This bill is currently before Parliament.
Government & democracy
The bill would create a Parliamentary Joint CommitteeA committee made up of members from both the Senate and the House of Representatives. This bill would create one for public consultancy and services contracts. on Public Consultancy and Services Contracts to review, consider and report on consultancy and services contracts entered into by Commonwealth entities.
Senator Colbeck introduced the bill to give Parliament a formal role in scrutinising large Commonwealth consultancy contracts. The explanatory memorandum and second reading speech link the proposal to the Senate Finance and Public Administration References CommitteeThe Senate committee whose inquiry into integrity in consulting services recommended a new parliamentary oversight model for consultancy contracts. inquiry into integrity in consulting services, which recommended a joint committeeA committee made up of members from both the Senate and the House of Representatives. This bill would create one for public consultancy and services contracts. modelled on the Public Works CommitteeAn existing parliamentary committee that scrutinises major public works. The bill materials use it as the model for stronger scrutiny of major consultancy contracts. approach. The bill also responds to concern that management advisory contractsA category of Commonwealth procurement spending used in the bill materials to show the scale of government spending on management advice and related services. involved about $3.272 billion in Commonwealth spending in 2022-23, or 4.37 per cent of procurement outlays, without an equivalent parliamentary approval process for major consultancy work.
The bill sits in a wider debate about Commonwealth reliance on consultants, procurement integrity and how much parliamentary oversight should apply before large consultancy contracts are signed. The immediate official anchor is the Senate Finance and Public Administration References CommitteeThe Senate committee whose inquiry into integrity in consulting services recommended a new parliamentary oversight model for consultancy contracts. inquiry into management and assurance of integrity by consulting services. The locally collected public context also points to earlier parliamentary concern about consultancy spending, the PwC tax-leaks scandal, and later government resistance to giving Parliament a broad power to cancel large consulting deals.
The collected parliamentary record for this bill contains the sponsor's speech, no proposed amendments, no recorded divisions and no detailed opposition debate. The only substantive contrary public-context item in the local source set is a later Australian Financial Review report that the Albanese government rejected a Senate-inquiry proposal for a parliamentary power to cancel large consultancy contracts, saying reforms to public-sector use of professional services firms were already working.
Senator Richard Colbeck introduced this bill. Supportive speeches so far have come from Liberal Party.
Did it become law?
Not yet
Final passage
No final vote yet
The bill has not yet completed passage through Parliament.
Days since introduction
315 days
Updated 10 June 2026.
Meaning
The bill would create a Parliamentary Joint CommitteeA committee made up of members from both the Senate and the House of Representatives. This bill would create one for public consultancy and services contracts. on Public Consultancy and Services Contracts to review, consider and report on consultancy and services contracts entered into by Commonwealth entities.
The proposed committee would have eight members: four senators and four members of the House of Representatives. Ministers, presiding officers and deputy presiding officers could not be appointed to it.
The committee's chair would have to be a government member, and its deputy chair would have to be an opposition member. The explanatory memorandum says those offices matter because both would have to consent before an urgent contract could avoid the standard committee process.
A referred contract would need to be accompanied by information about the subject matter, expected duration, contracting Commonwealth entityA Commonwealth body covered by the Public Governance, Performance and Accountability Act 2013. The bill would apply to consultancy contracts entered into by these entities., intended purpose or deliverable, and the reason for using an external consultant.
For consultancy contracts above $2 million, the bill would usually stop the contract being executed until the committee had reported that it approved the contract and the required parliamentary waiting period had passed, unless both Houses approved the contract earlier.
Either House could block an approved contract by resolving to disapprove it within five sitting daysA day when a House of Parliament meets. Under the bill, a House would have five sitting days after a committee report to disapprove a covered contract. after the committee report was presented to that House.
The bill includes two ways for a contract to avoid ordinary committee consideration: both Houses could exempt it, or the Minister could declare it urgent after written notice to the committee and written consent from both the chair and deputy chair.
The $2 million threshold could be replaced by another amount set in regulationsRules made under an Act. This bill would allow regulations to set a different contract-value threshold instead of the default $2 million threshold., and a contract variation would count if the total value after the variation rose above the threshold.
