Stuart Robert (Fadden, Liberal Party, Assistant Minister for Defence) Share this | Hansard source

The government has provided $12.3 billion for veterans in the 2014-15 budget, supporting around 310,000 veterans and dependants. It includes $6.7 billion for income support and compensation pensions and $5.5 billion for health services. Recognising the unique nature of military service, the 2014-15 budget provides funding to deliver the government's election commitment to index DFRB and DFRDB military superannuation pensions by movements in the better of the CPI, the male total average weekly earnings and the pension and beneficiary living cost index from 1 July for superannuants aged 55 or over.

Secondly, it restores funding to the Building Excellence in Support and Training program, providing an extra million dollars per year over the forward estimates. This funding was inexplicably cut by the former Labor government, and has been restored by this government. The $7.00 GP co-payment will not be applicable to Veterans' Affairs gold card and white card clients for those conditions covered. Fourthly, veterans eligible to access Veterans' Pharmaceutical Reimbursement Scheme will be reimbursed for out-of-pocket pharmaceutical expenses arising from the one-off increase in the concessional pharmaceutical co-payment of 80 cents, and increase to the safety net thereafter.

The budget is certainly part of our economic action plan to build a strong, prosperous economy and a safe, secure future. Other measures include amendments to the backdating of the disability pension claim for the disability pension to paid on the date the claim is lodged for claims received on or after 1 January 2015, and backdating provisions for veterans' entitlements, like war widows. There will be an increase in the number of enhanced compliance program reviews per year from 12,000 to 20,000; these additional reviews are aimed at ensuring clients are receiving the level of income support they are entitled to, and will focus on clients who are at high risk of change to their circumstances.

DVA clients who have been in continuous receipt of incapacity payments for 12 months or more under the Safety, Rehabilitation and Compensation Act or the MRC of 2004, will undergo a specialist review to confirm whether their service related condition continues to impact their ability to work. Over a 2½-year period, around 500 clients with a single condition will be reviewed. And $6.9 million will be allocated towards a detailed business case and design for an interpretive centre in France, to ensure the sacrifice of Australians on the Western Front during the First World War is appropriately recognised. The health provider free indexation budget initiative between DVA and the Department of Health will align indexation arrangements between Medicare and DVA arrangements, and these measures will not change the current healthcare entitlements for gold and white card holders.

The Defence Service Homes Insurance scheme independent scoping study will consider options for the future management and options to the scheme, including advice from industry experts. In addition, other measures include the Repatriation Pharmaceutical Benefits Scheme, which will include new and amended listings, and updates to the Medicare benefits scheme will flow through to DVA automatically. There will be annual indexation of the income threshold for Commonwealth Seniors Health Card by the CPI that will occur from 20 September 2014; and from 1 July the Clean Energy Supplement will be known as the Energy Supplement, and the payment will no longer be indexed as, frankly, the carbon tax will be removed and will no longer contribute to price pressures.

Consistent with the government's pre-election commitment—and contrary, can I say, to the untruths peddled by the Labor opposition—no pensions will be cut in the budget. It is a very strong message, it is a very clear message: no pensions will be cut by the budget. From 17 July pensions will be indexed by CPI and will be continue to be indexed twice every year, March and September. It is worth recognising that the increase in pensions paid in March this year was an increase due to CPI. Further changes that were legislated to DFRDB and DFRDB military superannuants will continue beyond 2017 and will be unaffected by any other changes made to government pension payments. At the last election the government had a clearly defined policy agenda for veterans and their families. We will be implementing our commitments and we will be keeping faith with our veterans.

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