Trusts Bill 2025
Plain English Summary
Overview
This bill replaces Queensland's Trusts Act 1973 with modernised legislation that clarifies the powers and duties of trustees, makes it easier to replace trustees who die or become incapacitated, and gives beneficiaries clearer rights to see how their trust is being managed. It broadly implements recommendations from the Queensland Law Reform Commission's comprehensive 2012-2013 review of trust law.
Who it affects
Anyone involved with trusts in Queensland - including trustees, beneficiaries of family and charitable trusts, self-managed superannuation fund trustees, legal practitioners, and trust administrators. Charitable organisations benefit from a cheaper pathway to change outdated trust purposes.
Key changes
- Trustees now have the powers of an absolute owner of trust property, subject to statutory duties of care, honesty, good faith, and record-keeping
- Children, insolvents, and persons disqualified by a court cannot be appointed as trustees
- Administrators or attorneys can appoint replacement trustees when the last trustee has impaired capacity or is insolvent, without going to court
- Capital available for a beneficiary's maintenance, education or advancement increased from $2,000 to $100,000, indexed annually to CPI
- Attorney-General can approve changes to smaller charitable trust purposes (cy pres schemes) instead of requiring Supreme Court proceedings
- District Court can now handle trust disputes within its monetary limit, reducing costs for lower-value matters
- Courts can review and reduce excessive trustee remuneration, and disqualify unfit trustees from acting on any trust
Bill Story
The journey of this bill through Parliament, including debate and recorded votes.
▸Introduced18 Feb 2025View Hansard
Vote on a motion
Vote on whether to declare the Trusts Bill 2025 urgent with the Justice, Integrity and Community Safety Committee required to report by 7 March 2025. The Opposition opposed this on procedural grounds, arguing it circumvented proper consultation processes.
The motion was agreed to.
A formal vote on whether to accept a proposal — this could be the bill itself, an amendment, or another motion.
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Ayes (50)
Noes (36)
▸1 procedural vote
Vote to grant leave
Vote on whether to grant leave for the Attorney-General to move a motion without notice to declare the Trusts Bill urgent and set a truncated committee reporting deadline of 7 March 2025.
Permission was granted.
A vote on whether to grant permission — for example, to introduce an amendment or vary normal procedure.
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Ayes (51)
Noes (35)
▸Committee18 Feb 2025 – 1 May 2025View Hansard
Referred to Justice, Integrity and Community Safety Committee
The Justice, Integrity and Community Safety Committee examined the Trusts Bill 2025 under an urgent timeframe, receiving five submissions and holding a public briefing and hearing on 3 March 2025. The Bill replaces the Trusts Act 1973 with modernised trust law, building on the Queensland Law Reform Commission's 2013 review and the lapsed Trusts Bill 2024 from the previous parliament. The committee endorsed the former Housing Committee's report on the 2024 Bill and focused its examination on provisions that had changed. The committee unanimously recommended the Bill be passed, finding it compatible with human rights and fundamental legislative principles.
Key findings (5)
- The Bill modernises and replaces the Trusts Act 1973, informed by the Queensland Law Reform Commission's review completed in December 2013 and the lapsed Trusts Bill 2024.
- The committee endorsed the former Housing, Big Build and Manufacturing Committee's report on the 2024 Bill and limited its examination to provisions that differed from the earlier version.
- Stakeholders raised concerns about clause 22 (replacement of trustees with impaired capacity), particularly the interaction between trustee appointment powers and duties under the Guardianship and Administration Act 2000 and Powers of Attorney Act 1998.
- The Queensland Law Society proposed amendments to clause 44 regarding renunciation of probate and its effect on trusteeship of further trusts established under a will, which the Department of Justice agreed to consider.
- Clauses 212 to 215 on charitable ancillary funds were updated to include regulation-making powers following Queensland Law Society feedback about avoiding unintended consequences for charitable trust status under Commonwealth law.
Recommendations (1)
- The committee recommends that the Bill be passed.
▸1 procedural vote
Vote on whether a member could speak
The member was not allowed to speak.
A vote on whether a specific member should be allowed to continue speaking.
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Ayes (31)
Noes (50)
▸Second Reading14 Mar 2025 – 1 May 2025View Hansard
▸18 members spoke17 support1 mixed
Supported the bill as a vital safeguard for public trust, noting it brings trust administration into the modern era with stronger accountability provisions for trustees.
“This bill is not just a technical adjustment to outdated laws; it is a vital safeguard for public trust and the integrity of our institutions.”— 2025-05-01View Hansard
Acknowledged the bill is uncontentious and important, but criticised the rushed committee process and the government's lack of legislative agenda.
“There is very little about this bill that is especially contentious, so there is little in addition to the committee report that I would add.”— 2025-04-30View Hansard
As Attorney-General, moved the second reading and addressed technical issues raised by stakeholders including the Queensland Law Society and the Public Advocate, emphasising the bill modernises trust law after a decade of waiting.
