October 26, 2015

Malcolm Turnbull’s cuts to Family Tax Benefits are in some cases even harsher than Tony Abbott’s cuts. They even fail Mr Turnbull’s own fairness test.

Single parent families and grandparent carers in particular will be hit hard – losing their Family Tax Benefit Supplements and having their Family Tax Benefit Part B slashed.

Around 130,000 single parent families and 3,900 grandparent carers will be worse off.

Yet on Friday when Mr Turnbull was asked about his cuts to family payments, he said:

“Fairer is what is it all about. Fairness has got to be the key priority.”


On Mr Turnbull’s own criteria his proposed changes to Family Tax Benefits have failed the fairness test.

A single parent with two teenage children will lose up to $4700 or $97 a week if they earn $65,000 when the impact of the cuts to family payments and the SchoolKids Bonus are combined.

This single parent family will lose:

  • $1,806 in FTB-A and B end of year supplements;

  • $1,712 as a result of the abolition of the SchoolKids Bonus;

  • $1,785 in FTB-B (as their base payment is reduced to $1,000 per year).

They gain just $525 from the fortnightly increase to FTB-A. This means the family ends up a total of $4,700 a year worse off.

In true Liberal Party form, low income families will be hit the hardest by these cuts, but the pain from these cuts goes further than that:

  • 1.5 million families will lose their FTB-A supplements, a $726 a year cut for every child.

  • 1.3 million families will lose their FTB-B supplement, a $354 cut per family.


Today we see Scott Morrison signalling a partial retreat - just days after announcing the new policy. What a complete shambles.

This follows relentless questioning by Labor in Parliament this week which exposed the unfairness of the Turnbull Government’s cuts to grandparent carers and single parent families.

This week, Malcolm Turnbull took full ownership of the Liberal's cuts.

The last thing Labor wants is to see is Australian families ripped off by Malcolm Turnbull.  

Labor will continue to stand up for vulnerable families to ensure they aren’t hurt by Malcolm Turnbull’s cuts. 


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