The banking sector is celebrating as the Government plans to slash red tape on lending. 

The financial services sector will see regulations cut on licensing and loan requirements, a u-turn on laws introduced in 2021. 

Minister of Commerce and Consumer Affairs Andrew Bayly told Mike Hosking that while he agreed with the intention of previous regulations, the last government didn't adequately consult the sector. 

He says it's about freeing up the banks and lenders, to make it easier to give small loans. 

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• "Restrictive" lending laws are on the chopping block