Discover how Peter Dutton's latest Centrelink proposal could affect your benefits!

Navigating the complexities of Centrelink can be a challenge for many Australians, especially our senior community members who rely on welfare for their livelihood.

It's crucial to stay informed about any changes that could impact your benefits. Recently, Peter Dutton, the leader of the opposition, has made headlines with his pledge to reintroduce a controversial measure that could significantly alter the way welfare is managed for recipients in Indigenous communities.

This proposal has sparked widespread debate, with supporters arguing it promotes responsible spending, while critics raise concerns about its potential to condemn vulnerable groups. As discussions continue, understanding the implications of such policies becomes increasingly crucial for all affected individuals.


The cashless welfare card, a system initially rolled out in 2016, is designed to restrict how welfare payments can be spent.

The card aims to prevent money from being used on alcohol, gambling, and tobacco by quarantining up to 80 per cent of welfare payments.


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Peter Dutton's proposal reintroduced the cashless debit card for welfare recipients in Indigenous communities. Credit: Depositphotos


Only the remaining 20 per cent is deposited into recipients' bank accounts, ensuring the bulk of the funds are spent on essentials like groceries.

During its trial between 2019 and 2021 in the Bundaberg and Hervey Bay region, the card reportedly blocked over $400,000 from spending on prohibited items.

Proponents of the card argue that it helps to reduce substance abuse and associated social issues within vulnerable communities.


However, the card has been a subject of intense debate. Critics, including the current Labor government, argue that it infringes on personal autonomy and has failed to achieve its goals.

Social Services Minister Amanda Rishworth pointed out that the card's restrictions adversely affected many people's lives.

‘So many people's lives were adversely affected because they couldn't access enough cash...to be able to live their life,’ she claimed.

The Labor government, led by Prime Minister Anthony Albanese, scrapped the welfare card shortly after coming into power in 2022.

The move was supported by findings from the Parliamentary Budget Office, which projected a saving of almost $290 million over four years by discontinuing the card.


Despite the opposition from the government, Peter Dutton is steadfast in his commitment to reintroduce the cashless debit card, particularly in Indigenous communities.

He believed that, with proper consultation, the card can ensure that children receive the support they deserve from their parents.

Dutton has also promised to hold a Royal Commission into sexual abuse in Indigenous communities and to conduct a full audit of spending on Indigenous programs to address inefficiencies.

‘There are communities where safety, housing, health, education and employment are critical issues,’ he said.

‘That's where our efforts must be targeted.’


As the federal election looms, with a date yet to be set but required by 17 May at the latest, Dutton and Albanese are hitting the campaign trail with their respective promises and policy proposals.

For our members who are Centrelink recipients, it's essential to understand how these potential changes could affect you.

While the cashless welfare card is unavailable, its reintroduction could significantly shift how you receive and spend your benefits.

It's a reminder of the importance of staying engaged with political developments and advocating for policies that respect the dignity and autonomy of all individuals, regardless of their financial situation.
Key Takeaways

  • Peter Dutton has proposed the reintroduction of the cashless debit card for welfare recipients in Indigenous communities to prevent spending on alcohol and gambling.
  • The card quarantines 80 per cent of a recipient's income and blocked over $400,000 on prohibited items during a Bundaberg and Hervey Bay trial from 2019 to 2021.
  • The current government led by Anthony Albanese scrapped the welfare card shortly after coming to power in 2022, with Social Services Minister Amanda Rishworth stating it was 'time to give people their autonomy back'.
  • Dutton's plans are part of his campaign promises as he and Prime Minister Anthony Albanese are on the election trail, with an election to be held no later than 17 May.
Have you or someone you know been affected by the cashless welfare system? What are your concerns or opinions on the proposed reintroduction of the card? Your insights are valuable. Feel free to share them in the comments below.
 

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To the best of my knowledge Indigenous people get higher pensions than other people.
In some country towns including Far North SA ALL people are only allowed to buy one bottle / can of alcohol a day. Considering there is more than outlet in some of those towns I don't know how they control it.
Indigenous Pupils also get higher study allowances too. They get what is known as Abstudy.
 
Thank you I am really looking forward to seeing my grandchildren.
You are right about our sons, completely the same scenario. About six months ago I received an SMS from him so vile, calling me for everything under the sun, also sent one to his brother. His younger brother was always there for him. He was always the one at the prison gate when he was released, giving him money, clothes, etc whatever he needed to get back on his feet again , within a few weeks he would shit on him again. His friend rang me a few weeks ago and told me he was in prison and he wanted me to have his dog for 24 months.
I said no, I've had enough, apart from the fact I have two dogs of my own I couldn't believe his cheek after the message he sent me.. A few days later the social worker from the prison rang saying he wanted to have me added to his call list and could I put some money in his prison account. Again I said no. I feel bad about it but I just can't take any more
It is not that long since my husband passed and now my poor daughter has to have another massive operation, which requires her to spend two hours a day for four weeks before the operation and then again another two weeks after in a hyperbaric chamber to oxygenate her blood to hopefully help with the healing. Healing is a big problem after you've had to have radiation. She had a very large dose 16 years ago after her first cancer operation.
She's such a trooper. We live 3 hours from the hospital. six hours travel every day. If we stay in Perth and I get a pet sitter they want $100/day, boarding kennels even dearer and my son thinks I have time to worry about an abusive 51 year old drug addicts self inflicted problems.
Sorry about my rant, things will work out somehow, they always do.
I shall enjoy my two weeks with my son and family and my daughter is looking forward to her carer spending the two weeks with her. She's been her carer for over 20 years, and my daughter tells me every day she loves me and always adds that she loves Bec too. 🤎 Thank God for Bec.
You rant away, it's good for the soul to get it out 💗
 
