Super associations engaging with FAAA on DBFO reform
Superannuation associations are in regular discussion with the Financial Advice Association Australia on the progression of the Delivering Better Financial Outcomes legislation with the second tranche of reforms focused on super.
Speaking at the FAAA annual congress in Perth, FAAA chief executive Sarah Abood said the organisation may be focused on financial advisers but it is in frequent contact with the Association of Super Funds Australia (ASFA) and Super Members Council (SMC).
These discussions surround the DBFO legislation which will legislate on the use of ‘qualified’ advisers to provide simple advice at super funds, expand access to retirement income advice and explain how advice fees can be deducted from a members’ super account.
She said: “We are getting together increasingly regularly with ASFA and SMC as we have shared interests on DBFO, the progression of that and ensuring it is progressing in the interest of consumers and our members.
“It is going really well as we get to know each other better, we are finding more and more there is common ground between the organisations.
“We are also meeting with consumer groups who are incredibly influential with the government such as Super Consumers and those conversations are really positive and really productive.”
The first tranche of the DBFO reforms was passed in July 2024 while the first package of the second tranche reforms (Tranche 2A) was put forward for consultation in March 2025 but is yet to become law. A second portion of the second tranche (Tranche 2B) is still waiting to be released and it is understood this will likely be in the new year.
There are at least two measures in Tranche 2A which affect super funds including measures to provide clear rules on what advice topics can be collectively charged for via superannuation and to allow super funds to provide targeted prompts to members to drive greater engagement with superannuation at key life stages.
FAAA general manager for policy, advocacy and standards, Phil Anderson, said: “We understand these things don’t happen overnight and we know how important it is to get it right at the drafting stage.
“But we want the government to move as quickly as possible, we are frustrated at the pace of reform.”
AUTHOR
Laura Dew
Laura Dew is editor at Super Review. Prior to joining SR, she spent five years working at Investment Week in the UK covering asset and wealth management.
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