Coalition MPs oppose planned superannuation increase

Several Coalition MPs have expressed their concern over the plan to increase the compulsory superannuation contribution.

They fear raising the 9.5 per cent guarantee to a full 12 per cent will make it harder for employers to offer pay rises.

Under current legistlation, it is due to go up to 10% in 2021 and to 12% by 2025.

Prime Minister Scott Morrison insists they will not be changing their policy.

Liberal MP Tim Wilson tells John Stanley the money could be better spent in an individual’s bank account.

“More and more data is showing that Australians do have enough money to retire on, so the question is why are they continuing to increase it?”

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But Association of Super Funds of Australia CEO Dr Martin Fahy tells John Stanley the increase would be beneficial.

“This is not about reducing what people are taking home this is about capturing and deferring it so that people have it for their retirement.”

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