Aged care and housing among clients’ budget concerns
A poll of financial advisers has revealed aged care policies and the cost of living crisis are among their clients’ concerns ahead of the federal budget on 25 March.
The survey, conducted by Viridian Advisory, questioned 61 advisers in its network about their views and their clients’ views before the budget is handed down tomorrow evening.
The cost of living, the housing shortage and aged care policies were among the top concerns of their clients, and advisers reported they had received an “uptick in client enquiries” as the date drew closer.
Research by CFS in its Rethinking Retirement Report 2025, found rising living costs have eroded comfortable living standards for retirees and fewer retirees said they are currently able to enjoy a comfortable retirement compared to last year.
It continued that three quarters of retirees are using pension payments to cover essential living expenses, while close to one in four retirees are still paying down debt.
Viridian said clients also exhibited concerns on a global level, with clients referencing the impact of the Trump administration on Australian markets and possible market volatility from his tariff plans.
This year’s budget had initially been in doubt as to whether it would go ahead due to its proximity to the federal election, so this may have fed into client concerns and fuelled uncertainty.
However, advisers’ own views were more neutral, with 82 per cent saying they were neither optimistic or pessimistic towards the potential budget policies. An overwhelming majority (96 per cent) said they anticipated making only minimal shifts to their portfolio following the budget.
Brett Arnol, co-founder and general manager of advice at Viridian, said: “While we do not expect any significant impact on client portfolios from the upcoming federal budget, we hope to see concrete commitments emerging from the budget that address client concerns which also includes childcare, education and Medicare.”
This year’s budget will be the final one for Assistant Treasurer Stephen Jones, who announced earlier this year that he would be retiring from politics.
Jones was first elected to Parliament in 2010 and was appointed as shadow financial services minister and shadow assistant treasurer in June 2019 before taking on the minister role, following Labor’s victory at the 2022 election.
Treasurer Jim Chalmers is set to stand again in his seat as a member for Queensland’s Rankin, which he has held since 2013.
AUTHOR
Laura Dew
Recommended for you
ASIC has banned a Queensland adviser from providing financial services for five years after failing to provide appropriate advice that was in the best interest of his clients.
Minister for Financial Services, Stephen Jones, has said it is not a “backdoor attempt” by the government to allow the new class of adviser to provide full advice.
The financial advice industry has seen a net loss after 10 consecutive weeks of net growth in adviser numbers, according to Wealth Data.
Only 11 per cent of financial advice practices have said they are including crypto products on their approved products lists, according to CoreData.
