May 14, 2014

“No cuts to education, no cuts to health, no change to pensions, no change to the GST and no cuts to the ABC or SBS.”


Tony Abbott has betrayed Australian pensioners in a Budget of broken promises and cruel cuts. 

Before the election, Tony Abbott promised there would be no cuts to pensions.

After the election, he has broken his promise with an unprecedented attack on Australia’s pension system, and the millions of people who rely on it.

Tony Abbott will slash the current fair indexation system – which makes sure the pension keeps pace with the cost of living – so the pensions are instead indexed by CPI.

This measure is not an accurate reflection of pensioners’ cost of living, and will mean our pensioners have to get by on less.

The Budget will also increase the pension age to 70 by 2035. Australians will have to work longer, and their pension will be significantly reduced when they finally do get to retire.

Had Tony Abbott’s new indexation system been in place for the last four years, a single pensioner on the maximum rate would be $1,560 a year worse off than they are today.

Australia’s 3.2 million pensioners – already living on a very modest pension of around $20,000 – are going to have their pensions cut. 

Tony Abbott has no mandate to make these changes. He promised no changes to pension – but this Budget includes huge cuts to pensions. Pensioners will never trust him again.

On top of this, all pensioners and state seniors card holders are set to lose valuable concessions for public transport and utilities with the abolition of the National Partnership on Certain Concessions for Pensioners Concession Card and Seniors Card Holders.  

The Pension Education Supplement and the Housing Help for Seniors Program will also be abolished.

And while Tony Abbott is cutting the pension, he is still giving millionaires $50,000 to have baby.

This is a horror Budget for Australian pensioners and seniors, from a government that cannot be trusted.


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