Australian businesses are navigating twelve major regulatory changes from merger approvals to privacy sweeps
Australia has entered a new era of business regulation. From 1 January 2026, companies across the country must navigate a complex web of compliance changes that touch everything from corporate acquisitions to corner shop cash registers.
The centrepiece is Australia’s mandatory merger control regime, which came into effect on 1 January 2026 and aims to identify and prevent anti-competitive acquisitions. For the first time, businesses contemplating an acquisition that meets certain thresholds must notify the ACCC and wait for approval before their proposed acquisition can proceed.
The thresholds are precise. Where a transaction meets monetary thresholds including when the sum of revenue of the acquirer and target is 200 million dollars or more, and either the revenue of the target is 50 million dollars or more, or the transaction value is 250 million dollars or more, it must be notified for approval by the ACCC prior to completion. Assessment timelines stretch from 15 business days minimum to potentially 90 business days for complex Phase 2 reviews.
Completing a notifiable acquisition without ACCC approval is a breach of the Competition and Consumer Act and could trigger enforcement action and large penalties up to 50 million dollars or 2.5 million dollars for individuals.
Privacy under scrutiny
Simultaneously, Australia’s privacy regulator began 2026 with its first-ever compliance sweep, conducting a targeted review of selected businesses’ privacy policies. The regulator is examining approximately 60 entities across six sectors where in-person data collection creates privacy risks.
In announcing the sweep, officials said consumers often lack necessary information when confronted with in-person requests for personal data. When people are asked for their personal information from retailers, licensed venues, car hire companies or real estate agents, they often don’t have access to all the information they might need to make an informed decision. This makes them vulnerable to overcollection of personal information and creates risks to their security and privacy.
The sweep targets rental and property services, chemists and pharmacists, licensed venues, car rental companies, car dealerships, and pawnbrokers and second-hand dealers. Entities found to have non-compliant privacy policies may face compliance and infringement notices and penalties of up to 66,000 dollars.
Cash remains king
Major retailers now face new payment obligations. From 1 January 2026, most retailers must accept cash for in-person transactions of 500 dollars or less between 7am and 9pm for fuel and grocery purchases.
The mandate applies primarily to large chains. Small businesses with aggregate annual turnover under 10 million dollars will be exempted from the mandate, however, the mandate will apply to small businesses that choose to share a trademark with a larger retailer.
In confirming the policy, the government positioned it as essential for financial inclusion, stating it would be mandatory for fuel and grocery retailers to accept cash as payment for the essential goods. Maximum penalties for non-compliance reach 198,000 dollars.
Queensland procurement transformation
Queensland has implemented the most comprehensive government procurement overhaul in decades. Under the new Queensland Procurement Policy 2026, small, family, and regional businesses will be at the heart of how the government buys goods and services with clear targets, less paperwork, and greater transparency for taxpayers.
The policy establishes a 30 per cent small and medium enterprise participation target for government contracts. Supporting Indigenous business growth with at least 3 per cent of annual procurement spend is now mandatory, alongside increased focus on female-led businesses and veteran-owned enterprises.
The changes permanently remove the Best Practice Industry Conditions program. In announcing the reforms, officials said removing red tape, permanently scrapping BPIC, and focusing on value for money will improve productivity and drive the delivery of better infrastructure and services.
Apprenticeship support reduced
From 1 January 2026, apprenticeship incentives have been restructured to prioritise housing and clean energy trades. Maximum full-time payment reduced from 5,000 dollars to 2,500 dollars, paid over the first two years of an apprenticeship, for apprentices in an occupation and linked qualification on the Priority List.
The change sparked immediate criticism from industry groups. Business representatives said small businesses rely on apprenticeships to build capability, bring new entrants into their industries and maintain a skilled workforce. Halving incentives with just four weeks’ notice will discourage employers from taking on apprentices at a time when many are already struggling to find staff.
Hospitality, automotive repair, hairdressing and retail sectors face particularly severe impacts. Industry observers noted that current incentives already fall below what it costs venues to train a chef from scratch.
E-bike safety mandates
New South Wales has introduced the nation’s first comprehensive safety standards for lithium-ion e-mobility products. From 1 February 2026, e-mobility devices and their associated lithium-ion batteries must be tested, certified and marked prior to sale in NSW, in addition to compliance with the Product Standards.
