Labor Announces Superannuation Crackdown

Assistant Treasurer Daniel Mulino has announced reforms to the superannuation system aimed at tackling predatory practices and strengthening consumer protections.What we know:The crackdowns will target “lead generators”, which are operators who use social media, online ads and cold calls to divert retirement savings into high-risk schemes. Unlicensed real-time communication about superannuation will be banned (SBS).“These reforms are designed to disrupt some of the most damaging business models operating in the system today,” Mulino said during his National Press Club speech on Wednesday. “They intervene at the earliest point of consumer harm, reducing opportunities for bad actors to access potential victims” (ABC).Mulino also said the federal government will give the Australian Taxation Office a new power to prevent rollovers into Self-Managed Super Funds. Those funds will also be required to maintain identifiable bank accounts to help identify fraud risks (ABC).The changes come in response to the collapses of the First Guardian and Shield Master Funds in 2024, which stripped an estimated 12,000 of their retirement savings (SBS).Mulino added that Labor is not planning to lift the superannuation guarantee rate of 12%, despite some calls from within the party to raise it to 15% (SBS).