Wed, 14th May 2008

The Rudd Government's attack on Choice of Superannuation continues

Michael Keenan MP
Shadow Assistant Treasurer, Superannuation and Corporate Governance

Labor's cuts make it harder for families to plan for the future with confidence - The Rudd Government's attack on Choice of Superannuation continues

Labor’s misguided reduction in funding for the Choice of Superannuation Fund policy is set to make it harder for Australians to make the best informed choices possible, and to plan for the future with confidence.

Shadow Minister for Superannuation, Michael Keenan MP, said that it is not surprising that Labor is trying to put obstacles in the path of the Choice of Superannuation Fund, given Labor’s fierce opposition to the policy from the time of its announcement.

While the Budget acknowledges that the Coalition successfully implemented Choice, it then backhandedly adds that funding to the ATO and ASIC will be reduced.

“Choice provides greater competition between funds to reduce costs and increase returns. It has been successful in helping Australians plan for their retirement, enabling them to make informed judgments about the management and financial condition of funds,” Mr Keenan said.

“Labor claims that this cost cutting is responsible economic management, which is extraordinary considering that is exactly what this measure was helping Australians achieve when planning for the future.”

The Opposition remains concerned that Labor will place obstacles in the way of Australians having their own self-managed superannuation funds – an attack on Choice and competition in another guise.