The Federal Government has outlined its plans to extend the Consumer Data Right (CDR) scheme to non-bank lenders, including buy now, pay later (BNPL) providers, from mid-2026.

Among the other mooted changes to the data sharing scheme include:

• A removal of the requirement for data holders to share consumer or product data for niche products such as asset finance, consumer leases, reverse mortgages, margin loans and foreign currency amounts.
• A reduction in the mandated period for data to be held and shared from seven years to two years.
• The inclusion of BNPL products under the data-sharing obligations.

The proposed changes come as part of the Government’s previously announced “CDR reset”, which seeks to address concerns around high compliance costs and the limited uptake of use cases by consumers.

“The Government’s changes will open opportunities for consumers to use the CDR to find the best deals on more lending products. It will also address the cost burden of the CDR on the financial sector,” said Assistant Treasurer and Minister for Financial Services Stephen Jones in a statement.

Jones added that Government is “working closely with stakeholders and will continue to expand the CDR in ways that foster innovation, whilst being purposeful and focussed on consumer benefit”.

The CDR, launched for banks in mid-2020 and expanded to energy providers in late-2022, enables individuals and businesses to access their data held by their bank or electricity provider, and obligates service providers to provide relevant product data. This enbles customers to compare product options, and more easily switch providers and apply for products and services.

As part of its reset plans, the Government said that it is focused on reducing unnecessary costs and enabling high‑value use cases.