I was stunned & utterly disappointed to see SDC play politics. We are all aware that SDC needs the income but to choose sides like this is improper indeed. Australians including seniors are quite capable of deciding for themselves who to vote for at the polls. This outburst frgoerom SDC clearly shows whose side they are on and obviously for the income, seeing as many cannot afford to pay for the SDC app which itself is very pricey as we all know that living costs have gone up dramatically since this current federal government came in.
 
Certainly not for any cashless card for everyone howver this policy for certain recipients of some pensions has been in America for 50 years that I know of.
They can't spend iton cigs, alcohol and similar products.It must be on food and it is a success.
Trouble is a massive blackmarket started where some gangsters swapped pension credits for well under value cash so they could use the cash for their habits.
It definitely should be redone in communities that it is obvious it is needed but goodytwoshoes will stop that wont they ?
 
This was tested in areas where high gambling was.

They are not saying its for everyone, they are saying certain areas. And I'm all for it, why should a person receive a government payment only to go and waste most of it on alcohol and gambling.

A friend of mine lives in an area with a high population of indigenous people and told me how come pension day the pubs would be full and so are the parks. Their money is then spent quickly on alcohol leaving no money for food or bills.

The crime rate is very high. Its a common thing to catch a trying to break in or trying to steal sonethibg from your property
I spent a few days visiting her and saw for myself. She grew up in Bowraville NSW next to Macksville, and moved back to look after her parents and after they passed away decided to stay.

This problem isn't just with those receiving a pension but also those receiving any government payment.

Then when they have wasted their payment on alcohol and gambling there is nothing left to feed their kids.

I'm not saying its only a problem with indigenous people ,it's a problem across the board . But with indigenous its a community problem not just an individual

Pensions and payments are there to help you survive and pay rent abd purchase food not to be used on gambling abd alcohol
you usually talk sense but this infuriates me. Take a good look at the parks, in doorways, in bus shelters etc and actually see what colour skin the people have. Aboriginals cop it all the time. I AM WHITE but know what I'm talking about as I took in recovering drug addicts and alcoholics for 7 (seven) YEARS. Centrelink told me I'd helped over 270 people in that time WITHOUT THE HELP OF ANYONE. my pension and delivering junk mail fed "my people". I know a hell of a lot of Aboriginals personally but copped DV from drunken "Aussie Heros" SOLDIER HUSBANDS. I NEVER got that sort of treatment from black or white boarders and 20 odd years later I still talk to them. I don't care what colour people are they all deserve to be treated equally. By the way, doctors still put kids on to RITALIN... now known as "kiddie speed" which is highly addictive and my own youngest son was a guinea pig for this mongrel stuff and nearly lost him twice. Please don't judge what you really don't know.
 
Thank you I am really looking forward to seeing my grandchildren.
You are right about our sons, completely the same scenario. About six months ago I received an SMS from him so vile, calling me for everything under the sun, also sent one to his brother. His younger brother was always there for him. He was always the one at the prison gate when he was released, giving him money, clothes, etc whatever he needed to get back on his feet again , within a few weeks he would shit on him again. His friend rang me a few weeks ago and told me he was in prison and he wanted me to have his dog for 24 months.
I said no, I've had enough, apart from the fact I have two dogs of my own I couldn't believe his cheek after the message he sent me.. A few days later the social worker from the prison rang saying he wanted to have me added to his call list and could I put some money in his prison account. Again I said no. I feel bad about it but I just can't take any more
It is not that long since my husband passed and now my poor daughter has to have another massive operation, which requires her to spend two hours a day for four weeks before the operation and then again another two weeks after in a hyperbaric chamber to oxygenate her blood to hopefully help with the healing. Healing is a big problem after you've had to have radiation. She had a very large dose 16 years ago after her first cancer operation.
She's such a trooper. We live 3 hours from the hospital. six hours travel every day. If we stay in Perth and I get a pet sitter they want $100/day, boarding kennels even dearer and my son thinks I have time to worry about an abusive 51 year old drug addicts self inflicted problems.
Sorry about my rant, things will work out somehow, they always do.
I shall enjoy my two weeks with my son and family and my daughter is looking forward to her carer spending the two weeks with her. She's been her carer for over 20 years, and my daughter tells me every day she loves me and always adds that she loves Bec too. 🤎 Thank God for Bec.
you have NOTHING to apologise for. You have made heartbreaking but brilliant decisions. I wish your daughter all the best for what she is going through.
 
