PBO CONFIRMS $23 BILLION CUT TO AGE PENSION, $40 BILLION CUT TO FAMILY PAYMENTS

August 22, 2014


The Parliamentary Budget Office (PBO) has confirmed the true extent of the Abbott Government’s massive cuts to the Age Pension, Family Payments, Disability Support Pension and Carers.

The PBO report, Projections of Government spending over the medium term, shows massive cuts over the next ten years to 2024-25 including:

  • $23B CUT TO THE AGE PENSION;
  • $40B CUT TO FAMILY PAYMENTS;
  • $8B HIT TO THE DISABILITY SUPPORT PENSION;
  • $3B HIT TO CARER SUPPORT

The report shows that real growth in expenditure on the Age Pension will be cut from 4.5 per cent annually to 2.8 per cent.

By contrast Government spending on Tony Abbott’s gold-plated paid parental leave scheme is projected to grow in real terms by 12 per cent annually.

This report shows in stark detail Tony Abbott’s twisted priorities.

He is cutting the Age Pension by $23 billion and at the same time introducing a non-means tested $22 billion paid parental leave scheme that will grow in spending by 12 per cent annually.

The report also shows how ludicrous Joe Hockey’s claim last week that pensioners would somehow be better off as a result of the Abbott Government’s cruel Budget:

“It is strongly arguable that pensioners are going to be better off…”

 JOE HOCKEY, ABC LOCAL RADIO BRISBANE, 13 AUGUST 2014

No matter how much the Prime Minister tries to spin it, his Budget is still unfair and it hurts vulnerable Australians the most.

Tony Abbott must finally admit the full impact of his Budget cuts on the Australian people – and admit that he lied to Australians before the election.

If he can’t be fair, he should at least be honest.

The Abbott Government has launched an unprecedented attack on Australian pensioners, families and carers - and Labor will fight these massive cuts every step of the way.