Deliver DBFO to underpin retirement principles says FSC

Mike Taylor

Managing Editor/Publisher, Financial Newswire

24 February 2026

The Financial Services Council (FSC) has pointed to the Government’s release of voluntary Best Practice Retirement principles as underscoring the need for progress to be made with respect to the Delivering Better Financial Outcomes (DBFO) legislation.

Welcoming the release of the voluntary principles, FSC chief executive, Blake Briggs said they “highlight the value of progressing the DBFO Tranche 2 reforms, so that financial advice is more accessible and affordable to all Australians”.

‘The Principles reinforce that Australians should expect a high level of engagement and service from their fund. Superannuation is not ‘set and forget’ and trustees are accountable for the quality of their engagement strategies and the retirement outcomes they deliver,” Briggs said.

“These Principles emphasise the importance of Australians being able to make active and informed choices about their superannuation fund based on how effectively it supports them through making available financial advice, strong customer service, and quality engagement.”

“This also means that automatically defaulting an individual into retirement cannot be seen as best practice,” Briggs said.

Releasing the Principles, the Treasury said that while they were aimed at helping superannuation trustees design and deliver effective retirement income solutions, they are voluntary and were shaped as a result of broad industry consultation”.

“They set out clear, member‑focused practices while allowing trustees to tailor their approach to the needs of their own membership,” the Treasury documentation said.

“The principles do not change the operation or interpretation of existing law, prudential standards, or fiduciary duties. No enforcement action will be associated with trustees’ adoption of these principles,” it said.

“The Australian Prudential Regulation Authority (APRA) and Australian Securities and Investments Commission (ASIC) will continue to monitor compliance with existing trustee obligations.”

Under the Principles, the delivery of financial advice is covering by “supporting member engagement with retirement income solutions” and states that funds should “provide access to financial advice services that reflect the composition and preferences of its membership”.

It also states that funds should “consider members that receive personal financial advice in engagement strategies for members approaching retirement, including information on trustee-designed solutions”.