Aggressive corporate regulators are hurting the economy with a “gotcha” approach against business, while their administrative red tape is stifling investment, says Martin Parkinson, former Treasury secretary turned company director.

As a result, the Albanese government’s efforts to cut regulation and boost business investment as part of its productivity agenda must extend to an urgent review of the behaviour of key regulators, such as the Australian Securities and Investments Commission and the Australian Competition and Consumer Commission, Parkinson said.