Financial services is emerging as a priority policy area for the new Government as it implements a range of election commitments early in its first term.
The Quality of Advice Review handed down its proposals paper in recent weeks, outlining a vision of a more affordable and accessible advice industry free of unnecessary regulation. The FSC has embraced the proposals paper and will be providing the industry’s feedback to the review shortly, but broadly supports the direction taken by lead reviewer, Michelle Levy.
I had the pleasure of being joined by Michelle in a free-for-member Q&A to discuss her proposals and provide insight into how she has taken a consumer-focused approach to designing the alternate regulatory framework.
The Government has also introduced legislation to finalise the Financial Accountability Regime and the Compensation Scheme of Last Resort, two of the remaining pieces of the Royal Commission left unimplemented by the previous parliament. The FSC has concerns with the principles underpinning a Compensation Scheme, which introduces significant moral hazard to the financial services sector, but recognises the Government’s mandate to deliver on its commitment.
Thank you also to members for their detailed engagement on the current Your Future, Your Super review. The review takes into account a range of complex issues, such as potential performance metrics, the distinction between choice and Trustee Directed Products, and the design and implementation of stapling. These issues are all critical to FSC members, so detailed consultation and careful consideration of the issues will be key to delivering good outcomes for consumers.
Please feel free to contact the relevant policy manager for more information.