Improved saving scheme will benefit young workers
04 February 2008
Credit unions and building societies say improvements to the Government’s planned First Home Saver Accounts are good news for young workers.
Australia’s customer-owned banking sector lodged a Budget submission last month calling for Government co-contributions to First Home Saver Accounts and for measures to maximise competition and choice in Account providers.
Treasurer Wayne Swan and Housing Minister Tanya Plibersek have today announced that Cabinet has approved improvements to First Home Saver Accounts.
“The Government has considerably strengthened the First Home Saver Accounts by introducing Government co-contributions and by allowing the main home lenders – banks, building societies and credit unions – to offer the Accounts,” says Louise Petschler, chief executive of Abacus – Australian Mutuals.
Abacus is the industry body for credit unions and mutual building societies. Collectively, credit unions and mutual building societies hold more Australian household deposits than any institution other than the Commonwealth Bank.
Abacus’ Budget submission was prepared by the South Australian Centre for Economic Studies and is available at www.abacus.org.au.
“We applaud the Government’s decision to ensure that First Home Saver Accounts are attractive to young people and lower income earners,” Ms Petschler said.
“We look forward to seeing further detail about the improvements to First Home Saver Accounts in the Government’s consultation paper to be released this week.”
For more information:
Luke Lawler
0418 213 025 or 02 6232 6666
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