Kay Patterson (Victoria, Liberal Party) Share this | Link to this | Hansard source

My question is to Senator Santoro, the Minister for Ageing. Will the minister please advise the Senate what measures the Australian Howard government is introducing to improve the economic wellbeing of Australian families?

Santo Santoro (Queensland, Liberal Party, Minister for Ageing) Share this | Link to this | Hansard source

I thank Senator Patterson for her question and, in doing so, acknowledge her great contribution to the improvement of the welfare of millions of Australians in her previous capacity as the minister responsible for the department on behalf of whom I am speaking at the moment. Australian families will benefit from budget measures which will come into effect between now and 1 July. These measures are a result of the Howard government’s success in eliminating $96 billion in net debt that the Labor Party left behind when thrown out of office in 1996. The budget is in surplus for the ninth time in 10 years, forecast to be $10.8 billion in 2006-07.

Helping families is one of the highest priorities of the Howard government. A number of these measures will come into effect between now and the beginning of the 2006-07 financial year—1 July. From 1 July the family tax benefit part A income threshold will increase from $33,361 to $40,000. Since 1996 this government has doubled assistance to families through the family tax benefit system. Maximum payments per child have risen from around $2,400 to $4,200 a year. This will provide additional assistance to Australian families at a cost of $993 million over four years. The government will expand eligibility for the large family supplement to include families with three children, with effect from 1 July this year. Additional assistance will also be provided to nearly 350,000 Australian families with the payment of an extra $248 a year.

We are also deeply committed to assisting older Australians. We will be providing an additional one-off payment through a utilities allowance to age pensioners, or a seniors concession allowance to certain self-funded retirees who do not get pensioner concessions, of $102.80 to each pensioner household and each self-funded retiree to be paid between 21 and 30 June. We are also recognising the important role of carers in the Australian community through an extra $600 for those receiving carers allowance and an extra $1,000 for those receiving carer payments, to be paid this month. It is estimated that around 370,000 people will receive this additional payment. It will not affect carers’ social security entitlements and the bonuses are tax free.

Families are entitled to share in the benefit of strong economic growth and good economic management. Undisciplined spending, economic uncertainty and policy backflips—all the hallmarks of the ALP, of course—would endanger this position and jeopardise the gains made by families. These measures are positive proof of the Howard government’s commitment to Australian families.