Australian banks will press government to ensure proposed changes to the franking credits regime do not impact their ability to raise capital if there is a shock to the financial system, Westpac chief executive Peter King said.

At the company’s annual meeting in Melbourne on Wednesday, Wilsons Asset Management boss Geoff Wilson asked if the proposed changes – which negate franking credits if companies raise any capital before or after a dividend payout – would increase the banks’ cost of capital.