Industry funds smashed with $7.1b early superannuation withdrawals

The Australian Prudential Regulatory Authority (APRA) has released its weekly update on the Morrison Government’s early superannuation release policy, which reveals that a further $1.3 billion was withdrawn from Australia’s superannuation pool, taking total withdrawals to $13.5 billion:

As you can see, 1.8 million applications for early release have been paid averaging $7,448 per withdrawal.

Looking at the breakdown, you can see that industry funds comprised the top six for withdrawals, accounting for nearly 60% ($7.1 billion) of total early withdrawals:

Under the Morrison Government’s early superannuation release policy, superannuants are permitted to withdraw an additional $10,000 from their funds from 1 July.

Accordingly, industry funds are likely to experience further heavy withdrawals, given their member bases are generally younger and more exposed to COVID-19 job losses.

Unconventional Economist
Latest posts by Unconventional Economist (see all)


  1. So what’s the go here?
    People are pulling from long term portfolios.
    To put into short term?

    It’s kinda funny if you think about it.
    Sell super, buy xjo.
    Can’t lose!

    • Can’t lose, indeed, when you bypass the middleman (that has been fee-gouging you for decades)!

  2. Jumping jack flash

    Pretty clever from Scomo. Howard-level cunning. I never thought I’d see that level of cunning again. Perhaps it was by accident?

    Allow access to super, up to 40K per household. Add a “HomeBuilder” scheme, or more succinctly, Equitymate Extractor, at 25K to entice people to take out an additional 150K of debt – aimed at the recipients of the original lot of FHB grants and the Ruddprimes, obviously. Those guys really are supporting the foundations of the nations’ debt pile aren’t they?

    On the other side of the spectrum, 40K of super + 25K homebuilder + state subsidies means a lot of new debt for FHB.

    The debt grows, the economy is saved! We may even invoke a new golden age of debt!

    Perhaps the banks pulled Scotty aside and showed him that they need to hit 7 trillion debt dollars by 2030 to achieve the levels of growth and prosperity we enjoyed back in 2006?

    • Anything to avoid the government taking on the debt whilst making sure their corporate sector mates remain profitable. The only person that could possibly take on debt left standing is households so we better ensure they keep doing it.

    • migtronixMEMBER

      That’s probably right considering the weird income cap. But those people – on not that great salary – are also the ones on JobKeeper. That’s a hell of a dice roll to tap $125k equity on JobKeeper

      • The middle class propping up all the bad sectors of the economy putting themselves at risk. What’s new? It’s kind of the reason why in Australia employment is king. Its really an “equity mate” grant – trying to tease the people who are in dated houses, had their mortgage for quite some time, been there for awhile, have equity in their home but not much income. Its trying to tempt those people to have that reno they always dreamed of.

        Mig – there’s more of them than you think. Pretty much a lot of the ‘burbs.

  3. Not long now ’til I ram raid my unisuper account for another $10k and hide it in Mattress Bank. Lions share is in Nucleus and doing nicely.