Jason Falinski (Mackellar, Liberal Party) Share this | Hansard source

Whilst issues relating to cycles of violence, drug and alcohol abuse are complex, it is through sustained attention and carefully thought through improvements to social security that, together, we can take steps to resolve problems that can often span generations.

This bill allows for the extension of the cashless debit card across all four current trial sites until June 2021. We will continue to carefully examine the results of this program by building a larger body of evidence and monitoring outcomes. The ultimate success of this bill can be measured in its proven capacity to put the futures of individual Australians back in their own hands.

The reduction in unemployment in all cashless debit card sites goes to the heart of what this bill is about. An exemplar case is the sharp decline in youth unemployment from 27.6 per cent in June 2018 to 18.4 per cent in June 2019. A drop of nearly 10 per cent over a single year is an outstanding accomplishment for the Wide Bay region and goes to show that this government puts the youth of this country, who are our future, front and centre. We owe it to them and to the continuing prosperity of Australia to see that this bill's demonstrable success continues.

An independent evaluation of the cashless debit card in 2017 found that, of those surveyed, 41 per cent had consumed alcohol less frequently, 48 per cent had reduced their use of illicit drugs and 48 per cent had gambled less. Working towards long-term solutions to systemic issues related to the misuse of drugs and alcohol is critical to the continuing vibrancy of Australian communities everywhere. There is no greater endorsement for this bill than when healthier lives lead to healthier communities. The critical first step in the endeavour is helping to combat drug and alcohol abuse. As long as one Australian lives trapped by addiction, cycles of violence and alcohol abuse, we are all affected. The significance of these results cannot be understated, nor can this government's commitment to partner with those communities most affected.

This bill fundamentally improves our welfare system by empowering individuals. Currently participants in many of this nation's most vulnerable communities are restricted by the BasicsCard, which only works in a select number of stores that have signed the merchant agreements with the Department of Human Services. Whilst this card has been effective to date, the cashless debit card goes the next step by increasing beneficiaries' access to different stores. By putting greater freedom and responsibility into the hands of users, we have seen a clear improvement in outcomes. This is the result of streamlining the process and reducing bureaucratic involvement, which dictates what stores beneficiaries can and cannot use.

This program improves user experience and increases outcomes for communities. The decision to expand this program is a practical measure based on support from communities and the exceptional results so far. The cashless debit card continues to maintain important safeguards related to the purchase of alcohol, gambling products, cash withdrawals and a number of gift cards. This ensures the funds are used in ways which go to the beneficiaries' needs and help make a positive contribution to the local economy.

The transition to a cashless debit card is as much about improving the outcomes of a strong welfare system as it is about empowering individuals to create their own future free of government-imposed red tape. We do not believe in a one-size-fits-all approach when it comes to helping people get back on their feet after tragedy or misfortune. If we can have a system that puts the power of choice back into the hands of people we are trying to assist, it will lead to better outcomes for all involved.

Doing nothing is not an option when a clearly viable alternative that improves outcomes for both individuals and local communities is readily available. That being said, despite the success of the program to date, the government will continue to build a body of evidence related to the program, with any transitions being both gradual and well supported. This is critical to ensuring that the focus remains on those who need it most and that no-one is left behind. The success of this country is built on mateship. We will continue to work closely with participants to ensure their needs are met. The gradual transition is scheduled to occur over a nine-month period as of 1 April 2020. The rollout will precede community—

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