Financial Services Council welcomes critical focus on financial wellbeing as New Zealanders head to the polls

The Financial Services Council (FSC) believes the current focus on hip-pocket issues and long called for spotlight on financial literacy is good news for Kiwis as we get closer to election day.

“Financial wellbeing is top of mind for New Zealanders. With the cost of living tracking as the number one issue for voters, the finance sector remains committed to helping New Zealanders with their financial confidence and wellbeing,” said FSC Chief Executive Richard Klipin.

“The FSC has been watching election developments closely to see how they fit with our priorities set out in the Blueprint for Growth that we launched last month.

“Our priorities in that blueprint are having a dignified retirement, access to quality and affordable health care, ensuring Kiwis better manage and understand their risk and that they also better manage their finances and seek advice.

“First of all, we applaud the outbreak of a bipartisan commitment to financial literacy being taught at all levels in our schools. To have both National and Labour committing to this is a game changer. The FSC is ready to work with whoever forms the next government to make this a reality.

“The understanding of all political parties of the cost of living pressures is also a positive for Kiwis. Financial wellbeing is vital for all New Zealanders. Research the FSC launched earlier this week revealed younger Kiwis are finding it harder to cope with the current cost of living, let alone have the ability to plan for a rainy day or retirement.

Other sector specific announcements have also been welcomed by the FSC.

“We reconfirm our strong desire to see a full review of KiwiSaver to ensure New Zealanders are getting the best possible returns to get them ready for retirement.

“The recent news of KiwiSaver funds reaching the $100 billion mark shows the time is right for a detailed review to ensure we get the settings right, and ultimately grow the financial confidence and wellbeing of New Zealanders,” said Klipin.

In the regulatory space, the FSC and financial services sector have worked hard over recent years to help craft and get ready for a range of legislation including the Conduct of Financial Institutions (CoFI) Financial Services Legislation Amendment Act 2019 (FSLAA) and Climate Related Disclosures (CRD).

“Our focus is always to do the right thing by consumers and CoFI is the policy process around addressing that,” said Klipin.

“It's also the law of the land at the moment and we will continue to work with regulators and agencies as the law currently stands. Clearly, there's an election campaign going on, however the FSC is apolitical.

Klipin adds that the FSC looks forward to the next two weeks as campaigning continues.

“Like others, the FSC wants to see policy that enhances financial wellbeing, and we look forward to working closely with all parties to help implement policies that shift the dial here.”

ENDS