O’Dwyer’s reappointment ensures continuity
The financial planning industry will benefit from ministerial continuity, with the Prime Minister, Malcolm Turnbull, leaving Kelly O'Dwyer in charge of the portfolio albeit under a name change.
The advantage for organisations such as the Financial Planning Association (FPA), the Association of Financial Advisers (AFA) and the Financial Services Council (FSC) was that they would be dealing with the same minister, staffers and advisers as before the Federal Election.
It would also make it easier to restart the processes around financial services legislation which lapsed as a result of the proroguing of the Parliament in May to clear the way for the Federal Election.
That legislation included:
- Superannuation governance reforms, requiring all trustees to appoint one-third independent directors;
- Superannuation choice of fund reforms that would prevent enterprise agreements from removing a consumer's right to choose their own fund;
- The life insurance remuneration reforms that would implement the Government's policy on the life insurance framework;
- Superannuation transparency measures, including enhanced dashboards for both MySuper and Choice products;
- Amendments to the portfolio holdings disclosure regime to allow its effective implementation for superannuation investments; and
- Managed investment trust reforms that would implement an important component of the policy to grow Australia's financial services exports.
Announcing the make-up of his new Cabinet in Canberra yesterday, the Prime Minister, Malcolm Turnbull, emphasised that he had to maintain continuity within the Treasury portfolio, albeit that the Assistant Treasurer designation had been abandoned, with O'Dwyer in future being known as the Minister for Revenue and Financial Services.
O'Dwyer has lost carriage of Small Business — a portfolio responsibility which will be transferred to NSW National Party member, Michael McCormack — something which gave the junior coalition partner a presence within the broader Treasury portfolio.
Announcing the new Cabinet in Canberra this afternoon, Turnbull sought to stress the continuity which flowed from existing members being put in place.
However when questioned on O'Dwyer's role and the differences swirling around the Government's Budget superannuation changes, the Prime Minister said she had a big challenge in front of her.
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