Speaking at a roundtable event this week, Treasurer Jim Chalmers discussed Labor’s plans for the superannuation system and what it believes the priorities are.
Mr Chalmers said while Labor is open to new ideas for improving the superannuation system, it will not be messing with the fundamentals of the superannuation system such as sole purpose and preservation.
“We won’t be directing funds into asset classes or looking for new excuses to give members early access — that was a disaster in my view,” said Mr Chalmers at Superannuation Lending Roundtable, hosted by The Australian Financial Review.
“What we will do is dispassionately diagnose the challenges in the system, and in the economy, and work at addressing them.”
One of the things Labor wants to address, he said, is legislating the objective of superannuation.
“We see the lack of a legislated objective of super as a source of ambiguity which left the gate open for early access — and so we will legislate one,” he said.
Various groups in the SMSF space, including the SMSF Association, have strongly advocated for the purpose of superannuation to be enshrined into law in order to reduce legislative tinkering.
Mr Chalmers said non-payment and non-compliance with SG is another focus for the government.
“We are working on a reform package to ensure people get the super they’ve earned,” he said.
Given the rapid growth in spending on aged care and the need to fund that, Mr Chalmers said the government also wants to explore what further role super could play with that.
He also assured those in the super industry that he has no interest or inclination into being “goaded into unnecessary or ideological fights” in relation to super.
“There’s been too much of that for much of the last decade. We are looking for solutions, and for opportunities, not needless brawls,” he stated.
I thought early access was prohibited by legislation. How is the gate “open”?