The paper will seek feedback on the Murray Inquiry’s recommendation that the government introduces a suite of retirement products that could offer 15 to 30 per cent more income than drawing the minimum amount from an account-based pension.

“This is an important reform that will help lift the living standards and choices of older Australians. There are seldom other reforms that offer such large potential increases in income, without a cost to taxpayers,” Ms O’Dwyer said.

“As Australians enjoy longer and healthier lives and the superannuation system matures, it is important we get the settings for our superannuation system right.”

The optional products, named ‘MyRetirement products’, would provide greater retirement security for Australians as a substitute for the age pension, according to the government.

They would build on the super reform package which removed tax barriers to the development of new retirement income products.

Submissions are due by 28 April 2017.