“The Trusts Bill 2025 is an accumulation of more than a decade's worth of work—of consultation—to finally modernise the Trusts Act 1973 and to deliver a framework for the regulation of trusts that fits for the 21st century.”— 2025-03-14View Hansard
Supported the bill as finally delivering modern trust legislation more than 10 years after the QLRC review process began, noting the bill addresses issues raised by stakeholders.
“The Crisafulli government is finally beginning to deliver a modern and updated Trusts Act more than 10 years after the process began.”— 2025-05-01View Hansard
Strongly supported the bill as important micro-economic reform, emphasising the economic significance of trusts and criticising the former Labor government for not acting on the 2013 Law Reform Commission review.
“This is really important micro-economic reform. It really matters that this is a bill that is able to be easily understood, that we are doing the work that is needed to make sure we are ever improving the efficiency of every aspect of our economy.”— 2025-04-30View Hansard
Supported the bill on behalf of the opposition, acknowledging it closely resembles the lapsed Trusts Bill 2024 introduced by the former Labor government, but criticised the rushed urgency process.
“The opposition has no intention of standing in the way of sensible legislation. We support the intention of this bill and support these changes being effected.”— 2025-03-14View Hansard
Supported the bill as necessary modernisation of trust law, acknowledging the former ALP attorney-general's work on the earlier iteration, but used the debate to highlight concerns about trust transparency in public office.
“At a time when public trust is fragile, we need modern trusts law that ensure trusts are administered transparently for the benefit of the beneficiaries of the trust.”— 2025-05-01View Hansard
Acknowledged the bill rewrites trust laws but strongly criticised the rushed consultation process, noting stakeholder organisations had only three business days to review a 221-page bill.
“The QLRC, as I said, began its review in 2012. The bill has been over a decade in the making, hence there is no reason to rush now at the last moment.”— 2025-04-30View Hansard
As chair of the Justice, Integrity and Community Safety Committee, noted the committee made one recommendation that the bill be passed, and detailed the bill's key reforms.
“The committee made one recommendation—that is, that the bill be passed. The broad support from key stakeholders, legal experts and community representatives underscores the importance and necessity for these reforms.”— 2025-03-14View Hansard
Supported the bill while criticising the government for guillotining debate. Discussed the technical provisions around trustee disqualification and terminology changes from 'bankrupt' to 'insolvent under administration'.
“We note from chapter 2.6 of the Justice, Integrity and Community Safety Committee's report, at page 20, that there is an amendment to the terminology in the 2024 bill regarding the exclusion of persons as trustees, from 'bankrupt' to 'insolvent under administration'.”— 2025-05-01View Hansard
Spoke in support of the bill as a significant and long-overdue reform of Queensland's trust law, highlighting its modernisation, simplification and legal clarity objectives.
“I rise today to speak in support of the Trusts Bill 2025, a piece of legislation that represents a significant and long-overdue reform of Queensland's trust law.”— 2025-04-30View Hansard
Supported the bill as a long-overdue modernisation of trust law, noting the committee's sole recommendation was that the bill be passed.
“The Justice, Integrity and Community Safety Committee's sole recommendation was that this bill should be passed. This is a testament to the thoroughness of the consultation and the soundness of the proposed reforms.”— 2025-03-14View Hansard
Supported the bill as a landmark piece of legislation that would modernise the legal framework for trusts, ensuring greater transparency and fairness.
“This bill is a crucial step in ensuring our legal and financial systems remain robust, transparent and fair, benefiting all Australians.”— 2025-05-01View Hansard
As a committee member, supported the bill as critical legislation to modernise trust laws, detailing the bill's provisions on trustee appointments, statutory duties and court powers.
“The Crisafulli government deserves commendation for introducing this important bill early in its term.”— 2025-03-14View Hansard
Supported the bill, providing historical context on trust law dating back to the Statute of Uses 1535 and highlighting the bill's relevance to small and family businesses on the Fraser Coast.
“After 10 years of Labor's deferral, dithering and procrastination, it is time for reform of our trust legislation.”— 2025-03-14View Hansard
Supported the bill, declared his own interest in a trust, commended the Attorney-General and the committee for their work.
“It has been more than 50 years since the Trusts Act has been significantly modernised, and that is despite a thorough consultation and comprehensive review back in 2012 when the LNP were last in government.”— 2025-03-14View Hansard
Provided historical context on the evolution of trusts from medieval times, emphasised the importance of the law of trusts for commerce and superannuation, and criticised Labor for the decade-long delay.
“If you have superannuation you have a trust. That is how important the law of trusts is.”— 2025-03-14View Hansard
Supported the bill as a first-term MP, noting the importance of trusts for everyday Queenslanders including families, charitable organisations and those with impaired decision-making capability.
“I was amazed and surprised to find out that there are people from all walks of life who have trusts and are beneficiaries of trusts.”— 2025-03-14View Hansard
▸In Detail1 May 2025View Hansard
Government amendment No. 1 to replace clause 275 of the Trusts Bill with updated transitional provision preserving court discretion and independence regarding wrongful distribution of trust property, addressing potential Kable doctrine concerns.