Older Australians are calling on all Federal Senators to uphold protections for consumers by voting
today to disallow regulations which remove important consumer safeguards from financial advice,
says leading seniors advocate COTA Australia.
Chief Executive of COTA Australia Ian Yates said the government’s regulations still significantly water
down reforms passed by the last Parliament known as the Future of Financial Advice (FOFA)
provisions.
“Independent legal and professional advice confirms that these regulations are against the best
interests of Australian consumers,” Mr Yates said.
“The Senate Economics Committee heard a very clear, unanimous message from consumer
organisations like COTA Australia, CHOICE and National Seniors – plus independent legal advice – that
these regulations create significant consumer detriment.
“The issues have been fully canvassed and even the Senate Committee’s report – supported by only a
minority of Senators participating in the inquiry – was lukewarm at best while presenting strong
arguments against the reforms by independent witnesses.
“This issue has been second only to pension cuts in recent representations to us by COTA members,
and other consumer organisations report the same high level of concern by members.
“Older Australians are relying on all Senators today to protect them and ensure these regulations are
either withdrawn or disallowed.
“The government needs to take these regulations back to the drawing board and start from the
interests of consumers when redrafting them – not the big banks and other large financial
institutions.”
“This will lay the foundations for restoring trust in the financial advice industry and make sure
consumers get the very best advice they should be able to expect,” Mr Yates said.
Media contact: Ian Yates 0418 835 439, Jane Garcia 0434 489 533.
