House debates

Wednesday, 20 June 2018

Bills

Appropriation Bill (No. 1) 2018-2019; Consideration in Detail

5:31 pm

Photo of Dan TehanDan Tehan (Wannon, Liberal Party, Minister for Social Services) Share this | Hansard source

Before I start, I commend the Minister for Veterans' Affairs and Defence Personnel for the seamless way he's taken on an incredibly important job and, in particular, his implementation of veteran-centric reform. I acknowledge the very important work he's doing in that regard.

In the Social Services portfolio, the 2018-19 budget continues the government's commitment to providing a genuine safety net for those most in need while making it more sustainable by strengthening the integrity of the welfare system. As the Treasurer said in his budget speech, it is part of the government's guarantee to provide the essential services that Australians rely on like Medicare, hospitals, schools and caring for older Australians.

In this financial year, the Social Services portfolio is seeking $10 billion in funding to deliver on the government's policy priorities, programs and services that improve the lifetime and wellbeing of people and families in Australia. The Department of Social Services will also administer $115.3 billion—around one quarter of the total Australian government budget. The budget introduces a range of measures to support people with disability and vulnerable families, and to assist Indigenous and regional students to complete their education.

The government is providing a range of innovative measures to assist older Australians with more choice in retirement. The budget includes $258.6 million to support people of age pension age to achieve a better standard of living during their retirement. From 1 July 2019, there will be changes to the pension work bonus, the pension loan scheme and the means-test rules for pooled lifetime retirement income streams.

From 1 July 2019, the amount that social security pensioners can earn through work before it is assessed under the pension income test will increase by $50 a fortnight to $300 a fortnight. The maximum work bonus accrual amount will increase from $6,500 to $7,800. Additionally, for the first time, self-employed recipients will be able to access the work bonus. This increase will benefit about 81,500 social security pensioners and 850 allowance recipients each fortnight and will importantly improve our economy.

As the Council on the Ageing noted, the measure is important to fight ageism in the workforce, tap into the experience of older Australians and provide flexibility in retirement. In addition to this, from 1 July 2019 the pension loan scheme will be expanded with the available fortnightly loan plus pension amount increasing from 100 to 150 per cent of the maximum rate of the fortnightly age pension. This will provide an option for people of age-pension age with property to enjoy a higher standard of living. This change will benefit, for the first time, pensioners of age-pension age with property who currently receive the maximum rate and previously could not access the Pensions Loan Scheme. Self-funded retirees with property who currently cannot access the scheme will also benefit from this change and be able to apply for a loan.

The 2018-19 budget reaffirms the government's focus on the safety and wellbeing of communities, families, women and children in Australia, and people with disability. The government has committed an additional $11.5 million over 18 months to enhance the capacity of 1800RESPECT, the national domestic and family violence and sexual assault counselling information and support service. An addition $6.7 million will be provided for domestic violence response training to train around 7,400 front-line workers such as nurses, counsellors and disability and settlement service workers.

The budget also continues the government's commitment to the National Disability Insurance Scheme, and I welcome the presence of the assistant minister here today and commend her on the outstanding job she's doing. In the coming year, we will have an additional 750 staff added to the NDIS and full rollouts in New South Wales and South Australia. (Time expired)

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