Price parity consultation and next steps

Question

Senator SHARMA: Good afternoon. I've got some questions about the consultation that Treasury conducted about price parity clauses in the accommodation industry. That's part of Markets Group-is that right? Senator Gallagher: That frown's not looking positive. Senator SHARMA: It's a competition issue. Mr J McDonald: Sorry, I'm actually not aware of the consultation. Senator SHARMA: Apparently Treasury ran a consultation process from 25 November 2022 to 6 January 2023 and received 27 written submissions, including nine confidential submissions. This is in response to a question on notice I asked last year. The context is that, Minister, your government, when in opposition, promised to ban price parity clauses in the accommodation sector, and this consultation was in furtherance of that election commitment. The consultation closed on 6 January 2023-almost 312 years ago now. The submissions have not been published. The government's response to that consultation has not been forthcoming. I'm wondering: what we are meant to be telling accommodation providers about this promise to ban price parity clauses? Mr J Kelly: I do remember the consultation now. Senator SHARMA: I'm glad someone does. Mr J Kelly: It did belong to Markets Group. We'll have to take it on notice to come back to you on where it currently is. Senator SHARMA: No-one in this room knows anything about this? It was asked as a question on notice. You did provide a response. I was expecting that I'd be able to get a further update this evening. No-one's aware of this? Senator Gallagher: I'm seeing if there's anything I can update you with. Sorry, it's not in my portfolio. Mr J Kelly: I'm very much aware of it. It's not something that's been a major focus of our work, given the range of other things government's asking us to do. We haven't come prepared to answer questions on that today. We're better off taking them on notice. Next time we'll come prepared and willing to answer those questions. Senator SHARMA: Could you take the following on notice: When will the submissions be published, and why haven't they been published yet? When will the government provide a response to that consultation? Is this commitment to outlaw price parity clauses still the intent of the government? Senator Gallagher: We'll provide you with an update.

Answer

See attached response.

Documents

• Question with answer (PDF) (opens in a new tab)
• SQ26-000451 BET087 - Price parity consultation and next steps.pdf (opens in a new tab)