Barnaby Joyce admits One Nation has not modelled its early super access plan

One Nation's Treasury spokesperson, Barnaby Joyce, has acknowledged that his party has not carried out economic modelling on how its proposal to allow early access to superannuation savings would affect retirement incomes and inflation. The admission came in his second combative media interview within two days.

The previous morning, Joyce had told the ABC's 7.30 program that he "was not Jesus Christ" and could not be expected to know everything. On Tuesday, he dismissed the idea that One Nation's plan needed the kind of economic analysis typically attached to major policy proposals, rhetorically asking whether people model the pay they receive at the end of the week.

Joyce also argued that the absence of any restrictions on who could withdraw their super early, or for what purpose, was not a concern, saying people are not foolish and would not withdraw funds unless it made financial sense for them.

What the proposal involves

Under One Nation's plan, roughly nine million Australian households that pay rent or a mortgage would have the option to redirect a portion of their superannuation into their take-home pay for up to three years. Employers would continue paying the full 12% compulsory contribution, but 3% could go directly to the account holder, still taxed at the concessional 15% rate.

Modelling from the Super Members Council, which represents the not-for-profit super sector, indicates the average worker would end up $25,000 worse off by retirement if the scheme were adopted.

Government pushback

Prime Minister Anthony Albanese has strongly criticised the proposal, telling Labor's caucus that it threatens the principle of universal compulsory superannuation and that the policy appears poorly thought through, based on Joyce's interview.

Treasurer Jim Chalmers called the policy "an absolute shambles," saying One Nation has been unable to explain its implications for pension spending or the broader economic consequences of the plan.