The Coalition is preparing to propose sweeping cuts to welfare payments for migrants in its response to Labor's Budget. Opposition Leader Angus Taylor will announce the policy in his Budget-in-Reply speech in Parliament House on Thursday night, following a crushing defeat in the Farrer by-election.
Current welfare access for non-citizens
Currently, non-citizens have access to 17 different welfare payments with various waiting periods. For example, the aged pension requires a 10-year wait, while Jobseeker, youth allowance, and the Seniors Card are accessible after four years. There is no waiting period for the National Disability Insurance Scheme (NDIS).
Proposed changes
Under the Coalition's reforms, welfare payments and future eligibility for the NDIS will be restricted to Australian citizens only. Existing access to these benefits and the NDIS will be grandfathered, meaning current recipients can continue to receive them. Humanitarian entrants, emergency assistance programs, domestic violence, and child protection services will remain exempt.
Taylor stated: "The welfare system, the NDIS, and taxpayer-funded support should be there first and foremost for Australian citizens." He added, "Australians who work hard and pay taxes expect fairness, not a system which allows newly arrived residents to access benefits ahead of citizens who have contributed for years."
Political context
The Coalition's policy is clearly aimed at winning back voters from One Nation, which secured the once-safe Liberal Party seat of Farrer in a by-election on Saturday. In his speech, Taylor will say: "Our social safety net should support the people who have built and contributed to this country. While Labor puts Australians second, the Coalition puts Australians first and will remove handouts for non-citizens."
However, to form government, the Liberals will need to win over city-based voters, where there is a significant number of migrants and diverse Australians. Thus, the policy carries electoral risks in terms of how it will be received in the electorate.
