MFAA talks remuneration with government

The association and several aggregators have talked with the government about ASIC’s broker remuneration review



A delegation from the Mortgage & Finance Association of Australia (MFAA) has held a series of talks with key government stakeholders in Canberra.
Led by MFAA chairman Cynthia Grisbrook and a representation of aggregators, the meetings are part of an ongoing initiative by the Association to advocate on behalf of the broking industry to the Federal Government.
Accompanying Grisbrook were Mark Hewitt of Australian Finance Group (AFG), Sam White of Loan Market, Stephen Moore of Choice, Andrew Rasby or Vow/Yellow Brick Road and John Flavell of Mortgage Choice.
The group held meetings with Meghan Quinn, head of the Financial Services Division of The Treasury and the chief of staff of the Minister for Revenue and Financial Services, Kelly O’Dwyer.
A follow-up meeting was also held with Senator Katy Gallagher, Shadow Minister for Small Businesses and Financial Services.
“Both meetings were extremely positive, and both Ms Quinn and Senator Gallagher appreciated the time the MFAA took to explain the benefits of the mortgage broking industry to competition in the financial services sector,” Grisbrook told Australian Broker.
During the meetings, the delegation offered the perspectives of wholesale mortgage brokers and the franchisor segment of the industry, she said.
Quinn will ultimately prepare advice for the Federal Government on how it should respond to the ASIC report on broker remuneration while O’Dwyer will shape those recommendations and determine what will be put to cabinet for final government approval.
“We talked through the nature of our business in depth, why current remuneration structures are appropriate and serve consumers’ interests, and how they provide an essential and accessible financial service to all Australians in a competitive and ethical way,” Grisbrook said.
During the meeting, the delegation talked about the role and structure of aggregators in the mortgage lending value chain, she told Australian Broker.
“The meeting was extremely productive and will hopefully position the industry well in advance of the release of the ASIC report into mortgage broker remuneration.”
Grisbrook added that she was also happy with her meeting with Gallagher which was arranged to introduce the Shadow Minister to the MFAA.
“This meeting provided an opportunity to emphasise to the Opposition the importance the mortgage broker sector holds in the small business community and to emphasise the need to preserve current remuneration arrangements,” she said.
“These meetings are another demonstration of the MFAA’s determination to represent all of our members to federal decision-makers so our voice is heard – they’re an effective way to present our interests to those who matter in the policy environment.”
Quinn and Gallagher are also keen to meet with the MFAA again once the ASIC remuneration review has been released to discuss proposed policy responses, Grisbrook told Australian Broker.
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