Planned superannuation changes won’t be altered, says Federal Treasurer Scott Morrison

THE Federal Government will not be budging on its planned changes to the superannuation system, Federal Treasurer Scott Morrison says.

Treasurer Scott Morrison says the current level of superannuation concessions can’t be sustained. Picture: AAP / Glenn Hunt

THE Federal Government will not be budging on its planned changes to the superannuation system, Federal Treasurer Scott Morrison says.

Last week’s Federal Budget included a $500,000 lifetime cap for non-concessional superannuation contributions.

The cap takes into consideration all non-concessional contributions made since July 1, 2007.

The director of right-wing think tank The Institute for Public Affairs, John Roskam, said emails had been flowing in from members furious with the proposed changes.

“Phrases that people have used with me include ‘disappointed’, ‘devastated’, ‘white hot with anger’,” he told ABC radio.

But Mr Morrison told News Corp he would not be changing tack.

“We’re targeting the top 4 per cent of wealthy superannuants in the country. And we’re not pulling any punches on that,” he said in Hobart.

“There have been generous concessions that have been flowing to those on substantial balances for many years and they’ve had the benefits of those arrangements for some time. In this environment those sorts of concessions can’t be sustained.

“The settings are clearly there, the intent of those settings are clearly there, this is not a retrospective change, it deals with future earnings and the taxation of future earnings. And by definition that’s prospective and not retrospective.”

In Mackay, Labor leader Bill Shorten said on the third day of the election campaign the change was undoubtedly retrospective – breaching a Coalition promise.

Originally published as Planned superannuation changes won’t be altered, says Federal Treasurer Scott Morrison