Issue 982
In this issue:
- Bills update: super for frontline emergency workers, scams prevention
- Financial advisers: education pathway and registration
Bills update: super for frontline emergency workers, scams prevention
The Australian Greens have introduced a private senators’ bill, the Superannuation Guarantee (Administration) Amendment (Frontline Emergency Service Workers) Bill 2025. This proposes to increase the superannuation guarantee rate for firefighters and paramedics by 4.4 per cent to match the base rate of superannuation contributions provided to Australian Defence Force personnel. Introducing the Bill, Senator McKim said it is “intended to set a national minimum rate of superannuation contributions for firefighters and paramedics, either through legal effect or through symbolism depending on the jurisdiction”.
The Scams Prevention Framework Bill 2024 has been passed by the House of Representatives with two crossbench amendments and is now awaiting consideration by the Senate. As reported in ASFA Action issue 972, the Bill creates a Framework for preventing and responding to scams impacting the Australian community. The Government has indicated that while superannuation will not initially be designated as a sector covered by the Framework, it may be designated in future.
Financial advisers: education pathway and registration
The Government has announced a plan to reform the education requirements for professional financial planners, to create a sustainable pathway for new advisers to enter the profession, and to discontinue a requirement for individual advisers to register annually with ASIC.
The proposed new education standard will centre around a new requirement to hold a bachelor’s degree or higher in any discipline. Prospective advisers will need to meet minimum study requirements in relevant financial concepts such as finance, economics or accounting. They will also need to:
- complete financial advice subjects covering ethics, legal and regulatory obligations, consumer behaviour and the financial advice process;
- complete a professional year;
- pass the financial adviser exam; and
- undertake ongoing continuing professional education.
The Government has indicated the reforms will complement the education requirements for the new class of financial advisers proposed under the Delivering Better Financial Outcomes package. The Government will “ensure the pathway is aligned to enable the new class of adviser to transition into the professional advice ranks” and will work with industry and higher education providers to ensure an appropriate transition to the new education standard.
The Govt has also indicated it will no longer proceed with Stage 2 of the registration process for financial advisers established by the Financial Sector Reform (Hayne Royal Commission Response—Better Advice) Act 2021. This stage would have required individual advisers to register annually with ASIC from 1 July 2026. The requirement was part of the former Government’s response to recommendations from the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry. Australian Financial Services licensees were already required to register their financial advisers with ASIC under Stage 1 of the reforms.
ASFA REGULATORY WATCHLIST
ASFA’s Regulatory Watchlist (ARW) tracks developments in Legislation, inquiries, consultations
and other regulatory announcements relevant to superannuation.
