Federal Government moves to abolish cashless indue card

Hinkler MP Keith Pitt says a new report released by the Australian National Audit Office does not recommend the Cashless Debit Card be abolished, despite the Albanese Government confirming it will be scrapped once a way is found to transition people off the card.

After months of community protest against the Cashless Debit Card, the Federal Government has confirmed it will be scrapped.

Hinkler residents across Bundaberg and the Fraser Coast have campaigned against the controversial welfare card, which was introduced in the Hinkler electorate at the start of 2019, following trials in several other communities.

Statistics released in 2019 also showed the youth unemployment rate dropped since the card was introduced to Bundaberg and Hervey Bay.

Last week, the Australian National Audit Office released a damning report into the trial of the indue card, saying the Department of Social Services has not demonstrated that the program was meeting objectives of “supporting recipients to better manage their finances and encourage socially responsive behaviour”.

Now, Social Services Minister Amanda Rishworth said abolishing the welfare card was one of her first decisions after being sworn in.

“One of the first briefings I received as Minister was on the Cashless Debit Card, and one of my first decisions was to instruct my Department to prepare for its termination,” she said.

“This was a clear commitment Labor took to the election. I will be delivering on our commitment.”

Hinkler MP Keith Pitt hit back at claims the report recommended that CDC trial should be abolished.

“Nowhere in the ANAO report does it recommend that the Cashless Debit Card trial should be ended,” Mr Pitt said.

“A lack of data-sharing by the Queensland State Labor Government has made it more difficult to assess the trial in Hinkler.

“People have told me they have seen the positive impact the Cashless Debit Card has had in Hinkler – children are going to school with lunch and they are being provided with the essentials of life – and the overwhelming majority of the community want the card to stay.

Hinkler MP Keith Pitt speaking in Parliament. PHOTO: Gary Ramage INSET: Cashless Debit Card

“The Labor Government has still not offered an alternative to the Cashless Debit Card to help with what are often very complex issues. Once again, it’s the people of Sydney and Melbourne telling regional Queenslanders what to do.”

If the card was scrapped by the Federal Government, welfare recipients won’t see the card terminated until community consultation is held to discuss new ways to support the transition.

“While we’re moving as quickly as possible to abolish the card, I will firstly talk to the affected communities about what local solutions need to be in place to support them to transition away from the card,” Ms Rishworth said.

Mr Pitt told the Newmail last month there would still be hoops to jump through to have it scrapped altogether.

“It is a legislative position that the trial will come to an end at the end of this year,” he said.

“To change that would require the new Labor Government to put in new legislation into the Parliament, both through the House of Representatives and the Senate.

Anthony Albanese pictured with Minister for Social Services, Amanda Rishworth, who says scrapping the Cashless Debit Card was one of her first priorities as Minister. Picture: Sam Ruttyn

“I think the results of the election are as clear as they were in 2019. It is strongly supported by the community, it makes a difference and that’s why, within Government, the coalition delivered.”

The Minister for Social Services didn’t agree with Mr Pitt’s claims that it was supported by the community.

“The Cashless Debit Card was a Liberal Party ideological obsession,” she said.

“They thought it up and forced it on communities. There’s no evidence that it works – just ask the National Audit Office. It cost taxpayers more than $170 million. There was no KPIs, and no ongoing evaluation. That’s bad policy.

“The evaluations that were undertaken made clear that the majority of current participants want to opt out of the card, with many of them experiencing feelings of discrimination, embarrassment, shame and unfairness.”