On 14 December 2011 the Attorney-General and Parliamentary Secretary to the Treasurer released A Modernisation and Harmonisation of the Regulatory Framework Applying to Insolvency Practitioners in Australia - a proposals paper setting out a pathway to significant regulatory reform of Australia's insolvency industry. Key reform areas in the paper are reflected in the Insolvency Law Reform Act 2016. The Act comprises a package of proposals to amend and streamline the Bankruptcy Act, 1966, the Corporations Act, 2001 and the Australian Securities and Investments Commission Act 2001. The amendments aim to:

• remove unnecessary costs and increase efficiency in insolvency administrations;
• align the registration and disciplinary frameworks that apply to registered liquidators and registered trustees;
• align a range of specific rules relating to the handling of personal bankruptcies and corporate external administrations;
• enhance communication and transparency between stakeholders;
• promote market competition on price and quality;
• improve the powers available to the corporate regulator; and
• improve overall confidence in the professionalism and competence of insolvency practitioners.

The reform was implemented over two stages. Parts 1 and 2 of the new Insolvency Practice Schedules (for Corporations and Bankruptcy), largely concerned with registration and discipline of insolvency practitioners, commenced on 1 March 2017. Part 3 of the Schedules which relates to insolvency administration processes commenced on 1 September 2017.