Big banks to pay $120m for ASIC's crime crackdown

Australia’s big banks will have to fork out an extra $120 million to assist with the Australian Securities and Investments Commission’s crackdown on financial crime.

 Treasurer Scott Morrison announced this morning a four-year levy would replace ASIC finances lost through cuts made by former governments.

 Morrison said ASIC would shift away from taxpayer funding and instead banks would be made to foot the bill.

"Those whom it's enforcing the regulations and rules on will pay the price for that," Mr Morrison said.

The funding includes $61 million to boost enhanced data analytics and surveillance.

"In the 21st century economy, you need a tech cop on the beat," Morrison said.

There will also be $57 million allocated for increased surveillance, investigation and prosecution capacity to pursue cases.

ASIC boss Greg Medcraft's term has been extended for 18 months and the government has also appointed an additional commissioner to ASIC with special expertise in prosecution.

"We want an ASIC that leans forward and we want an ASIC that actually prosecutes and takes those matters up," Mr Morrison said.