FSC welcomes renewed focus from incoming Prime Minister and Deputy Prime Minister

The Financial Services Council of New Zealand (FSC) congratulates the incoming Prime Minister Chris Hipkins and Deputy Prime Minister Carmel Sepuloni and welcomes their commitment to focussing on the cost of living and inflation.

FSC CEO, Richard Klipin, says, “On behalf of the Financial Services Council I want to congratulate our new incoming Prime Minister and Deputy Prime Minister and I wish them all the best.

“We are heartened by the incoming Prime Minister’s comments about getting back to basics and focussing on the key issues of inflation and the cost of living.

“While there are a number of policy areas to focus on, the FSC and its members believe deferring the New Zealand Income Insurance Scheme, an expensive and complex policy which adds costs for businesses and employees alike during a cost-of-living crisis, should be near the top of the list.

“We are supportive of the vision – New Zealanders are under-insured and it’s crucial we have robust safety nets in place to support Kiwis when they’re in need. However, the policy development has been too rushed, there’s been a lack of sector engagement, and the scope has crept from the original proposal, driving even more costs.

“Deferring the implementation would allow for more time to get the details right and protect workers and employers from additional costs at this difficult time,” says Klipin.

The FSC also believes KiwiSaver is an area where quick progress can be made.

“After 15 years of KiwiSaver the time is right to review, refine, and improve the scheme to ensure it can deliver more adequacy in retirement for New Zealanders.

“The FSC is focused on helping Kiwis grow their financial confidence and wellbeing, and we welcome further opportunities to collaborate with the government on these crucial policy areas,” concludes Klipin.