certain services for the owners corporation that involve commissions further up the supply chain.

We welcome feedback on whether our issues paper has accurately described the problem, identified appropriate options and understood what the impacts of those options would be via our online
Have your say questionnaire. This feedback will be used to develop the final report.

If you are unable to complete the questionnaire and would like to make a submission, please email us.