The requirements address fire risks. Fire and Rescue NSW recorded 90 incidents related to e-mobility products in 2022 and 2023, making them the single largest group of lithium-ion battery-powered devices associated with fires.
Retailers, manufacturers and suppliers will face fines of up to 825,000 dollars for not complying with the new safety standards. Additionally, an Information Standard requires suppliers to provide clear and accurate safety information at the point of supply, with penalties of up to 5,500 dollars for non-compliance.
Workplace hearing tests
From 1 January 2026, New South Wales employers must provide audiometric testing to workers frequently required to use hearing protection to control noise that exceeds the exposure standard.
For new workers, a baseline hearing test must be completed within three months of commencing their employment. The worker must then get a follow-up monitoring hearing test at least every two years during their employment.
For existing workers employed before 1 January 2024, employers must ensure that hearing tests are conducted before 1 January 2026. More frequent hearing tests may be required for workers exposed to high, average noise levels throughout their work shift.
The requirement affects businesses across manufacturing, hospitality, construction and other noise-intensive industries. Employers must organise and pay for the hearing tests.
ACT payroll tax rises
The Australian Capital Territory has implemented progressive payroll tax increases targeting large employers. From 1 January 2026, enterprises with annual Australia-wide wages over 50 million dollars face surcharges.
Employers earning between 50 million and 100 million dollars will face a 0.5 per cent surcharge, and those with wages exceeding 100 million dollars will pay a 1 per cent surcharge. Enterprises with over 150 million dollars in annual wages will see a flat payroll tax rate of 8.75 per cent under the new system, starting 1 July 2026.
The changes directly affect large companies with substantial payrolls and represent significant increases in tax liabilities for multi-jurisdictional employers.
Merger transition window
Businesses that engaged in informal clearance discussions with the ACCC before 2026 may avoid re-notification if their transactions are timed correctly. Voluntary early notifications are already in play as companies seek certainty before the new regime’s full enforcement begins.
The transition arrangements provide relief for deals already advanced before the mandatory regime commenced, though specific timing windows apply. Companies must carefully assess whether their transactions fall within the transitional provisions.
Climate disclosure pressure
While not a hard January 1 start for small and medium enterprises, 2026 is when pressure spreads down supply chains as larger firms must report climate-related financial disclosures. The first phase requires Group 1 entities to disclose climate-related risks and emissions across their entire value chain. Group 2 entities will need to comply from 2026, followed by Group 3 entities from 2027.
Material Scope 3 emissions, being those generated from an entity’s supply chain, must be disclosed from the second year of reporting. This creates cascading pressure on suppliers and smaller businesses to track and report their emissions even if not directly subject to the mandatory reporting requirements.
The regime represents a permanent shift in corporate governance, requiring organisations to integrate climate considerations into their core financial and strategic processes with a new level of rigour.
Payday super looms
The most significant change for employer cash flow arrives mid-year. From 1 July 2026, employers will be required to pay their employees’ superannuation guarantee at the same time as their salary and wages, ending the quarterly payment system.
This reform strengthens Australia’s superannuation system by ensuring employees receive their contributions more often, helping to reduce unpaid super. Under the new rules, employers will need to pay employees’ super contributions at the same time they pay their salary or wages so that the contributions reach the employees’ nominated account within 7 business days.
Industry representatives described the reform as momentous, telling media the payday super will be the biggest single change across the super landscape in 2026. It will be a really momentous day, from 1 July when those laws come into effect.
Supermarket scrutiny tightens
While not yet law, enforcement posture from the ACCC is clearly tightening alongside cash and merger reforms. The competition regulator has signalled increased scrutiny on supermarkets and pricing conduct, building on public pressure around cost of living.
The enhanced scrutiny complements the cash acceptance mandate and merger notification regime, creating a comprehensive regulatory framework targeting major retailers. Businesses should anticipate heightened compliance expectations and potential enforcement actions around pricing practices and competitive conduct.
For small and medium enterprises, the changes present particular challenges. Many lack dedicated compliance teams and must balance new regulatory requirements against existing operational pressures and workforce shortages.
The regulatory landscape continues evolving. Treasury and regulatory agencies have flagged ongoing reviews and potential adjustments based on implementation experiences. Businesses are advised to monitor official guidance channels and engage professional advisors to navigate the complex compliance environment taking shape across 2026.
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