THE Australian Small Business and Family Enterprise Ombudsman, Kate Carnell is concerned by reports that engineering group UGL plans to change its bill payment timeframe.

According to a report in today’s Australian Financial Review, UGL, which is owned by Australia’s largest construction company CIMIC, has told its suppliers and sub-contractors that from October 15 they will be paid 65 days after the month in which their invoices are issued.

“Austender reveals UGL has been awarded more than 20 Commonwealth government contracts in 2019 alone," Ms Carnell said.

“Prime Minister Scott Morrison has delivered on his promise ensuring government pays SMEs within 20 days and sent the message loud and clear to big business that anyone who wants to work with the Commonwealth government needs to agree to the same terms.

“Obviously we are concerned by this report in the AFR and we would encourage the government to stop doing business with any company that fails to pay their suppliers and sub-contractors within 20 days.

“Xero released data this week revealing that about half of all invoices issued by small business to big business are being paid late, totalling $115 billion a year," she said.

“We know that just one late payment makes a difference to small business’ bottom line and our Payment Times and Practices Inquiry found that some small businesses have up to 20 companies extending their payment times or just paying late, which is clearly unacceptable.

“In fact, late and extended payments have been identified as one of the most significant handbrakes on small business productivity and a burden on the economy."

www.asbfeo.gov.au

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CHARTERED Accountants ANZ and CPA Australia strongly believe that accountants should be able provide services that benefit their clients and support the public interest.

But reintroducing a mechanism that, due its extreme limitations, is no longer relevant in this current, increasingly complex financial advice environment is unlikely to achieve this objective.

“There is widespread agreement amongst members that the current regulatory and licensing regime for strategic advice needs work,” said Simon Grant, group executive, advocacy and international.

“So rather than putting a band-aid over a very deep wound, we need to look at the issue holistically and find a solution for strategic advice that is fit-for-purpose, permanent and serves Australian mums and dads," Mr Grant said.

“Both professional bodies are undertaking extensive consultation to find a solution, ranging from a public practice member survey to nation-wide workshops to gather feedback."

Paul Drum, CPA Australia external affairs general manager said, “The objective of the Future of Financial Advice reforms was to ensure advice is in the best interests of clients and advice should not be put out of reach of those who would benefit from it, and this has arguably not been achieved, 

“CA ANZ and CPA Australia are calling for a wholesale review of the current financial advice frameworks to address regulatory complexity.

“This complexity has been caused by years of layered regulatory reforms, without appropriate consideration to ensure these reforms are meeting their policy intent," Mr Drum said.

“The wholesale review must identify policy changes needed to ensure that consumers can access quality affordable advice from their choice of trusted adviser.”

The joint bodies submitted on behalf of members and in the public interest that:

• Tax is a key consideration for the majority of financial planning strategies, it is material to the advice and recommendations and not incidental.

• The accountants’ exemption only permitted the recommendation to either establish or wind up an interest in an SMSF. It was so limited that it did not even allow a recommendation to not establish an SMSF. Restoring such a limited exemption is not going to address the need to enable affordable, accessible and quality advice by trusted advisers.

www.charteredaccountantsanz.com

www.cpaaustralia.com.au

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REGIONAL Australia will be the focus of a new select committee launched today.

The Select Committee on Regional Australia will look at the contribution regional Australia makes to the nation’s identity, economy and environment. The effectiveness of existing programs to develop and promote regional centres, cities, towns and districts will also be examined.

Committee Chair, Tony Pasin MP, is looking forward to hearing the success stories from regional Australia.

"Regional Australia is more than just our food bowl," Mr Pasin said.

"Our regions provide enormous opportunities for investment, contribute significantly to our economy and national identity, and provide a quality of life beyond the congestion of our major cities.

"The committee is keen to examine how regional Australia can grow and prosper in a way that benefits everyone."

The committee is accepting submissions to the inquiry until mid-November. These can be made via the committee webpage at www.aph.gov.au/RegionalAustralia.

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THE House of Representatives Standing Committee on Industry, Innovation, Science and Resources will hold a public roundtable into the nuclear industry in Australia on September 20.

Chair of the Committee, Barnaby Joyce MP, said he would like to get an overview of the whole nuclear industry.

"The Committee is receiving briefings on a broad range of issues and due to the high level of public interest in nuclear power decided to make this briefing open to the public," Mr Joyce said.

"We want to hear from a broad range of voices about nuclear power and see what part it has to play in Australia’s energy future. There is a broadening view that zero emissions baseload power can be delivered by nuclear energy."

The hearing will take the form of a roundtable and will hear from a variety of government departments and non-government organisations. These include the Department of Industry, Innovation and Science, the Australian Nuclear Science and Technology Organisation, the Australian Workers Union and the Australian Nuclear Association.

Members of the Committee will then travel to the Lucas Heights Nuclear Facility for a site visit and tour of the facility in the afternoon.

Public roundtable details

Date: Friday, 20 September 2019
Time: 9am to 1pm
Location: Branksome Hotel and Residences, Mascot, Sydney

9:am–10:30am: Government departments
11am–1pm: Non-government organisations 
1pm: Close

The hearing will be broadcast live at aph.gov.au/live.

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