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As usual you portray this in a pro Labor slant. You can’t help yourself. This will not affect 99.99% of Centrelink recipients only those who spend their money on alcohol and substance abuse depriving their family from food etc. You quote a saving of $290 m over 4 years as though it is nothing. Every $ saved reduces our National Debt and helps with keeping taxes, inflation and the lives of the families of those subject to such restrictions much better off. That is a valuable contribution however “small” it may seem to you. I would like to know how much the current Government spends on “Woke” activities which are despicable, divisive and much, much more costly. Accountability of irresponsible individuals, politicians is paramount. Did we vote Labor in to introduce such activities which have profound effects in the community. This is Labor always emphasising so called Social Justice above the vast majority of decent average human beings and Australia as a whole.
 
It there a benefit to a cashless benefit payment? Yes, I’ve seen it first hand. But the deficits to this system I’ve also seen.

Ensuring people have grocery money does not ensure they eat well but could guarantee a diet high in processed foods and associated increase in health issues.

What socio-economic indicators are there that prove this is beneficial? Evidence would sway my opinion more than divisive speech, particularly considering reality rarely meets rhetoric.

As this was introduced without choice what would stop it being introduced to other vulnerable groups e.g., unemployed, single mothers, and DSP and Aged Pension recipients.

Putting a bandaid on a cut finger is not going to help in any manner if one has a ruptured aortic aneurysm.
 
Absolutely for it. After visiting the NT regularly over the past few years i have seen what the lifting of the alcohol ban has done to communities. Also the cost of cigarettes is so ridiculous that my husband and i have given up. On a recent holiday for 3 months we spent $4000 on smokes. Imagine if we were on a pension how many meals would our kids have gone without.
 
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Having spent time in Katherine in the NT and seen what goes on itsthe bedt wsy yo manage the benefits paid to the indigenous people.

The Woolies bottleshop didn't open until 2pm in an attempt to prevent them drawing their welfare ftom the ATMs, beating up their women to get the cash and walking into BWS to immediately spend it on booze. However, they circumvented that problem by buying 3 ltrs of orange juice and leaving it in the sun to ferment.

The kids were sent to school in rags and with no food for lunches because they assumed the school would feed them. Which it did but only a vegemite sandwich. My sister got a job there as an assistant and felt sorry for them so would mend their uniform and take in friit etc. That is, until she was told not to as they soon caught on and too advantage.

So I believe it's best to control how taxpayers' money is used in subsidies.
 
The trouble with this card, which goes against basic human rites, is that it is discriminatory. Previously, over 60 per cent of those forced on it, put on because of their post code and not individually assessed, were non-indiginous. They were put on this card because they were on welfare payments. It was a cash cow for the private company owners, and very expensive for the Australian taxpayers.
 
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"Critics, including the current Labor government, argue that it infringes on personal autonomy..." You are just too funny Labor! Where was your support for personal autonomy during the pandemic...

I concur with IAN3005, be very mindful of what one supports as it WILL ultimately be rolled out to everyone.
Reminder that Labor were not in during the pandemic Liberal were in they were making all the decisions for you and were putting less into healthcare.
 
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"Critics, including the current Labor government, argue that it infringes on personal autonomy..." You are just too funny Labor! Where was your support for personal autonomy during the pandemic...

I concur with IAN3005, be very mindful of what one supports as it WILL ultimately be rolled out to everyone.
Labor wasn’t in power when we had Covid, it was SCOMO remember.
 
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Good idea for certain communities/people. At least the children could be fed and clothed, and the money notspent on drugs and alcohol. May stop alot of the crime and bashings in these areas.
It would increase crime and bashings. If addicts can not use their Centrelink money to purchase their poison then they will steal it from others.
 
Most important thing to fix is youth crime before changing Centrelink benefits. Australia is getting as violent as America and its frightening the way these kids are attacking others, especially the elderly ! 😡
Maybe a cashless benefits card will stop these people in violent areas from purchasing so much alcohol so could be a good thing in stopping domestic violence for a start.
I wonder if it would stop the alcohol problem. I see more break & enters happening to get cash for their alcohol etc.
 
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Let us all be clear about two things
1) The last cashless welfare card was a cash cow for the issuers of the card. The company that ran it was closely tied to the Liberal Party and made a motza from that very lucrative government contract.
2) The card itself can only be used in approved establishments, and believe it or not those are mostly the most expensive places to shop and are operated by big LNP donors. So the card exploits people who are forced to use it and benefits the already wealthy.

Don't imagine for a minute that Dutton gives a stuff about the poor. This is all about looking after LNP mates.
 
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I think it would be political suicide to either party should they decide to bring this in for aged pensioners.
There's too many of us and I really don't think any average person, pensioner or not, would back that happening.
Mainly this card is to help ensure that young children receive every day necessities, to which they are entitled, and not wasted on their parent's vices.
This does not affect aged pensioners whose children are well passed the age of needing to be cared for by their parents.
 
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