Senator Colbeck said the bill was introduced to implement a Senate inquiry recommendation for a parliamentary committee modelled on the Public Works CommitteeAn existing parliamentary committee that scrutinises major public works. The bill materials use it as the model for stronger scrutiny of major consultancy contracts. approach, after concerns about integrity and oversight in Commonwealth consulting services.
The local APH record says the bill was still before the Senate, had been referred to the Senate Finance and Public Administration Legislation CommitteeThe Senate committee to which the APH bill notes say this bill was referred for inquiry on 28 August 2025., and had not become an Act. If passed, the bill says the whole Act would start the day after Royal AssentThe final formal approval a bill needs before it becomes an Act. This bill says it would commence the day after Royal Assent..
The Parliamentary Joint Committee on Public Consultancy and Services Contracts Bill 2025 proposes the establishment of a parliamentary joint committee of the same name (the Committee) to review, consider, and report on consultancy and services contracts entered into by Commonwealth entities.Explanatory memorandum
The Committee is to consist of 8 members: (a) 4 members of the Senate appointed by the Senate; and (b) 4 members of the House of Representatives appointed by that House.Introduced bill text
Subclauses (7) and (8) provide that the chair and deputy chair are to be members of the government and opposition, respectively... in recognition of the key role given to the Chair and Deputy Chair, in consenting to the urgent entering into of consultancy contracts without following the standard process of committee consideration.Explanatory memorandum
The Minister shall provide to the Committee in respect of each public consultancy contract referred to the Committee a statement in relation to the contract that includes the following information: (a) the subject matter of the contract; (b) the expected duration of the contract; (c) the contracting Commonwealth entity; (d) an explanation of what the contract is expected to deliver or the purpose of the contract; (e) the rationale for the engagement of a consultant in relation to the matter.Introduced bill text
a report of the Committee on the contract has been presented to both Houses of the Parliament containing a statement that the Committee approves the contract; and ... a period of 5 sitting days of each House of the Parliament has passed ... [or] each House of the Parliament resolves to approve the contract.Introduced bill text
A public consultancy contract to which this section applies may not be executed if a House of the Parliament has resolved to disapprove the contract, provided that House did so within 5 sitting days of that House following the presentation to the House of a report of the Committee concerning the contract.Introduced bill text
A public consultancy contract to which this section applies may be executed without having been referred to the Committee if each House of the Parliament has resolved that the contract is exempt... [or] if the Minister declares, in writing, that the contract must be executed urgently.Introduced bill text
This section applies to a public consultancy contract that provides consideration to a value above: (a) $2,000,000; or (b) if another amount is specified in the regulations... If a variation to a public consultancy contract would provide that the total consideration provided under the contract as varied would be a value above...Introduced bill text
The need for this bill and the committee it establishes was overwhelmingly evident as a result of the inquiry led by the Finance and Public Administration References Committee into 'Management and assurance of integrity by consulting services'.Second reading speech
The whole of this Act The day after this Act receives the Royal Assent. ... Referred to Committee (28/08/2025): Senate Finance and Public Administration Legislation Commitee; Committee report (02/04/2026)Introduced bill text and APH bill notes
Context
The bill sits in a wider debate about Commonwealth reliance on consultants, procurement integrity and how much parliamentary oversight should apply before large consultancy contracts are signed. The immediate official anchor is the Senate Finance and Public Administration References CommitteeThe Senate committee whose inquiry into integrity in consulting services recommended a new parliamentary oversight model for consultancy contracts. inquiry into management and assurance of integrity by consulting services. The locally collected public context also points to earlier parliamentary concern about consultancy spending, the PwC tax-leaks scandal, and later government resistance to giving Parliament a broad power to cancel large consulting deals.
MPs question government consultancy spending
The Australian Financial Review reported that Labor and Coalition MPs wanted tighter restrictions on federal use of external consultants after an ANAO analysis of procurement contracts prompted a Joint CommitteeA committee made up of members from both the Senate and the House of Representatives. This bill would create one for public consultancy and services contracts. of Public Accounts and Audit inquiry.
