Dismay over plan to raise pension age
A new poll has revealed high levels of concern about any changes to the pension, with more than 70% of Australians against raising the pension age to 70.
Ian Yates, COTA Australia chief executive, has called on the federal government to acknowledge its clear pre-election promise to make no changes to the age pension.
The Essential Research poll, released last week, reveals 71% of respondents disapprove of raising the pension age to 70, with only about 10% happy to wait until they’re 70 to receive it.
About 72% believe Australians should be able to receive the age pension at 65 or younger, and 82% of those aged 55 to 64 disapprove of including the value of the family home in the assets test for eligibility for the age pension.
Seniors advocate, COTA Australia, has called on the federal government to acknowledge its clear pre-election promise to make no changes to the age pension.
Ian Yates, COTA Australia chief executive, claims Treasurer Joe Hockey continues to point first off to pensions and aged care needing to be cut because the Budget is in “crisis”.
Yet the figures the Treasurer has released don’t support this, Mr Yates alleges.
According to tables the Treasurer released last week from the Commission of Audit, Mr Yates claims there is the need for “tightening” but not major cuts to seniors living standards.
“Similarly, pensions are projected to rise at a rate of 6.2% – a modest and sustainable figure given the sizeable rise in the numbers of older Australians in future years, about which we have known for a long time – indeed the 2009 Pension Review, which had bi-partisan support, confirmed the age pension is sustainable over coming decades.
“The Treasurer’s speech focused on expenditure, but not on government revenue and we need to discuss how government pays for the things taxpayers expect it to provide,” Mr Yates says.
Critically, the figures the Treasurer released leave out the “generous” tax concessions paid on compulsory superannuation, which benefit the top income earners and are not paid to low income earners at all.
“An Australian Institute analysis, released last week, shows superannuation concessions are higher than the costs of the pension, so the question must be asked, ‘Why is the Treasurer intent on targeting those who can least afford it?'
“Australians see the age pension and provision of health and age care as core business of government, and took the government at its word at the last election.
“It’s time for a comprehensive and holistic look at retirement needs and the ageing population, not this piecemeal approach which targets some people and not others,” Mr Yates says.
