Media Release – Estimates: Pensioners and Families facing the Labor axe

PENSIONERS AND FAMILIES FACING THE LABOR AXE

The Rudd Government is refusing to rule out slashing the entitlements of older Australians and families.

Under questioning in Senate Estimates today Senator Nick Sherry, representing the Minister for Finance & Deregulation, Lindsay Tanner, repeatedly refused to rule out that the Department of Finance & Deregulation was examining tightening the income and assets tests for pensions.

Senator FIFIELD: (Can you confirm) Whether the minister at the table or the department are aware of any work being undertaken by the minister or by the department itself on options which might involve significant cuts to income support arrangements for pensioners?

Senator SHERRY: We are not able to confirm or deny.

………

Senator FIFIELD:…I imagine in the usual course of events, minister, if there was not work being undertaken which would involve a reduction in income support to pensioners you would be only too pleased and would quickly say, ‘Absolutely not.’

Senator SHERRY: We have already given a considered answer.

Senator FIFIELD: So you are not ruling out that that work is taking place?

Senator SHERRY: We have given a considered answer.

(Senate Standing Committee on Finance and Public Administration, Additional Estimates, Tuesday 19 February 2008)

Senator Sherry went on to refuse to rule out other savings measures including:

– Reducing eligibility for the Commonwealth Seniors Health Card
– Tightening eligibility for the Utilities Allowance
– Adjusting the income test for the Baby Bonus

He also refused to rule out that the Strategic Budget Committee of Cabinet had agreed to examine these measures at its meeting of 17 December 2007.


“Labor spent all of 2007 drawing attention to the cost of living pressures facing Australians, particularly older Australians and families,” Senator Fifield said.

“Yet Labor are now refusing to rule out slashing the entitlements of thousands of Australian pensioners.

“Any government that was not considering such cuts would not hesitate to immediately rule them out. I gave Senator Sherry no less than six opportunities to rule out these cuts. He refused to do so. There is only one conclusion we can draw from that.

“Pensioners and families are already suffering from Labor’s inability to deliver on its promises of lower petrol and grocery prices. The last thing they need are cuts like those that Labor are contemplating.

“I call on Mr Tanner to announce that he is immediately ceasing work on these measures so that pensioners and families can have certainty that their entitlements are not under Labor attack.”