Policy dithering and uncertainty impacting the Australian financial services industry carries with it the risk that a United Kingdom freed by Brexit will target Asian markets and undercut Australian financial services companies, according to Financial Services Council (FSC) chief executive, Sally Loane.
Addressing the FSC Leaders Summit in Melbourne, Loane lamented the manner in which political changes and the uncertainty which had been prompted by constant reviews had undermined the competitiveness of the Australian financial services industry.
In doing so, she said there was a need for the members of the new Parliament to not construct obstacles to progress and to instead act on the basis of evidence-based change.
Loane said that the delays and uncertainty came at considerable cost to the industry and cited new research commissioned by the FSC from Tria Partners which revealed that regulatory reform had cost the industry $2.75 billion over the last five years which equated to $105 per superannuation account.
“The cost of reform is substantial so the system must ultimately be fit for purpose,” she said.
Loane said this meant there was a need for those in the 45th Parliament to get politics out of the reform process and to focus on getting appropriate outcomes.
