Pat Conaghan (Cowper, National Party, Shadow Assistant Treasurer) | Link to this | Hansard source

My question is to the Prime Minister: I refer to another mean-spirited act by the Prime Minister—cutting the private health insurance rebate for Australians aged over 65. The CEO of National Seniors Australia, Chris Grice, has said:

The cuts could push people to downgrade their cover, potentially leaving them underinsured when they need it most. At the same time, this will add pressure to an already stressed public hospital system.

Prime Minister, how many older Australians will be worse off under this broken promise?

Mark Butler (Hindmarsh, Australian Labor Party, Deputy Leader of the House) | Link to this | Hansard source

I thank the member for his question, which is a question I've answered before in this place since the budget. As I've said on a number of occasions publicly and in this chamber, the additional support that over-65s have received since about 2004 for their private health insurance premium is something we did revisit given the significant pressure on our aged-care system and the need to find additional funding to deal with the demand that has been the subject of some discussion in this parliament over the course of this week.

Let's be clear: the additional premium on the rebate has meant that households next to each other on exactly the same income have been receiving a different level of support for their private health insurance based solely on their age.

Milton Dick (Speaker) | Link to this | Hansard source

The minister will pause. The member for Cowper—there are consequences for actions. You've asked your question. You were heard in silence. I made sure the House heard your question. I want to hear the minister's answer as well. We showed you respect; I'm asking the minister to be showed respect. It's a two-way street.

Mark Butler (Hindmarsh, Australian Labor Party, Deputy Leader of the House) | Link to this | Hansard source

At a time when, as I said, we need to lean so heavily into the need to find additional capacity in the aged-care system, that was not a use of taxpayer funds that we felt we were able to continue.

Now, to the question that I was asked or referred by the Prime Minister, our modelling indicates that this will lead to a change of about 44,000 people in the health insurance system—or about, I think, 0.4 per cent of the health insurance membership. Set that against the fact that health insurance membership has been climbing by two per cent per year on a very consistent basis over the last several years. Health insurance will continue to grow.