Bendigo and Adelaide Bank hit with $50M APRA capital charge

Bendigo and Adelaide Bank (ASX:BEN) will face a $50 million operational risk capital charge imposed by the Australian Prudential Regulation Authority, effective Jan. 1, 2026.

The charge is expected to reduce the bank's Level 2 Common Equity Tier 1 ratio by around 17 basis points.

As of Nov. 30, the bank's CET1 ratio stood at 11.19%, remaining above both the board's target and APRA’s benchmark for an “unquestionably strong” capital position.

In a separate matter, the Australian Transaction Reports and Analysis Centre has launched an enforcement investigation into the bank following previously disclosed deficiencies in anti-money laundering and counter-terrorism financing controls.

AUSTRAC has identified potential serious contraventions of the AML/CTF Act 2006 but has not yet determined whether formal enforcement action will be taken.

Bendigo Bank said it is continuing to engage constructively with the regulator.

Bendigo Bank Chair Vicki Carter said the institution recognises the critical importance of robust risk management to protect customers and support community prosperity.

CEO and Managing Director Richard Fennell noted that while the bank has taken steps to strengthen risk culture and capability over the past year, further efforts are required.