APRA says it will get tough on any move to relax credit standards THE banking regulator has warned it will take action against any moves to relax credit standards, amid concern that banks are compromising on the quality of new business loans to generate volume growth in a flat economy. Responding to a report in The Australian on Monday that highlighted a recent loosening of standards in business lending, Australian Prudential Regulation Authority chairman John Laker said the issue would be raised in next month's round of industry consultation.