Prime Minister Malcolm Turnbull has faced renewed questioning over the government's planned changes to superannuation amid reports they could spark a post-election rebellion by Coalition MPs.
Subscribe now for unlimited access.
$0/
(min cost $0)
or signup to continue reading
Media reports on Wednesday suggested a small number of Coalition MPs and candidates were proposing to block the changes from going ahead after July 2, with some rank and file members quitting the party and supporters withdrawing anticipated campaign donations.
The reports come after frontbenchers including Foreign Minister Julie Bishop and Resources and Energy Minister Josh Frydenberg stumbled as they tried to explain aspects of the changes, including to the transition to retirement scheme that allows workers to draw down on super savings before they retire.
Mr Turnbull and Assistant Treasurer Kelly O'Dwyer both gave interviews to explain some aspects of the changes, arguing the transitional measures were instead being used as a tax minimisation tactic.
One backbencher told Sky News that two regular $5000 donations were not forthcoming because of the planned super changes, which include a proposed $1.6 million cap on tax-free super and lowering of the cap for concessional contributions to $25,000.
Another said there was "white hot rage" and a party room revolt could come after the election.
Speaking in Brisbane on Wednesday, Mr Turnbull said the superannuation changes had been included in the May budget, which was "presented by the Treasurer and has the full support, naturally, of the government, the cabinet and the party room".
Sky News reported MPs and ministers had not been given so-called talking points or briefing notes outlining aspects of the changes, including to the transition to retirement scheme, and the party room had not considered the full package.
In a media conference on Wednesday, Mr Turnbull and Treasurer Scott Morrison began by emphasising the "fairness" element of the changes, in what appears to be a deliberate response to the criticism.
Mr Turnbull said the changes would make super "fairer and more flexible".
"As everybody knows, our changes to super mean that 96 per cent of Australians in the super system are either better off or unaffected," he said.
"So yes, it does affect a small percentage and I can understand why people are disappointed by that but the consequence is that the system is fairer and more fit for purpose."
He called the changes "important" and "overdue".
Assistant Minister Alex Hawke called the changes to transition to retirement provisions a "niche issue" on Wednesday.
Labor is likely to continue to seek to capitalise on the unrest.
Cabinet secretary Arthur Sinodinos wouldn't speculate on a possible backdown and said any Liberal MP with concerns should "take it up with the Treasurer's office".
"I haven't had any colleague ring me up and say 'look, I think this has got to change'," he told Sky News.
Senator Sinodinos said the superannuation changes were presented to the party room as part of the budget package.
"The next process will be that we win the election, then there will be consultation on various changes and then legislation presented to the party room."
