Bank tax contrary to national interest?
Soft GDP figure should be a wake-up call for government which needs to maintain a strong banking industry and rethink the new tax, the Australian Bankers’ Association (ABA) said.
In the March quarter the economy grew by 1.7 per cent year-over-year and while the finance and insurance industry showed a much stronger four per cent growth.
According to ABA’s chief executive, Anna Bligh, in this environment “the Federal Government’s new tax on major banks was contrary to the national interest".
“The latest inflation figures show that the price of financial services has increased by less than overall inflation, and by much less than some essential items like child care, education, and health,” she said.
“You don’t win the race by knobbling your fastest runners. The government needs to rethink this new tax."
AUTHOR
Oksana Patron
Recommended for you
The Financial Advice Association Australia has implored advisers to reevaluate their exposure to AML/CTF obligations ahead of new reforms that will expand their compliance requirements significantly.
With UBS Asset Management chief executive, Alison Telfer, set to join Schroders, the firm has appointed a company veteran as her interim successor.
Compared to four years ago when the divide between boutique and large licensees were largely equal, adviser movements have seen this trend shift in light of new licensees commencing.
As ongoing market uncertainty sees advisers look beyond traditional equity exposure, Fidante has found adviser interest in small caps and emerging markets for portfolio returns has almost doubled since April.
