DBFO

Most of what Jones announced was already known, including the creation of a new class of advisers. But a few key elements – related to adviser education and scoped advice – should provide relief to an industry in dire need of reform.

While the government takes its time drafting the second tranche of advice reforms, representatives for the life insurance agency fear the ongoing delays will spill over into the next federal election, which could mean the can gets kicked down the road even further.

For advisers that have already started relying on website disclosure, the unclear legislation “may or may not” be an issue, the Cowell Clarke lawyer explained. Whatever approach advisers are currently taking, they should all be paying attention when the regulator releases its guide next month.

The government addressed perceived ambiguity around advice fee deduction from member accounts by pulling out two statements from the bill that essentially duplicated rules that already exist in the sole purpose test.

After the original Delivering Better Financial Outcomes bill was released in March, Treasury this week released an updated version for consultation. With minimal changes, there remains a significant bone of contention for the industry to wrestle with.