House debates

Wednesday, 9 May 2007

Social Security and Veterans’ Affairs Legislation Amendment (One-Off Payments and Other 2007 Budget Measures) Bill 2007

Second Reading

4:53 pm

Photo of David FawcettDavid Fawcett (Wakefield, Liberal Party) Share this | Hansard source

I rise to address the Social Security and Veterans’ Affairs Legislation Amendment (One-off Payments and Other 2007 Budget Measures) Bill 2007, which deals with a very important issue for our community. When I have sent out surveys or stood for long periods of time in shopping centres and spoken to people, I have been given consistent feedback from seniors in our community, who talk to me about the various situations they find themselves in. The thing that strikes me is that there are a range of situations. I have spoken in this House before about the fact that some seniors are doing very well, particularly those who own their own homes in areas that do not have high council rates and where they have access to public transport et cetera, but there are some—perhaps those in Housing Trust homes who do not have access to public transport or those with very high council rates—who, for the same given income, really struggle to put food on the table. I think it is important that at this time, with the budget, we look at any measures we can to make sure that we have the fairest and most equitable distribution of some of the wealth that this nation is enjoying to those who have gone before us and helped to build this nation.

The older Australians bonus of $500 is payable to every person over pension age who is eligible for the utilities allowance or the seniors concession allowance on budget night this week. For DVA pensioners this also includes age, invalidity or partner service pensioners over pension age, and Commonwealth seniors health card holders and gold card holders over pension age. These are one-off payments but they are non-taxable and they are not classed as income. Those are important things, because some of the feedback I have had from people is that they have appreciated rises in pensions before but particularly those in Housing Trust properties have noted that some of that—in fact, a substantial amount—gets taken away by the Housing Trust. So those people are not as well off as we would have intended by giving them a rise in their pensions. By taking this approach of a bonus—as we look at things like the utilities allowance—we have ensured that it does not come into the equation when things like house trust rents are calculated. So the people who are receiving this bonus are actually getting the opportunity to use the entire bonus for the purposes that they want to in their own households. Whether that is to pay off bills, to assist with things around the home or to do other things, the entire amount is available to them.

In the electorate of Wakefield, there are some 15,000 aged pensioners in receipt of the utilities allowance who will receive this $500, and there are nearly 1,200 seniors in receipt of the senior concession allowance who will receive it as well. So well over 16,000 seniors in Wakefield will receive this $500, which is one way that this government, through its responsible economic management, can share the wealth that this country is currently generating.

The other people whom I interact with on a regular basis are in groups such as the Elizabeth Special School—the parents there who care for children with special needs—and the Northern Carers Network, including Maria Ross, who runs that organisation. They are people who care for the elderly and those with disabilities or chronic illnesses. They invest a huge amount in some of the most frail and needy in our community, and we cannot begin to thank them enough for that. The carer bonuses, which have been paid now for the fourth year in a row, are just a small way in which the government recognises the invaluable work that these people do.

As in previous years, this year the government will provide a lump sum payment to eligible carers who were in receipt of the carer payment or the carer service pension and/or the carer allowance and those in receipt of the wife pension or the DVA partner service pension who also receive carer allowance on budget night this year. In Wakefield’s case, nearly 4,400 people are in receipt of carers allowance. They will receive that $600 bonus. Over 1,000 people who are in receipt of the carer payment will also receive it. So nearly 5,500 people who are carers—who are giving of their time, energy and compassion to care for those around them—are recognised in a small but significant way through this measure, which I welcome.

I also welcome the opposition’s support for these measures. It is encouraging to see that they also see the benefit of it, but I am somewhat bemused by their comments about the measures that we have taken to support veterans. As someone who served for over 22 years in the armed forces I am very aware of the needs of veterans. Certainly one of the large issues that have been brought to my attention time and again by the TPI organisation is the matter of the indexation of the income or compensation aspects. This government has chosen to increase the special rate by $50 a fortnight and the intermediate rate by $25 a fortnight, with effect from July this year.

I note that the opposition has welcomed that, but, at the same time, they criticise it and say how good their plan is. But I notice that their plan, announced by Mr Rudd, looks at commencing indexation, which would build over a four-year period to a sum of $30 per fortnight. The previous speaker was saying just before that,  under their plans veterans would be better off by some $1,700. Under our plan, because the $50 comes into effect from July this year and is not incrementally built over four years, TPI pensioners will be better off by over $5,000. When you compare those two schemes, it is fairly clear that we have taken a step that optimises the benefit to these veterans who have served our country, with immediate effect from July this year. I certainly welcome that move. I also welcome the moves in terms of funeral benefits, although personally I am disappointed they were not greater, and I welcome the fact that war widows now have a longer period in which to register their claims for the new pension once their husband or wife dies from a war-related cause.

The important thing that has come out of this is that this government is able to provide these support measures to people who have gone before us in our community because its good economic management has led to more revenue. Why is there more revenue? It is because there are more people in work, because business has been encouraged and because there has been investment in this country. We have seen revenue go up, which has given the government more options to provide for carers, for our seniors, for education, for the environment, for infrastructure and for defence. Because of good economic management, we are able to do the important things that a government should do.

I am glad to see that the opposition have supported these measures. I am disappointed, however, that over the last 10 years they have not supported the measures that have led to this economic outcome. When we came to office in 1996, there was $96 billion of debt, resulting in $8½ billion of interest having to be paid every year. There were deficits year after year, which meant there was no capacity to provide this sort of support to a range of people with a range of needs in our community. So, whilst I am glad they support these measures, I am disappointed they have not supported the economic measures over the years that have led to us having the economic capacity to share the wealth of this nation not only across portfolio areas but, importantly, with our seniors, our carers and our veterans, to whom we owe an enormous debt of gratitude.

Comments

No comments