Australian Financial Review ↗PwC leaks expand scrutiny of big consultants
The Australian Financial Review reported that the PwC tax leaks scandal triggered a parliamentary inquiry into big-four partnership models, disclosure obligations and possible penalties for misconduct.
Australian Financial Review ↗Senate inquiry calls for stronger contract oversight
The local public-context extract says the Senate consulting inquiry's final report recommended stricter oversight of major consulting firms, including parliamentary approval of large consultancy contracts. Senator Colbeck later said this bill sought to implement the inquiry's joint-committee recommendation.
Australian Financial Review and second reading speech ↗Colbeck introduces consultancy oversight bill
Senator Richard Colbeck introduced the bill in the Senate, proposing a new joint parliamentary committee to review and approve certain Commonwealth consultancy contracts.
Parliament of Australia ↗Senate sends bill to committee inquiry
APH notes record that the bill was referred to the Senate Finance and Public Administration Legislation CommitteeThe Senate committee to which the APH bill notes say this bill was referred for inquiry on 28 August 2025., with a committee report date recorded as 2 April 2026.
APH bill page notes ↗Government rejects a broader contract veto
The Australian Financial Review reported that the Albanese government rejected a Senate-inquiry proposal that would have allowed a parliamentary committee to cancel large consultancy contracts, saying public-sector engagement reforms were already working.
Australian Financial Review ↗Legislative route
Senator Richard Colbeck introduced the bill and it was read a first time.
Introduced and read a first time
Senator Colbeck moved the second reading, opening debate on the bill's purpose and principles.
The APH bill notes record referral to the Senate Finance and Public Administration Legislation CommitteeThe Senate committee to which the APH bill notes say this bill was referred for inquiry on 28 August 2025., with a report date of 2 April 2026.
Referred to committee
The APH bill notes say the bill was referred to the Senate Finance and Public Administration Legislation CommitteeThe Senate committee to which the APH bill notes say this bill was referred for inquiry on 28 August 2025. on 28 August 2025, with a committee report recorded for 2 April 2026.
Referred to committee
APH bill page notesKey criticism
The collected parliamentary record for this bill contains the sponsor's speech, no proposed amendments, no recorded divisions and no detailed opposition debate. The only substantive contrary public-context item in the local source set is a later Australian Financial Review report that the Albanese government rejected a Senate-inquiry proposal for a parliamentary power to cancel large consultancy contracts, saying reforms to public-sector use of professional services firms were already working.
That AFR item is broader public context about the Senate inquiry and government response, not a recorded parliamentary vote on this bill. The page therefore treats it as a related criticism of the policy direction rather than proof of the bill's final parliamentary outcome.
Government resisted a contract veto
The Australian Financial Review reported that Labor rejected a Senate-inquiry proposal that would have let a parliamentary committee cancel large consultancy contracts, arguing that its existing public-sector professional-services reforms were working.
Further sources
Votes
No recorded votes have been found yet for this bill.
Parliamentary debate
Start here — lead voices
Richard Colbeck supports the bill as its sponsor.
Read in Hansard ↗All speeches by bloc
1 speaker · 1 support
“This bill seeks to implement that recommendation. Where large sums of public funds are being expended, there is a case for wider scrutiny than is given at present.”Read the full speech in Hansard ↗
Record
Senate · Introduced and read a first time
Introduced in the Senate
Senator Richard Colbeck introduced the bill and it was read a first time.
Senate · Second reading moved
Second reading moved
Senator Colbeck moved the second reading, opening debate on the bill's purpose and principles.
Senate · Referred to committee
Referred for committee inquiry
The APH bill notes record referral to the Senate Finance and Public Administration Legislation CommitteeThe Senate committee to which the APH bill notes say this bill was referred for inquiry on 28 August 2025., with a report date of 2 April 2026.
Senate Finance and Public Administration Legislation Committee
Referred to committee
The APH bill notes say the bill was referred to the Senate Finance and Public Administration Legislation Committee on 28 August 2025, with a committee report recorded for 2 April 2026.
Referred to Committee (28 Aug 2025): Senate Finance and Public Administration Legislation Commitee; Committee report (2 Apr 2026)
APH bill page notes