New code for internet-connected devices to stop hackers

Home Affairs Minister Peter Dutton will on Tuesday raise alarm about the poor cyber security features in many devices.

The voluntary code would require companies to develop a "vulnerability disclosure policy", make their systems resilient to outages and ensure their software updates are secure.

The Morrison government also hopes it will spark manufacturers to develop devices with security built-in by design.

Speaking at the 2019 Home Affairs Industry Summit in Melbourne, Mr Dutton will unveil the draft code of practice, which has been developed with input from the Australian Cyber Security Centre.

The move would bring Australia into line with other countries such as the United Kingdom, which has also developed an industry code to help protect consumers from cyber crime.

Mr Dutton earlier this year successfully pushed for security ministers of the "Five Eyes" intelligence alliance countries to sign a statement of intent to address security shortfalls in internet-connected devices.

Cyber crime is a growing cost to the economy, with the impact on businesses estimated to be in the billions of dollars every year.

Mr Dutton said the rapid growth in internet-connected devices had brought significant benefits to Australians but the industry needed to keep up with the threats.

"Many of these devices have poor cyber security features, posing risks to Australia families, our economy and national security," Mr Dutton said.

"The safety of Australians and the security of our economy is paramount. That's why the Morrison government has developed a voluntary Code of Practice to inform industry about the cyber security features expected of these devices in Australia. Along with our Five Eyes partners we share the expectation that manufacturers should develop connected devices with security built-in by design."

The government will also work with states and territories to develop the final version of the industry code.