Budget surplus is an insult to people in poverty

The Antipoverty Centre is disgusted but not surprised that the government has chosen a budget surplus while repeatedly refusing to increase JobSeeker and other deeply inadequate Centrelink payments, rejecting all evidence of our desperate need.

There is no such thing as a “responsible budget” that leaves people in poverty.

The fastest and most effective thing the government can do to support low income people right now, to prevent and reduce homelessness, to address the mental health crisis, to support people who need to leave violent homes, is ensure that every person who needs income support has access to a Centrelink payment above the poverty line.

Community-led groups will hold a press conference in the Parliament House senate courtyard at 11am on Wednesday 15 May to assess the government’s performance against our scorecard and provide our response to the budget.

Quotes attributable to Antipoverty Centre spokesperson and Disability Support Pension recipient Kristin O’Connell:

This morning the prime minister has been in the media gloating about a $9.6 billion dollar surplus while people can’t afford food, rent and other essentials.

His empty words about “tough choices” mean nothing to those of us whose tough choices mean choosing between eating and healthcare, and the endless other judgements we make each day about what to sacrifice.

This is a morally bankrupt government, more obsessed with numbers on a spreadsheet than caring for those of us who are least able to weather the devastating cost of living crisis.

People in poverty are not the ones fuelling inflation, and helping us would not hurt the economy.

The treasurer has already signalled he will be announcing inadequate and flawed measures such as energy payments and Commonwealth Rent Assistance that are ostensibly to help welfare recipients but in reality achieve little more than giving the government an unearned veneer of humanity.

We and other community-led organisations have been clear about what we will assess Chalmers’ performance on tonight, and a surplus without meaningful support for people in poverty will give them a failing grade.

Media contact: email media at antipovertycentre.org or call/message 0413 261 362 via Signal

Budget scorecard

Yesterday the Antipoverty Centre joined the Anti-Poverty Network South Australia, Anti-Poverty Network Qld, Australian Unemployed Workers’ Union, Better Renting, Black People’s Union, National Network of Incarcerated & Formerly Incarcerated Women & Girls, National Union of Students, Renters & Housing Union, Sisters Inside, Sweltering Cities and Tomorrow Movement to issue a budget scorecard to measure the government’s performance on Tuesday night.

Key statistics

• The number of people on unemployment payments has steadily increased since September 2023, pushing more and more people on to a poverty payment. One in 5 people are employed but still receive a partial payment because their wages are so low.
• The Henderson the poverty line for a single person with no children is currently $597 per week.
• The JobSeeker payment is currently $381 per week for a single person with no children, which is $216 below the poverty line. Youth Allowance is $320 per week.
• Disabled people 50% higher adult-equivalent disposable income to meet the same standard of living as those without a disability.
• There are more than 900,000 people on payments with compulsory “mutual” obligations (42.9% have a disability or chronic health condition. In Workforce Australia, 14.5% are Aboriginal and/or Torres Strait Islander and 16.9% are parents).
• 2,471,455 payment suspension notices were issued in the 12 months to December 2023. 429,865 of the 1,628,330 (26.4%) total payment suspensions applied were imposed on First Nations people. 12.6% of total payment suspensions applied were imposed on parents with children in their care.
• 2.6 million people who rely on a Centrelink payment do not own their home.
• An estimated 58% of the total payments made to Commonwealth Rent Assistance recipients who are on JobSeeker this year will be spent on rent ($3.6 billion in rent from an estimated $6.1 billion in payments). $16.4 billion a year in welfare payments is paid to landlords each year just from Centrelink recipients who receive CRA.