Morrison Government confirms pension on hold for first time in quarter century

The Government has admitted to the Senate COVID-19 Committee that the Pension will not be indexed until March 2021, at the earliest – the first time it hasn’t been indexed since 1997. 
 
Most other payments, including the Disability Support Pension, Carer Payment and JobSeeker Payment, will not be indexed either.
 
“This is the worst possible time to be putting the squeeze on the household budgets of seniors and the most vulnerable,” Linda Burney, Shadow Minister for Families and Social Services, said.
 
“Pensioners have been facing rising health, dental, energy and grocery bills for years. And now they are set to go a full year without payment being indexed.
 
“With interest rates at record lows, pensioners with modest savings are facing a double whammy.
 
“Average GP out-of-pocket costs alone have gone up by $11 under this government.  
 
“Cutting the pension is in the Liberal-National DNA. This Government has tried to cut the pension or increase the pension age to 70 in every single budget – and they have cut $1 billion from pensioner concessions. 
 
“When Scott Morrison was Social Services Minister, he did a deal with the Greens to cut the pension to around 370,000 people by changing the assets test. 
 
“Scott Morrison needs to explain why he is allowing pensions to stagnate in the middle of the Coronavirus crisis.”
 
LINDA BURNEY

MEDIA RELEASE - WEDNESDAY, 19 AUGUST 2020