Bill Shorten (Maribyrnong, Australian Labor Party, Parliamentary Secretary for Disabilities and Children's Services) Share this | Hansard source

Madam Deputy Speaker Burke, may I congratulate you on your election. I would also like to thank the preceding speakers for their contributions—in particular, the member for Ballarat and the member for Shortland, who are tireless campaigners for pensioners and self-funded retirees, and the member for New England for his interest in young people and nursing homes. I also thank him for his kind words. I certainly look forward to working closely with him on those matters and to visiting his electorate to investigate further the places to which he referred.

The Social Security and Veterans’ Affairs Legislation Amendment (Enhanced Allowances) Bill 2008 will give much-needed financial support to about three million eligible Australians, including pensioners and self-funded retirees, who are finding it increasingly difficult to make ends meet. This bill will amend the social security law, the Veterans’ Entitlements Act 1986 and the Military Rehabilitation and Compensation Act 2004 to give increased and more timely financial support to older Australians, people with a disability, carers and veterans.

This bill will help older Australians receiving income support payments such as the age pension and veteran service pension by significantly increasing the utilities allowance. This measure will benefit over 1.7 million aged income support recipients, 250,000 Commonwealth senior health card holders, 700,000 disability support pensioners and 120,000 carer payment recipients. The annual rate of the utilities allowance will increase from $107.20 to $500, and it will be paid in quarterly instalments of $125 for singles and eligible couples combined. This equals a total annual payment of $500 for singles and $250 for each member of a couple. The allowance will be paid quarterly in line with the timing of utility bills. Paying the allowance regularly allows older Australians peace of mind and certainty that they will have the funds on hand to pay their bills.

The bill also expands the qualification criteria for the utilities allowance to cover people under pension or qualifying age and receiving a carer payment, people receiving a disability support pension—particularly pleasing to me as parliamentary secretary for disabilities—people on the invalidity service pension, a partner service pension and income support supplement, a bereavement allowance, a widow B pension and a wife pension. This equals a total annual payment of $500 for singles and $250 for each member of a couple in one of these new groups. Under these two elements, more Australians will receive more assistance to help with their utilities costs.

The bill also significantly increases the rate of seniors concession allowance which is paid to self-funded retirees from $218 to a total annual payment of $500 for each eligible individual self-funded retiree. In another change to make life easier for seniors, this higher rate will also be paid on a quarterly basis, on the same day as the utilities allowance.

Lastly, the bill provides a higher rate of telephone allowance for older Australians, carers and people with a disability, if they receive income support and have an internet connection at home. This higher rate of telephone allowance will be available for eligible veterans and their dependants who have an internet connection at home. The new rate of $132 for singles will be available to those who have a home internet connection, which is an increase from the standard rate of telephone allowance of $88 a year. This will allow older Australians, as well as their carers, and people with a disability to stay in touch with their loved ones via the internet. Affordable home access to the internet has the potential to connect them to a whole new world of communication, information and entertainment.

The member for Warringah wondered about our commitments to pensioners’ reciprocal transport concessions. The Rudd government is delivering on all of its election commitments, including the national reciprocal transport concessions for senior Australians. This would apply to all seniors who have a seniors card, enabling them to get transport concessions when they travel interstate. The Rudd government is committed to working with the states and territories to implement this commitment. In a brave new era of cooperative federalism, we are determined to succeed where the previous government failed or simply did not even try. We have put $50 million on the table, doubling the funding offer from the previous government, and we are confident of a result. In response to the member for Warringah’s second issue related to the budget: like the previous government, the current government does not discuss its budget processes.

This legislation is the latest in a long line of Labor government social security innovations, proving—if any proof is necessary—that Labor is the party which cares about all Australians, which understands that families need support and assistance. The Whitlam government was the first to commit to indexing pensions to cost of living increases and it delivered in its first six months the single mothers benefit, the first Commonwealth income support payment for single parents. Then came the Hawke and Keating governments, which introduced the family assistance package, child support payments and replaced the unemployment benefit with the Newstart job search allowance—linking for the first time social security payments with an active employment participation strategy. The Hawke and Keating governments introduced the sole parent pension and set it at the same rate as the age pension. They replaced the ancient invalid pension with the disability support pension. Then came the superannuation guarantee charge, requiring employers for the first time to make private contributions to employees’ superannuation to protect workers from poverty in retirement, with a comprehensive system bringing financial security for all not just some. I have gone through this because Labor has always been the party which truly cares for and supports Australia’s working families, its older people and its pensioners. I commend the bill to the House.

Bill read a second time.

Message from the Governor-General recommending appropriation announced.

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