The Re-Elected Albanese Government Names New Ministry
The re-elected Albanese government has sworn in its new ministry and there’s a new face for the Financial Services portfolio.
Daniel Mulino is the new Financial Services Minister and will also serve as the Assistant Treasurer, while Clare O’Neil has retained the Housing portfolio.
Financial Services Industry Response
Financial Services Council Welcomes Dr Mulino
Financial Services Council chief executive Blake Briggs was one of many in the financial services industry to welcome Mr Mulino to his new role.
“Dr Mulino is recognised as a thoughtful and consultative member of parliament and has brought this approach to his policy development since first being elected in 2019,” he told SMS Magazine.
“Dr Mulino commences in the role with a range of important reforms underway, and has the opportunity to complete those processes with broad industry support.”
Mortgage Broking Industry's Priorities
The mortgage broking industry has also been welcoming, hoping to continue their positive relationship while laying out the issues they’d like to see Mr Mulino prioritise from the start.
The Finance Brokers Association of Australia (FBAA) wants an immediate focus on lowering the home loan serviceability buffer from 3% to 2.5%.
FBAA managing director Peter White told The Adviser:
“The FBAA has enjoyed a close relationship of mutual respect with the Federal Government over many years, which has resulted in significant progress for the finance and mortgage broking industry.”
“Lowering the buffer rate is just one of the issues that we will be discussing with Dr Mulino and other senior ministers that will focus on the best outcome for borrowers and our industry.”
“I am looking forward to bringing him up to date on all of these issues and believe the transition will be seamless due to our strong standing with many senior members of the Government including Treasurer Jim Chalmers, Prime Minister Anthony Albanese and finance minister Senator Katy Gallagher, who visited our office some time back to discuss policy that impacts the industry.”
Potential Impact of Lowering the Buffer
FBAA-conducted research has found that lowering the buffer to 2.5% could:
- Boost borrowing capacity by $276 billion
- Give 270,000 more people access to a median home loan
Mortgage and Finance Association of Australia (MFAA) Reaction
The MFAA CEO Anja Pannek also welcomed Mr Mulino’s appointment and looks forward to working together to implement the government’s housing policies from the recent election.
She told The Adviser:
“We look forward to continuing to engage with Dr Mulino in his capacity as the new Assistant Treasurer and Minister for Financial Services.”
“This includes highlighting the critical role of mortgage and finance brokers in providing choice and competition for both home loan borrowers and business owners.”
“We look forward to continuing engagement with Dr Mulino, Hon. Clare O’Neill and Hon. Anne Aly, advocating for the interests of our members and the mortgage and finance broking industry.”
MFAA’s Priorities for the New Minister
Ms Pannek added that aside from implementing election policy promises, the MFAA’s focus will be on:
- Maintaining the Consumer Data Right policy
- Continuing robust competition in the home loan sector
- Supporting access to credit for small businesses
