Money lost in savings measure
1.5 million Australians will see a reduction in Family Tax Benefit (FTB) supplements after changes proposed this week.
The Federal Government has conceded that some families will lose money, but argues that its planned welfare changes will make it easier for 1 million children to receive child care.
“The supplements are scaled down for all the people in the system, then there is a $20 increase (per week for FTA-A recipients) and those two interact,” Social Services Minister Christian Porter told reporters.
He was quick to mention that 1 million children and their families should benefit from the changes to child care, but could not say how many would take advantage.
“This is once-in-a-generation reform to child care that Australian families are absolutely screaming out for.”
As part of its big omnibus bill, the Federal Government is seeking to increase payments for those receiving Family Tax Benefit payments by $20 a week, but will relinquish annual supplements, starting next year.
The Government is seeking to pass $4 billion worth of sweeteners over the next four years, in exchange for $8 billion worth of cuts and savings.
The Federal Opposition is planning to vote against the omnibus bill.
Labor says families on FTB-A would be $200 a year per child worse off, while those on FTB-B would be $350 a year worse off.
The changes are explained in detail here.