News Service from House Harris

FED: Pensioners and families to get a helping hand

CANBERRA, Nov 24 AAP - Millions of pensioners and families will get a helping hand next month after federal parliament passed the government's10.4 billion economic stimulus package.

The government said the package would shield Australians from the impact ofthe global financial crisis.

"We face the most significant financial crisis since the 1930s," governmentfrontbencher Nick Sherry told the Senate late on Monday.

"The economic security strategy and the measures in these bills show this government's determination to strengthen the Australian economy and support Australian pensioners and families through the global financial crisis."

Under the package, eligible single pensioners will receive one-off paymentsof1,400 and couples $2,100. Carers will get $1,000 for each person in their care.

Almost4 billion will go to families through a $1,000 payment for each child eligible for family tax benefit Part A.

The payments are expected to be made in December.

The package also provides for1.5 billion over two years to boost grants to first home buyers.

Opposition frontbencher Nigel Scullion said the coalition would support thepackage but criticised the government for not researching its macro-economic impact.

"What research do you have that suggests that10.4 billion is the right size: is that too much, is it too little?

"How can we in the coalition, and Australians more generally, be confident that this10.4 billion spend will, in fact, have the desired effect?

"How can we be confident that this is what is needed exactly at this point in time?"

The Australian Greens failed in a bid to attach an amendment to the legislation calling on the government to introduce a new top marginal tax rate of 50 per cent for earnings over one million dollars.