Karen Andrews (McPherson, Liberal Party, Assistant Minister for Vocational Education and Skills) Share this | Hansard source

I rise to speak on the Social Services Legislation Amendment (Cashless Debit Card) Bill 2017. The bill that is currently before the House provides the underpinning legislative authority to enable the expansion of the cashless debit card into new regions. The government is committed to addressing the serious harm that's caused by alcohol, gambling and drug abuse paid for by welfare payments. The cashless debit card aims to reduce the devastating effects of welfare-fuelled alcohol, drug and gambling abuse. The card operates like an ordinary debit card, but the primary difference is that it doesn't work at liquor stores; it doesn't work at gambling houses; and cash cannot be withdrawn from it. Welfare payments are placed into an individual's account, which is only accessible with the card.

The card has been in operation since March 2016, when the first of two 12-month trials began. The first of those trials was in Ceduna, in South Australia, and the second trial took place in two locations, at Kununurra and Wyndham, in Western Australia. It began soon after that. In each of those trials, 80 per cent of an individual's welfare payments is placed into their cashless debit card account, and the remaining 20 per cent is placed into their ordinary savings account.

The results of the trials are encouraging. It's reported that there is less public drunkenness, less poker machine gambling, fewer alcohol related hospital admissions, and people are engaging with the support services and working to improve their lives. Many communities have expressed interest in having the card introduced into their region. The cashless debit card is a world-first in how it operates. The trials have been completed and they have been shown to work. There is now an opportunity to expand the card's operation. I commend the bill to the House.

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