Senator ALLISON —My question is to the Assistant Treasurer. Is the minister aware that the Superannuation Complaints Tribunal has more than 330 matters waiting to be heard? Isn't it the case that, before the Federal Court judgment in 1997 wound back the tribunal's function, the budget was $2.2 million but then dropped to the current level of $1.6 million? Why was the budget not increased again in June this year when the powers of the tribunal were restored by the High Court? Minister, if your government is really serious about restoring confidence in the superannuation system, when are you going to agree to properly fund the tribunal to clear this backlog?

Senator KEMP (Assistant Treasurer) —Thank you, Senator Allison, for the question on superannuation. The truth of the matter is that there is great confidence in superannuation. We are seeing it in the sense that superannuation is growing at very rapid rates. It is truly one of the growth sectors—

Senator Allison —I rise on a point of order, Madam President. The Assistant Treasurer has not understood my question. It is about the tribunal, not about superannuation contributions.

The PRESIDENT —I am sure the minister has time to deal with the question.

Senator KEMP —On the point of order, I want to make this clear: it was a discussion on whether I could restore confidence in superannuation. Senator, let me assure you that I will be getting to the nub of your question, but I wanted to deal with the problem of whether or not there was confidence in superannuation. It is because of the remarks that Senator Allison made that I started off my answer in that fashion.

As I was saying, by any measure there is great confidence in superannuation. It is one of the great growth sectors in the Australian economy. It does not matter whether you are looking at, as Senator Sherry has said, the SG level, which is showing a great growth rate, or at the voluntary contributions, which from memory are growing at an even faster rate. I think Senator Sherry and I would agree that that is a very good and healthy sign. If you looking at the number of DIY funds which are being established, you would say that a lot of people are showing great confidence in superannuation and believe that the benefits of superannuation, particularly the tax concessions, are important.

In relation to the backlog of complaints, I have got a brief from Mr Joe Hockey, who is the minister responsible for this. Let me say to you on this matter that the government is fully committed to ensuring superannuation fund members continue to have access to an efficient and effective alternative dispute resolution mechanism. Let me make it clear that the government is committed to ensuring the tribunal is appropriately staffed and funded to carry out its functions. The government is currently in the process of making additional appointments to the tribunal to ensure that the complaints on hand are dealt with effectively and quickly. Mr Hockey has authorised me to say that the government expects to be in a position to announce additional appointments to the tribunal once the appointment processes are complete.

Senator ALLISON —Madam President, I ask a supplementary question. The minister has gone some way to answer my question but has not answered the fundamental question of the budget. Will the budget be increased? Can I remind the minister that there has been an increase of 27 per cent in complaints in the five months since the High Court decision, compared with the same period in 1998, and some of these complaints are three to four years old. I understand about new appointments, but the question is: is there the budget to cover the additional work which is required in the tribunal to clear the backlog?

Senator KEMP (Assistant Treasurer) —Senator Allison made the point that there was a backlog created by the Federal Court decision. Senator, let me make it clear that the government is strongly committed to ensuring that the tribunal is appropriately staffed and, let me stress, appropriately resourced to carry out its duties. This is a government which is very committed to the superannuation sector. We believe it is a great thing that it is one of the growth sectors in the Australian economy. We expect and we hope that it will continue to be a great growth sector. We also recognise the importance of the Superannuation Complaints Tribunal.