News Service from House Harris

Fed:Oppn to vote against "sneaky attack" on self-funded retirees

CANBERRA, March 11 AAP - The federal opposition will vote against a government bid to tighten the income test for the seniors health card, branding it a dishonest sneak attack on self-funded retirees.

The government has a draft law before the lower house that seeks to include income received from superannuation pension streams in the income test when determining eligibility for the card.

Opposition community services spokesman Tony Abbott said the coalition would oppose the bill in both chambers of parliament.

Just under 300,000 seniors receive the health card. It is available to people of pension age who are not receiving a government benefit with taxable incomes under $50,000 in the case of singles, and $80,000 for couples.

The card gives recipients access to prescriptions for about $5, rather than the standard rate of about $31.

Card holders have access to free prescriptions after they have spent about $300 a year.

They also have access to a $514 annual seniors concession allowance, $138.50 telephone allowance and discounted public transport in some states.

"This is an extremely valuable concession which, as a result of legislation currently before the house, it is proposed to be taken away from a significant number of current holders," Mr Abbott told parliament.

"People who have ... income from superannuation only have it because they have saved and put money away during their working lives. They have paid tax on that money."

Mr Abbott said every self-funded retiree saves the community about $25,000 a year.

"By prosecuting this particular piece of legislation, what we really have from the Rudd government is a sneak attack on self-funded retirees," he said.

"These are decent, hard-working, responsible Australians who deserve a break."

Mr Abbott urged the government to release the Harmer review into pensions, which it received weeks ago.

He said it was rumoured one of the recommendations was the family home should be included in the pension assets test.

"The government, if it's to be fair dinkum with the Australian people ... it really does need to put the Harmer review on the table publicly now, rather than simply release it on budget night along with a whole lot of government decisions that will be presented as a done deal."