Financial planners lobbying independents

Financial planner lobbying of the key independents in the House of Representatives has begun with a group of planners understood to have met with Port Macquarie-based independent Rob Oakeshott this week.

A similar delegation of planners is also expected to seek a meeting with Tasmanian-based independent Andrew Wilkie, seeking his support for crucial amendments to the Government's Future of Financial Advice (FOFA) bill introduced to the Parliament last week.

The two important amendments being sought by the planners relate to the proposed two-year "opt-in" arrangements, and the retrospective surprise of annual fee disclosure arrangements.

Oakeshott is understood to have been told by the planner delegation that, taken in combination, the opt-in provisions and the fee disclosure obligations will significantly increase red tape and therefore drive up the cost of delivering advice to ordinary consumers.

Both the Association of Financial Advisers and the Financial Planning Association (FPA) have expressed deep concern about the annual fee disclosure arrangements and the manner in which they are included in the proposed legislation without being part of the broader consultative processes.

The FPA has said that the fee disclosure arrangements and the two-year opt-in have made it impossible for the organisation to support the Government's legislation in its current form.

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