The release of Your Future, Your Super regulation will finally make the much-debated stapling measurements a “reality” for members, according to the Financial Services Council (FSC).
Suggestions for stapling had first been raised in the Hayne Royal Commission several years ago but had only taken effect this month after consultation with the industry. Super members would now be able to take their account with them when they moved jobs.
FSC chief executive, Sally Loane, said stapling would save consumers up to $1.8 billion in the first three years.
“The focus of the Your Future, Your Super reforms is to lower superannuation fees. The stapling reform and inclusion of fees in the performance assessment will ensure that superannuation funds not only have to lower their fees to attract new members but keep their fees low to pass the yearly assessments,” she said.
“The Government’s approach incentivises all superannuation funds to be competitive on the key things that matter for consumers, fees and performance.
“We are pleased the release of the regulations will allow important Royal Commission recommendations to commence, benefitting all Australians with a superannuation fund.”
She welcomed recommendations that measures such as portfolio disclosure obligations were consulted on in order to establish the best possible measurement of this.