It's time to hit the policy reset, it says
The Financial Services Council has launched its inaugural policy platform, Blueprint for Growth, at its flagship Building Consumer Confidence Conference.
FSC’s Blueprint was designed to help lead, guide, and shape the policy debates relating to growing the financial confidence and wellbeing of all New Zealanders.
The blueprint, which was developed by FSC with the intent to help all New Zealanders be better financially, has identified four key money issues facing New Zealanders.
One is that New Zealanders aren’t financially literate, leading to financial literacy and capability issues. According to the 2023 Financial Resiliency Index, more than half of Kiwis (53%) cannot access $5,000 during an emergency.
Two, New Zealanders take too much risk without managing the downside. A massive 70% of Kiwis are currently underinsured, according to Money and You: Taking Cover, 2022.
Three, New Zealanders aren’t prepared for retirement, resulting in stress and anxiety in their old age. According to the 2021 data from Money and You: KiwiSaver at a Crossroads, 56% of New Zealanders don’t feel they are financially prepared for retirement.
Lastly, New Zealanders worry about healthcare accessibility and affordability. According to last year’s Money and You: Taking Cover, 39% of Kiwis worry about the financial consequences of a significant health event.
In a statement, FSC said it has a long track record of constructive engagement in policy, via several mechanisms, such as regulatory submissions, appearances at select committees, engaging in key policy platforms, advocating to stop or amend poor policy choices, 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,” FSC CEO Richard Klipin (pictured above) said. “Our number one priority is to grow the financial confidence and wellbeing of New Zealanders.”
Klipin said the announcement is just the beginning and that to achieve better outcomes for all New Zealand, good, evidence-based, bipartisan policy is a must.
“This is part of the key to unlocking the future prosperity and productivity in New Zealand,” he said. “We look forward to engaging with all political parties in the leadup to the election and with the incoming government after Oct. 14.”
Read FSC’s Blueprint for Growth.
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