FSC says it’s time to hit the policy reset button

Written by The FSC team | August 15, 2023

Today at its flagship Building Consumer Confidence Conference, the Financial Services Council (FSC) of New Zealand is delighted to launch its inaugural policy platform, Blueprint for Growth.

The Blueprint aims to help lead, guide and shape the policy debates that matter in relation to growing the financial confidence and wellbeing of all New Zealanders.

Built and developed by the FSC with a clear intent to help all New Zealanders be better with their financial lives, the Blueprint has identified four key money issues facing New Zealanders:

1. New Zealanders aren’t financially literate, leading to a financial literacy and capability issue:

53% of Kiwis are unable to access $5,000 in time of emergency (Financial Resilience Index, 2023).

2. New Zealanders take too much risk without managing the downside:

70% of Kiwis are underinsured (Money and You: Taking Cover, 2022).

3. New Zealanders aren’t prepared for retirement, leading to stress and anxiety in later years:

56% of New Zealanders don’t feel they are financially prepared for retirement (Money and You: KiwiSaver at a Crossroads, 2021).

4. New Zealanders worry about healthcare accessibility and affordability:

39% of Kiwis worry about the financial consequences of a significant health event (Money and You: Taking Cover, 2022).

The FSC has a long track record of constructive engagement in policy. It does this through several mechanisms, including:

regulatory submissions;
appearances at select committees;
engaging in all key policy platforms via Government and regulators;
advocating to stop or amend poor policy choices such as the GST on KiwiSaver and managed funds and the NZIIS; and
advocating for major policy review and change.

“The lack of a coherent vision for the sector and for all New Zealanders is costing us dearly and leading to poorer outcomes for all Kiwis, along with missed opportunities for a key sector of the New Zealand economy,” said FSC CEO Richard Klipin.

“Our number one priority is to grow the financial confidence and wellbeing of New Zealanders.

“Today’s announcement is just the beginning, as we know that good, evidence-based, bipartisan policy leads to better outcomes for all New Zealanders. This is part of the key to unlocking the future prosperity and productivity in New Zealand."

ENDS

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