Mr Tony Burke (Watson, Australian Labor Party, Shadow Minister for Finance) Share this | Link to this | Hansard source

My question is to the Prime Minister and refers to his previous answer about pensions. Today in the Senate the Minister for Finance has admitted that the government is reducing government payments including payments to pensioners. Now that the Prime Minister's claims he has increased pensions have been exposed as wrong by his own Minister for Finance, who said the government is reducing payments to pensioners, will the Prime Minister explain why he believes these confirmed cuts are fair?

Tony Abbott (Warringah, Liberal Party, Prime Minister) Share this | Link to this | Hansard source

Let me repeat there are no cuts to pensions—none. There are no cuts to pensions. In March every year pensions go up; in September every year pensions go up. Every year. It is true that in 2017 the indexation rate changes. It is true that the indexation rate changes after the next election. What we are doing is applying to pensions the same indexation rate that the Labor Party applied to the family tax benefit. If the indexation rate is fair applying to the family tax benefit, then it is also fair applying to the pension. I want to make absolutely crystal clear to the pensioners of Australia that their pensions are safe with this government.