The Financial Planning Association (FPA) has rejected the Federal Government’s proposals for older advisers to transition to new education standards.

In a submission to Treasury it says there are several reasons why it opposes measures that would require all advisers to be educated to degree level.

“The requirement for existing financial advisers to complete a bachelor degree is not appropriate,” the submission says.

“The two-year timeframe to complete the transition… is not possible and the requirement completely ignores the current qualifications and training, experience and ongoing education of existing financial advisers.”

The FPA also argues the costs and implications of complying “will be very extensive on industry and consumers”.

While it supports denying advisers a blank grandfathering exemption to the proposed education standards, it says previous experience must be acknowledged, including other qualifications.

It also notes currently held degrees may not be acceptable to the proposed standards body, leading to more training costs for advisers.

Another issue is the time required for working advisers to undertake extra training.

“As existing financial advisers generally work full-time, any further education would be undertaken on a part-time basis,” the submission says.

“The transition arrangements for existing financial advisers must reflect this and ensure an appropriate timeframe is provided to enable any necessary upgrading of initial or bridging qualifications to be undertaken part-time, to avoid a mass exit of advice providers on July 1 2019.”

The FPA wants the new standards board to consider the issues and undertake further consultation on applying new education standards to new and current advisers, and examine how the transition for current advisers should be structured.