Release type: Media Release


Morrison Government releases draft legislation to increase transparency in franchising


The Hon Stuart Robert MP
Minister for Employment, Workforce, Skills, Small and Family Business

The Morrison Government is delivering on its election commitment to improve transparency in the franchise sector by developing a register of franchise businesses. Today it released draft amendments to the Franchising Code of Conduct to support the establishment and operation of the Franchise Disclosure Register.

The draft amendments follow the 2021-22 Budget commitment of $4.3 million for a new Franchise Disclosure Register to assist prospective franchisees to make an informed decision before entering a franchise agreement.  

Minister Robert said the release of the proposed amendments is an important step, building on reforms to the Franchising Code of Conduct which took effect on 1 July this year.

‘The franchising sector makes a valuable contribution to the Australian economy, and the Morrison Government is committed to supporting the sector through increased transparency and accountability,’ Minister Robert said.

‘The local Australian franchising sector will always get a better deal under the Morrison Government, we are getting on with improving the sector and continue listening closely to the thousands of local franchise businesses who need a hand.’ 

Under the proposed reforms, the Register will be publicly available and free to access. Franchisors will be required to upload and publish information on the Register by 31 October 2022, which will support franchisees to conduct due diligence and make informed business decisions.

The Exposure Draft legislation, Explanatory Statement and a supporting guide are available on the Treasury website. Interested parties are encouraged to review the draft amendments alongside the supporting guide, which outlines the Register’s proposed features and consultation questions.  

Stakeholders are invited to provide a submission in response to the draft amendments and consultation questions to by 29 October 2021.

Information on the reforms to the Franchising Code of Conduct that came into effect on 1 July can be found on the Treasury website.