Today people relying on poverty-level Centrelink payments will receive an insulting “increase” due to legislated indexation, a mechanism used to calculate new payment rates based on past CPI changes.
As the government celebrates its generosity for delivering on legislated requirements, the cold reality is that the maximum that will land in our bank accounts is a pittance that leaves us further behind*:
- the JobSeeker payment will change by $7.55 to $408.75 a week
- Parenting Payment will change by $9.80 to $533.15 a week
- the Disability Support Pension will change by $11.10 to $600.45 a week
- Commonwealth Rent Assistance will change by $2 to $109.70 a week for people who live alone. CRA for people in share houses will change by $1.34 to $73.14 a week.
Poor people are utterly exhausted by 4 years of Albanese government “no-one left behind” rhetoric and boasting about so-called “increases” to Centrelink payments. In reality, legislated indexation lags behind inflation and does not reflect the real increase in living costs for many people in poverty.
Over the same period, we have suffered relentless price hikes across every essential item, from housing costs to energy bills, transport to groceries. For example, energy bills increased 22 per cent in the past 2 years, while the Albanese government handed over $5 billion in subsidies to price gouging energy companies whose profits soared. In the past two years, indexation has seen the JobSeeker payment change from $385 to $409 a week – or about 6 per cent.
Indexation is not an increase.
As the flow on effect of war bleeds through the economy and the RBA continues to punish people for reasons beyond our control, action must be taken to stop companies profiteering from crisis at the community’s expense.
The Antipoverty Centre is calling on the government to:
- Increase all Centrelink payments to at least the Henderson poverty line and work with welfare recipients to understand what payment rates should be for us to live a decent life.
- Directly invest in buying and building high quality public homes, and upgrades for neglected housing stock.
- Abolish negative gearing for property investors and capital gains tax discounts.
Tax breaks for the wealthy should be dealt with at this budget, but more must be done to reverse out-of-control inequality and fund essential supports that address high living costs and benefit us all such as public healthcare, housing, education and welfare.
Antipoverty Centre spokesperson Jay Coonan said:
Time and again this prime minister has failed to rise to the occasion. What does he want to be remembered for?
People are hurting a lot right now and what we need is to have some faith restored.
We need the government to stop hiding behind powerful lobby groups and muttering about consensus, while concentrating all the power and decision making in the hands of a tiny few who choose timidity over ambition.
If the prime minister doesn’t have the courage to help people out in our time of need he will only fuel more division and resentment.
The community is crying out for bold changes that will reduce inequality and the damage done by high living costs. No more corporate subsidies, no more tightly targeted policies, no more kicking the can down the road.
The things we are asking for are not as complicated as politicians want us to believe: increase Centrelink payments to ensure we can all live a decent life, invest in public housing to bring down housing costs for everyone, and abolish the tax breaks that go to people who profit from the rest of us suffering.
Crisis support and counselling services
If you need support you can seek guidance, counselling or crisis help from the below organisations or talk to someone you trust.
- Suicide Call Back Service – general: 1300 659 467
- Roses in the Ocean – peer support: 1800 777 337
- SANE Australia – general: 1800 187 263
- 13YARN – for First Nations people: 13 92 76
- National Counselling and Referral Service – for disabled people: 1800 421 468
- Headspace – for young people: 1800 650 890
- QLife – fo LGBTQIA+ people: 1800 184 527
- Full Stop – for people who have experienced sexual harassment and assault: 1800 385 578
- Embrace Mental Health – multilingual service: embracementalhealth.org.au
- MensLine – for men: 1300 789 978
- Brother to Brother – for First Nations men: 1800 435 799
- National Debt Helpline – assistance with negotiating reductions for overdue bills and debt: 1800 007 007