Coalition will reneg on 12 per cent - Bowen
A Coalition Government will never deliver on lifting the superannuation guarantee to 12 per cent, according to the Federal Treasurer, Chris Bowen.
Addressing the Financial Services Council (FSC) conference in Brisbane, Bowen said he was prepared to predict that in similar fashion to what had occurred in 1996 under the Howard Government, the Coalition would reneg on its commitments to lift the superannuation guarantee to 12 per cent.
He said that was why it was wrong to suggest that not a lot separated the government’s superannuation policy from that of the Coalition.
“Our super policies are not the same,” he said. “The SG will not get to 12 per cent under a Coalition Government.”
Bowen used his FSC address to reaffirm his policy commitment to quarantine super from major tax changes for five years, but acknowledged that the Treasury and future governments would be sorely tempted during tough economic times by the sheer scale of Australia’s super savings.
Recommended for you
Financial Services Council chief executive, Blake Briggs, is urging Minister for Financial Services, Stephen Jones, to take advantage of the QAR opportunity to reduce regulatory duplication and ensure advice is affordable.
Former chair of the House of Representatives’ Standing Economics Committee, Tim Wilson, is planning a return to politics after losing his seat in the 2022 federal election.
Morningstar is going to offer research ratings of funds in the $3.5 trillion superannuation sector for the first time in response to demand from financial advisers.
Treasurer Jim Chalmers has opened a consultation into the design of the annual superannuation performance test, canvassing views on a range of reform options.