Wait and see on disallowing FOFA regulatons
The Minister for Finance and acting Assistant Treasurer, Senator Mathias Cormann, has restated his view that the Labor Party's position in opposing the Government's regulatory changes to the Future of Finance Advice (FOFA) legislation "is driven by the commercial vested interest of industry funds".
Speaking on national radio, Cormann yesterday suggested it was too early to concede that the Federal Opposition would succeed in having the FOFA regulatory changes disallowed in the Senate this week.
"We are yet to have a debate in the Senate about it. Let's just see what happens," he said.
Cormann then went on to say that claims that the Government's regulatory changes would amount to reducing consumer protections were Labor Party propaganda which was driven by the commercial vested interest of industry funds.
"What we are doing is we're keeping all of the consumer protections that matter. We are keeping the requirement for financial advisers to act in the best interests of their client. We're keeping the ban on conflicted remuneration," the minister said.
While media reports out of Parliament House are suggesting that the Palmer United Party will support the Labor Party's move to disallow the FOFA changes, Cormann said there would be a debate and remained to be seen what ultimately happens.
Recommended for you
The Governance Institute has said ASIC’s governance arrangements are no longer “fit for purpose” in a time when financial markets are quickly innovating and cyber crime becomes a threat.
Compliance professionals working in financial services are facing burnout risk as higher workloads, coupled with the ever-changing regulation, place notable strain on staff.
The Senate economics legislation committee has recommended Schedule 1 of the Delivering Better Financial Outcomes legislation be passed as it is a “faithful implementation” of the recommendations.
Treasurer Jim Chalmers has handed down his third budget, outlining the government’s macroeconomic forecasts and changes to superannuation.
