The Financial Services Council (FSC) has announced it will develop a national retirement outcomes policy, to ensure that “intergenerational pressure” is taken off the national budget.
In his keynote speech to the FSC Annual Conference yesterday, Mr Brogden said the FSC will work with its members, business leaders and community organisations to develop the policy, with a focus on the short-, medium- and long-term sustainability of super.
“The system must not only provide a majority of Australians with an adequate retirement – it must also take intergenerational pressure off the budget,” said Mr Brogden.
“Failure to do this will mean our superannuation policy has failed.”
The FSC outlined the policy will integrate the design of the superannuation system with government policy on ageing, welfare, health, and tax.
In addition, Mr Brogden said the outcomes policy will also consider a range of other issues including the efficiency of tax concessions at different lifecycle phases, and whether age pension or preservation ages should be aligned to life expectancy.
“This policy will form views on critical issues that will determine whether superannuation succeeds or fails as the savings vehicle for Australia’s future,” said Mr Brogden.
“The stakes are that high.”
“The alternative is rolling, piecemeal and constant changes into the system that undermine confidence and stability,” he added.