The Indigenous Consumer Assistance Network (ICAN) has joined a national coalition of consumer advocacy organisations calling on the Australian Government to strengthen its proposed scam protections and close critical gaps in the current framework.
ICAN is among a group of leading organisations; including CHOICE, Consumer Action Law Centre, ACCAN, Financial Rights Legal Centre, Mob Strong Debt Help, Consumer Policy Research Centre (CPRC), Consumer Credit Legal Service (WA), Financial Counselling Australia (FCA) and Super Consumers Australia that have signed an open letter urging the Government to ensure the new Scams Prevention Framework (SPF) delivers comprehensive, economy-wide protection for consumers.
While the SPF represents an important step forward, ICAN and its coalition partners are concerned that the current proposal does not place clear obligations on many platforms where scams are increasingly occurring, including dating apps, email services and online marketplaces.
Since 2020, Australians have lost more than $220 million to dating and romance scams alone. These scams are particularly harmful because they exploit trust and emotional vulnerability over extended periods, often leaving victims with devastating financial and psychological consequences.
ICAN Financial Counsellor Alex Price-Busch sees this impact firsthand.
“Romance scams often emerge gradually through other financial issues,” Alex said. “One client initially came to us about a car problem but later disclosed he had been sending a large portion of his Disability Pension overseas to someone he believed he was in a relationship with. The emotional connection was strong, and even when concerns were raised, it was difficult for him to accept it might be a scam.”
“These situations place enormous emotional pressure on people. Clients can feel responsible for the other person’s safety and wellbeing, which makes it incredibly hard to step away, even when the financial harm is clear.”
ICAN CEO Aaron Davis said the emotional complexity of romance scams makes them particularly challenging for financial counsellors and support services.
“Across the country, financial counsellors are seeing how deeply personal and emotionally invested people become in these scams. That emotional connection can make it extremely difficult for someone to accept they’ve been targeted,” he said.
Mr Davis emphasised the need for the Scams Prevention Framework to extend beyond banks and telecommunications providers to include additional sectors where scams are prevalent.
“Expanding the framework to include superannuation, email services, online marketplaces and gaming platforms would significantly strengthen protections; especially for First Nations people in rural and remote communities,” he said.
“In remote communities, the impact of scams goes far beyond financial loss. It can affect access to food, essential services and cultural obligations, and it can erode trust in the digital economy. These impacts are felt by the whole community. Recovery is often much harder where there are barriers to banking, identification, connectivity and culturally appropriate support.”
The Scams Prevention Framework introduces mandatory responsibilities for banks, telecommunications providers and some digital platforms to prevent, detect and disrupt scam activity. It includes stronger intelligence-sharing between industry and regulators, improved reporting pathways, real-time disruption measures and new compensation pathways where businesses fail to meet their obligations.
Importantly, the framework shifts responsibility away from individuals and towards institutions, establishing a coordinated, system-wide response to scam activity.
However, ICAN and partner organisations warn that as protections strengthen in regulated sectors, scammers will rapidly move to unregulated platforms and payment channels. The coalition is urging government to expand the SPF now to ensure protections remain one step ahead. You can help by signing the open letter to demand stronger protections against scams. ICAN continues to advocate for a comprehensive, inclusive approach that recognises the unique risks and impacts of scams for First Nations communities and ensures no one is left behind in Australia’s evolving digital economy.
You can learn more about the Scam Protection Framework here: https://treasury.gov.au/sites/default/files/2025-01/p2025-623966.pdf or see the reported impact of scams by visiting the Scamwatch website at: https://www.scamwatch.gov.au/ .