Canadian Parliament votes on Open Banking Bill C-365

In Canada, the House of Commons has voted to pass a second reading of Conservative MP Ryan Williams’ Bill C-365, which will accelerate the implementation of a consumer-led banking system for Canadians.

The Bill passed yesterday (March 20) with 172 votes in favour, versus 150 votes against.

It will now be read a second time and referred to the Standing Committee on Finance.

On X, formerly Twitter, Williams wrote: “C-365 is bringing competition to banking, despite Liberal opposition.”

Jessica Oliver, head of government and regulatory relations at Wealthsimple, called it “a meaningful step forward”, given that the Bill requires the Government to “move forward with consumer-driven banking (or Open Banking) within 30 days”.

Oliver wrote on LinkedIn: “Consumer-driven banking will improve the competitiveness of Canada’s financial services sector and give Canadians access to new financial products to help them budget, save, build credit, access better interest rates and more.”

She added: “The federal government has already pledged to introduce a consumer-driven banking framework as part of the 2024 budget cycle, and Canada’s [former] Open Banking lead Abraham A. Tachjian has done excellent work with industry partners to get us ready.

“The vote to approve this bill shows that there is cross-party support to get it done without delay and to make life more affordable for Canadians.”

The Government of Canada has confirmed it will release Budget 2024 on April 16.

Deputy Prime Minister and Minister of Finance Chrystia Freeland will deliver the Budget in the House of Commons.

“Our economic plan is about building more homes, faster, making life more affordable, and creating more good jobs,” she said.

“This plan will unlock pathways to a good middle class life for the next generation—because Canada is stronger when everyone has an equal chance to succeed. Together, we are going to unlock and build a brighter, more prosperous future.”

Last month, Fintechs Canada sent its pre-Budget submission to the federal government, in which it put forward proposals for what a government-led entity should do to oversee Open Banking, and how the government can provide ongoing support for Real-Time Rail (RTR).

Open Banking Expo Canada is coming to the Metro Toronto Convention Centre on June 11 – find out more about the agenda and get your ticket here.