The thought of switching banks was not even considered by most Australians, regarding the move as non-essential and fraught with too much hassle with no clear benefits at all.

That according to a poll commissioned by consumer advocate Choice, which showed that close to 80 percent of respondents would not bother to change banks at all while a measly eight percent made the move, with some 12 percent still undecided on the issue.

Furthermore, the survey showed that banking clients were into assumption that competition is not the priority of Australian banks as Richard Lloyd of Choice called on both the banking sector and the government "to take speedy action to reduce hurdles and make this a simpler, streamlined and a more worthwhile option."

With this in mind, Choice is embarking on a campaign for a more competitive environment in the banking industry as the consumer group prepares for a nationwide consultation with Australian consumers in order to identify their preferences and priorities for a much improved banking system in the country.

The survey result came out amidst recent banking controversies where the country's major banks lifted their interest rates too far away from the rate policy as determined by the Reserve Bank of Australia (RBA) on the back of whopping billion-dollar profits they reported the past few days.

Specifically, the Commonwealth Bank of Australia (CBA) raised its home loan rate by 45 basis points just hours after the RBA decided to hike the country's cash rate by 25 basis points to 4.75 percent, with the other major banks reportedly mulling to follow suit.

In reaction, the government warned that reforms would be forthcoming by next month which it said would create more competition in the sector and possibly eliminate mortgage exit fees as Federal Treasurer Wayne Swan stressed that "the banks should not underestimate for one moment the determination of this Government to put in place a range of reforms."

Also, Prime Minister Julia Gillard said that the decision of CBA to double its interest rate was uncalled for but she stopped short of furthering government intervention in regulating the banking sector's interest rate, only declaring that such economic policy has been shunned for the past 30 years.

The Coalition, however, insisted that a reform in the industry is most needed at this time as opposition treasury spokesman Joe Hockey revealed on Thursday that he is set to file a bill before the parliament, which according to him would render the banking sector more competitive.