Foreign investment framework reforms, review of ineffective conditions

Treasury began a review of conditions attached to existing foreign investment approvals on 1 July 2026, following reforms announced in the 2026 to 2027 Budget aimed at further streamlining and strengthening the foreign investment framework. The review is examining whether conditions imposed on past approvals remain effective and enforceable in managing national interest and national security risks, and may result in the removal of conditions assessed as ineffective, the removal of conditions that duplicate obligations imposed under other regulatory regimes, or updates to conditions to better manage risk. The review is focusing first on tax-related conditions, with other categories of condition to be considered following consultation.

Public consultation through the Treasury Consultation Hub, referenced as c2026-791840, opened in the second half of 2026 to allow investors and stakeholders to make written submissions on which existing conditions they consider ineffective and what changes might be made. Treasury has stated that the review does not change existing approval obligations in the meantime, meaning investors must continue to comply with the conditions currently attached to their approvals unless and until Treasury confirms a variation.

No outcomes of the review or the consultation have yet been published, and any removal or variation of conditions will depend on Treasury's assessment following the consultation process. Foreign investors with conditional approvals should not assume any existing condition has changed until Treasury confirms a specific variation in relation to their approval.