Greens spokesperson for Consumer Affairs, Competition Policy and Small Business responds to the Government’s cynical attempt to water down the Future of Financial Advice (FoFA) laws via regulation.
Senator Whish-Wilson said, “The Government waited until 2:30PM on the 30th of June to release these wide-ranging and complex regulations about financial advice that come into effect tomorrow.
“At a few minutes to midnight, the government has bypassed the parliament to sneak through regulations that deliver a result for the big financial institutions and weaken protections for consumers.
“The reforms still allow for conflicted remuneration and they do nothing to challenge the sales-driven culture of the big financial institutions that have caused too many to lose their life’s savings.
“Only days after the Government received a damning ASIC Senate Inquiry report that highlighted poor standards and culture in the financial advice industry and a failing regulator, the Government has sought to deregulate the sector further.
“The Liberal government has delivered for their banking mates and donors against the public and consumer interest.
“The Australian Greens will be looking to disallow these regulations in the coming weeks. With most other parties also on the record as opposing the FoFA wind-back you have to wonder why the Government have chosen to cause so much chaos and confusion,” Senator Whish-Wilson concluded.