{"id":75810,"date":"2025-02-19T14:45:03","date_gmt":"2025-02-19T03:45:03","guid":{"rendered":"https:\/\/riskinfo.com.au\/news\/?p=75810"},"modified":"2025-02-25T16:41:45","modified_gmt":"2025-02-25T05:41:45","slug":"latest-cslr-levy-estimate-put-at-193m","status":"publish","type":"post","link":"https:\/\/riskinfo.com.au\/news\/2025\/02\/19\/latest-cslr-levy-estimate-put-at-193m\/","title":{"rendered":"Latest CSLR Levy Estimate Put at $193m"},"content":{"rendered":"

The financial advice profession could be on the hook to pay Compensation Scheme of Last Resort<\/a> (CSLR) fees totalling $123m in the 2026\/27 year according to the FAAA. This follows news of a potential $70m CSLR levy for the 2025\/26 year.<\/p>\n

The figures feature in a just-published report<\/a> by Phil Anderson<\/strong>, the FAAA\u2019s GM Policy, Advocacy and Standards, that includes the ongoing impact of Dixon Advisory and property firm United Global Capital<\/a> (UGC) failures on the financial advice sector.<\/p>\n

All-up, the sector is staring down the barrel of CSLR levies totalling $212m for the 2024-2027 financial years, according to the report.<\/p>\n

\"Phil<\/a>
Phil Anderson \u2013 wants government action over CSLR.<\/figcaption><\/figure>\n

Anderson says the cost of AFCA to process each Dixon Advisory claim could rise from an estimated $12,450 to $21,334 in the 2025\/26 year.<\/p>\n

He also states the 2025\/26 initial estimate for the financial advice sector in relation to UGC is $44.6m in claims and $3.6m in AFCA fees.<\/p>\n

Anderson says: “On the basis of our analysis, and particularly looking at the cost of the Dixon Advisory debacle, the cost for the financial advice profession in 2026\/27 looks likely to be around $123m.<\/p>\n

\u201cAcross the next two financial years, the cost of the CSLR levy to the financial advice profession could be $193m. This is around $12,500 per adviser.<\/p>\n

I wonder if the architects of this outcome feel pleased with what they achieved…<\/p><\/blockquote>\n

\u201cIf this is not enough to force the Government to take quick action, then it is difficult to see what else it would take.\u201d<\/p>\n

See our report: CSLR Inquiry Delayed<\/a><\/p>\n

Anderson says that as an absolute minimum, the financial advice profession should not be paying any more than the $20m sector cap in any one year.<\/p>\n

Anderson concludes his report saying: \u201cI wonder if the architects of this outcome feel pleased with what they achieved, or embarrassed. One can only hope that they have a conscience.”<\/p>\n

Click here<\/a> for our previous reports on CSLR, and click here<\/a> for more on Dixon Advisory.<\/p>\n","protected":false},"excerpt":{"rendered":"

The financial advice profession could be on the hook to pay Compensation Scheme of Last Resort (CSLR) fees totalling $123m in the 2026\/27 year according to the FAAA. This follows news of a potential $70m CSLR levy for the 2025\/26 year. The figures feature in a just-published report by Phil Anderson, the FAAA\u2019s GM Policy, […]<\/p>\n","protected":false},"author":23,"featured_media":75815,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[282,8,8282,5121],"tags":[],"class_list":{"0":"post-75810","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-associations","8":"category-compliance-regulation","9":"category-government","10":"category-sustainability"},"_links":{"self":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/75810","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/users\/23"}],"replies":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/comments?post=75810"}],"version-history":[{"count":0,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/75810\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/media\/75815"}],"wp:attachment":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/media?parent=75810"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/categories?post=75810"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/tags?post=75810"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}