Coalition tries to boost single pension

Federal Opposition Leader Brendan Nelson says he will introduce a bill to parliament next week for an immediate $30 a week rise in the single aged pension.
The decision by the coalition reverses its previous policy position and comes after
several high profile politicians, including Prime Minister Kevin Rudd, admitted they
could not live on the current pension of $273 a week.
Speaking to a Queensland Media Club luncheon in Brisbane, Dr Nelson said he too
could not live on the pension, unless he was a student "on the bare bones of his
backside".
But there were 866,000 Australians living on the single aged pension and they needed
help, he said.
"Next week I will introduce to the parliament a bill that will seek to increase the
single aged pension by $30 a week, to take it from $273 a week to over $300 a week,"
Dr Nelson said.
He said Mr Rudd's decision to wait for a review report due in February ignored the
need for immediate action.
"What is morally right and economically responsible is to increase the single aged
pension and increase it now by $30 a week and give dignity and the capacity to live
for Australia's single aged pensioners," Dr Nelson said.
"That is our very strong view and that will be our policy as we go forward to the
next election."
Dr Nelson said opposition policies regarding rises to other federally-funded
pensions would be rolled out over the next two years.
"We will develop a comprehensive policy in relation to all kinds of pensions and
benefits that are paid to people that are in need of them," he said.
The bill next week would apply specifically to single aged pensioners, taking their
benefit to $303.
"This is the minimum in my view that is required at the moment," he said.
"Obviously, as the opposition, we cannot appropriate money but we can certainly
introduce legislation and give the government the opportunity to support it.
"I've got to say that Mr Rudd needs to understand that there is a human face to this.
"A lot of issues in government do require careful thought and methodical examination
but this is one that demands an immediate response and you don't need to have a
committee of people who will spend six months telling them what ought to be done."
The recurrent cost of the pension increase would be "in the order of" $1.35 billion,
Dr Nelson said.
But the government currently had a surplus of around $21.7 billion and had forecast
a surplus of $79.6 billion to be spent on bailing out states with increased debt.
"We think it is a case of Mr Rudd reordering his priorities," he said.
"If we as a nation are not able or willing to provide to our pensioners in our aged
single pension of $273 a week a small part of the affluence our nation enjoys, then
Mr Rudd should hang his head in shame."
Community Services Minister Jenny Macklin says the federal opposition is playing
politics with the proposed legislation.
Ms Macklin said the coalition had the chance to increase the base rate of pensions
when it was in government but chose not to do that.
"They had 12 years to increase the base rate of pensions when they had the power to
act but they didn't and now they are just playing politics," she said.
"(Opposition Leader) Brendan Nelson seems to be forgetting married pensioners,
carers, people on disability support pensions and veterans on veterans' pensions."
She said the Rudd government wanted to get pensions right.
It was a complex issue, and the government was expecting a report on the matter in
February, she said.
The government had paid an increase in the utilities allowance and handed a $500
bonus to pensioners, she said.
"We will get this right - we know the adequacy of the pension is a critical issue
that we have to address and we will do so."
Ms Macklin said there would be an increase in the pension on September 20 as a
result of indexation and the fortnightly rate would increase by $15.30.