Advisers cite red tape as key consideration ahead of vote

New research conducted by Momentum Media’s research house Momentum Intelligence has revealed that while advisers are overwhelmingly planning to support the Liberal Party at the next election, an issue that transcends politics is overregulation.

Momentum Intelligence conducted its Insight Survey in December 2021, on 2,842 professions across several key industries including 320 people operating in financial and wealth management, spanning all voting-age demographics.

Overall, the Liberal Party garnered most support with three in five respondents admitting they plan to throw their support behind a Coalition government.

In the financial and wealth management industry alone, the Liberals snagged 60 per cent of the vote, compared to just 27 per cent for Labor.

But while their party preferences varied, a majority of respondents from the financial and wealth management industry cited red tape as a key consideration ahead of the vote.

This goes hand in hand with the industry predominantly selecting small-business interests as essential when given a list of voting considerations to rank.

Taxation followed with 52 per cent.

“From an industry perspective, they are making it harder and harder to run an efficient, low-cost financial services practice. The regulatory layering, the cost of compliance are increasing,” a Labor voter said.

“It’s becoming more and more complex and inefficient, not necessarily helping consumers – in fact some changes are causing detriment which is frustrating.”

Similarly, a Liberal voter noted: “I would prefer to see some of the current strangulation by regulation eased.”

Interestingly, others expressed worry a change in government could mean more red tape, not less.

“Labor coming in [and] making more changes to the red tape that already exists for advisers. We have been through so much in the last couple of years and it just feels like a new government will mean a new direction simply because they are in power and must assert some image that they are managing the financial planner world when the new changes from the last few years alone have not had time to work and sort themselves out,” a Coalition voter said.

However, a common perception is that Labor has yet to clarify its agenda regarding advisers, an agenda that could potentially swing votes.

“If Labour promised to make only necessary changes that are minimal, I would consider voting for them,” a respondent said.