Barely a federal political term goes by without some kind of change to superannuation. But Labor’s latest intervention has “shattered confidence” in the retirement savings system like never before, says Richard Holden, an economics professor at the University of NSW.

Although the “worst” element of the proposal – the taxing of unrealised gains – was canned, Holden believes a line has been crossed, the consequences of which will involve people putting their money elsewhere.