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.