Mr. Tim Molan:

Tiered regulation was a key deliverable of the commission. At the time, the commission envisaged a three-tier regulatory approach. In CP76, issued by the Central Bank in late 2013, a two-tiered regulatory approach was proposed. The tiers were supposed to be around the level of risk and complexity that would be involved. All three representative associations were in favour of a tiered approach to regulation. It never happened, however. That is part and parcel of why, for instance, this CUAC report is being debated. Generally, there are several downsides to the one-size-fits-all approach. First, it overburdens the small credit unions, and, second, it restricts the ability of the larger credit unions to innovate. Innovation is absolutely key to the future for us. The whole area of tiered regulation has to be addressed by this committee. Other than that, we are just going to stagnate.