Don Randall (Canning, Liberal Party) Share this | Link to this | Hansard source

My question is to the Minister for Social Services Services. Will the minister inform the House of action the government is taking to ensure a fairer and more sustainable pension system?

Mrs Bronwyn Bishop (Speaker) Share this | Link to this | Hansard source

I call the Minister for Social Services and the member for Jagajaga will desist.

Scott Morrison (Cook, Liberal Party, Minister for Social Services) Share this | Link to this | Hansard source

I thank the member for Canning for his question because he believes in a fairer, more sustainable pension. That is exactly what this government has introduced. Those in this place will no that the measures the government has introduced into this place, and with the support of the Greens will pass the other place, were based on extensive stakeholder consultation with groups like ACOSS, COTA and others. In fact, the whole structure of the arrangement we put forward was based on a model put forward by ACOSS, who also believe in a fairer and more sustainable pension.

Why it is fairer is that it increases the pension for the most vulnerable pensioners by $30 per fortnight—$30 per fortnight for 170,000 pensioners who are the most vulnerable pensioners in the system. More than 90 per cent of pensioners will not be affected by these changes or they will actually have an increase of their pension. Those who have assets of less than around $290,000 in addition to the family home will get an increase in the pension. Those who are couples who own their own home and have assets of less than $450,000 will get an increase in their pension.

Those opposite are going to vote against a pension increase for the most vulnerable pensioners in the pension system. Not only are they going to do that but also they are going to vote to give the pension to and ensure that its days with those who have $1 million in assets and the family home. In addition to that, they are going to vote against a change that will re-introduce the taper rate introduced by the Keating government. You have to ask yourself: what has become of the Labor Party and they turn their backs on the reforms of the Keating government and they turn their backs on the most vulnerable pensioners in the pension system?

If they are serious about the position they hold, they should do this. The member for McMahon or the Leader of the Opposition should commit in this place to reverse the measure which, with the support of the Greens, will pass the Senate. If they do not do that, we will know one thing. We will know that they are not prepared to come up with the $4 billion worth of safe savings that would be necessary to fund that reversal at the time of the next election. We would know another thing. We would know that once again the Leader of the Opposition has given a hollow commitment—from a hollow man, who hollowed out his own party with the sorts of things it was built on. He has left a policy vacuum, which is being filled by the Greens. The Greens have walked into a policy vacuum left open by this hollow man who sits opposite.