Both MFAA CEO, Phil Naylor and FBAA president, Peter White, hold high hopes for the new government, saying Tony Abbott’s leadership will likely mean fewer additions to regulatory policy.
“As I’ve said many times, our role is to work with whichever government is elected and we certainly have a good relationship with the Coalition,” says Naylor. “We will continue to work with them to make sure the regulatory environment in which our members operate is favourable.”
The industry leaders both believe the new government is less likely to initiate regulatory intervention when it comes to the broking industry.
“Some areas have been over-regulated, so I think there will be some positive outcomes for brokers,” says White.
“[The new government] has promised that they will not be pushing through new regulation, but they will have to complete things sitting on the table – the motor finance sector and small business lenders may or may not be impacted by NCCP and [the Liberal party are] very understanding of where we’re coming from, so I see that as a good thing from the broking side of things.”
Naylor agrees, adding that while the MFAA supported some of Labor’s initial regulation in the development of NCCP, they felt the government started to go ‘too far’.
“We think the Coalition, probably, will be closer to our point of view - we’ve had enough regulation and we just need to let things settle down,” he says.
However, White cautions that the prospect of another hung Sentate is not off the cards – a situation which he believes would negatively impact the industry.
“I think [Tony Abbott’s election] is a good result for business and broking industry – the only thing we won’t know is where things are going to sit in the Senate. It looks like they’re not going to get majority, so it’s going to be difficult for the Liberals to get policy through,” says White.
“The beauty for us is we’ve been dealing with them for a long time and we get along with them well. We’re at the forefront when it comes to the Liberal government and I think we’re both singing the same tune. I think we’ve got a great time for brokers in front of us.”
Finally, both the MFAA and the FBAA believe the introduction of a Coalition government will initiate a more stable period in the broking industry.
“I think that’s what the Australian economy needs,” says Naylor, “we need stability, certainly as to where the economy’s going and where policy is going.”