I don't have answers, but it seems to me the CYCA and AS are in a bind in that once upon a time, it was skippers who were responsible for their boats and crew, and it wasn't expected that the CYCA would tell them, in great detail, how to prepare their boats and crew. When Illingworth suggested making a race of a planned cruise, there were 9 boats in it, and in that day and age, each skipper was responsible for their boat. However, for better and worse, the world has changed and continues to do so. Amongst the changes is commercial sponsorship, including of the race itself, and the promotion of it as an event to the wider public. Once money is involved, it ceases to be a purely amateur event. The corporatisation of the event makes the CYCA responsible for it in a way that wouldn't have been imagined 80 years ago. Once you make money from an event, you tend to be held to a higher standard of accountability. Arguably the S-H also draws a level of participation that wasn't originally contemplated, which as it developed meant some kind of minimum standards had to be met with the aim of avoiding participation by the unprepared and inexperienced. Another development that has contributed to the change is the ability to rescue. There is a cost to the public of retrieving (or not) those who get into trouble, and over time this leads to regulation intended to reduce the incidence of rescues and to avoid both the cost and injuries and loss of life. Another factor is the extent of civil suits for liability. Organisations with significant assets that organise events have to consider the possibility they may be sued if someone ends up injured or dead. To manage this risk, they seek to show they took reasonable precautions to prevent adverse events.
I think amateur sailing is still one of the least regulated activities. So far as I know, I can buy a boat and set out single handed to cross an ocean without having to satisfy anyone else that I am capable or the boat is fit. I am happy that's still the case. Self regulation by the instinct for self preservation is still relied on. Unfortunately, every time someone sets out in an unseaworthy or ill equipped boat and/or without the necessary abilities, and gets into trouble, this undermines the generally laissez faire approach that still prevails in Australia, at least for cruising.
If I were looking to leave NZ to cross an ocean in my sailing boat, by law I would have to satisfy their maritime authority that my boat and her safety equipment are adequate and she is adequately crewed for the intended voyage.
www.maritimenz.govt.nz/media/ybhnno0k/guide-for-international-certificate-of-voyage-for-pleasure-craft.pdf Remains to be seen how long before this becomes a legal requirement here.
Which brings me back to this thread topic. The cost is dependent on where you start from. If you own a boat with intentions of serious offshore sailing (for cruising, not racing) then arguably you should have most, if not all, the equipment AS specifies, in which case bringing your boat up to spec if you want to go racing is not a great additional cost. I don't race, but I have most of the safety equipment on the cat 1 list because I wouldn't go offshore without it (tho' my first aid kit is not as comprehensive). Obviously it's a different story, if you want to equip your inshore twilight/weekend harbour racer to go offshore.