POWERED BY MOMENTUM MEDIA
Stop dumping regulatory costs on consumers: ASFA
The Association of Superannuation Funds of Australia (ASFA) has questioned government's "increasing tendency" to dump regulatory costs on Australian consumers.
It said it appeared government departments were increasingly looking to consumers to wear the brunt of costs.
Government also ignored the direct costs to those entities, according to ASFA, in a submission to the Department of Finance and Deregulation on the Government's cost recovery guidelines. It said further submissions had been raised in regards to Cost Recovery Impact Statements (CRIS) released by AUSTRAC.
It said levies were being put on the public with no supporting material for what public benefit the levy supplied.
"There has been an absence of proper acknowledgment of the direct cost that regulation has already imposed on those entities or due regard for whether the regulation provides a broader public good which is more appropriately funded from consolidated revenue," it said.
ASFA said any charges should reflect the costs of providing the service and should be implemented on a fee-for-service basis, and where required, a levy.
It also said it was important the guidelines did not advocate costs recovery where it was not cost-effective or where it would stifle competition.
ASFA said it was redundant for an agency to develop a Cost Recovery Impact Statement (CRIS) where it has already compiled a Regulation Impact Statement (RIS) that addresses cost recovery arrangements.
It said a compulsory agency review should be periodic, and at a minimum, every five years.
In a separate submission to Treasury, ASFA requested the Government review the term "lost" to describe disengaged or uncontactable members.
"For those members to be approached and told they are 'lost' causes confusion for the member and reputational damage to the fund," it said.
AUTHOR
Staff Writer
Money Management staff writers are writers who contribute to the website from time to time. If you would like to discuss the content contained within this article please contact us.
Recommended for you
Australia’s largest superannuation fund has confirmed all members who had funds stolen during the recent cyber fraud crime have been reimbursed.
As institutional investors grapple with shifting sentiment towards US equities and fresh uncertainty surrounding tariffs, Australia’s Aware Super is sticking to a disciplined, diversified playbook.
Market volatility continued to weigh on fund returns last month, with persistent uncertainty making it difficult to pinpoint how returns will fare in April.
The Association of Superannuation Funds of Australia (ASFA) has called for the incoming government to prioritise “certainty and stability” when it comes to super policy.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
90.28 3 y p.a(%)
2
GAM LSA Private Shares AU I
37.08 3 y p.a(%)
3
DomaCom Lot 21 Chellaston Road Munno Para West SA 5115 Australia
31.44 3 y p.a(%)
4
Fidante Credit Suisse Global Private Equity
31.12 3 y p.a(%)
5
Global X GlobalX FANG+ ETF
28.28 3 y p.a(%)
