Veterans’ Affairs Legislation Amendment (Budget Measures)

Current status

This bill became law on Nov 30th, 2022.

Policy area

Budget, tax & economy

What does this bill do?

From 1 January 2023, the fortnightly pension for totally and permanently incapacitated veterans rises to $1,595.66.

Why was it introduced?

A Senate committeeThe Senate committee whose inquiry recommended that the government consider a modest increase to the TPI payment, without setting a specific amount. inquiry recommended that the government consider a modest increase to the Totally and Permanently Incapacitated payment, without setting a specific amount. This bill raises that pension to $1,595.66 a fortnight from 1 January 2023 and lifts the linked Temporary Special RateA linked veterans payment that rises when the TPI rate rises, because it is worked out by reference to that rate. and Special Rate Disability PensionA separate payment under military rehabilitation law that is also tied to the TPI rate and increases with it. as well.

Broader context

Australia already paid a special-rate pension to totally and permanently incapacitated veterans, with linked payments under other veterans’ compensation laws tied to that rate, and in 2022 Labor committed to a modest increase after longstanding calls to lift support for severely disabled ex-service personnel. The bill turned that commitment into law, ParliamentThe federal parliament that passed the bill and made the payment increase law. passed it in November 2022, and from 1 January 2023 the TPIThe special veterans payment that this bill increases for people whose service-related injury or illness leaves them unable to work normally. pension rose to $1,595.66 a fortnight, with the higher rate flowing through to the linked Temporary Special RateA linked veterans payment that rises when the TPI rate rises, because it is worked out by reference to that rate. and Special Rate Disability PensionA separate payment under military rehabilitation law that is also tied to the TPI rate and increases with it..

Key criticism

The main criticism was that the pension rise was too small to materially change veterans' living standards, especially with inflation and broader cost-of-living pressures still biting. That concern was raised most strongly by the Greens and echoed in milder form by Coalition and Nationals speakers, but no party represented in the debate opposed the bill.

Who supported it?

Hon Matt Keogh MP introduced this bill. It passed on the voices.

Introduced in House 26 Oct 2022
Passed House 09 Nov 2022
Passed Senate 24 Nov 2022
Became law 30 Nov 2022

Did it become law?

Yes

Became law 30 Nov 2022

Final passage

Passed without a counted vote

Members called out ‘aye’ or ‘no’ — no individual votes were recorded.

Passage speed

35 days

From introduction to the latest recorded parliamentary step

Official record

View on APH

Parliament of Australia bill page

What does this bill do?

  1. From 1 January 2023, the fortnightly pension for totally and permanently incapacitated veterans rises to $1,595.66.

  2. The higher totally and permanently incapacitated veterans payment also lifts the linked Temporary Special RateA linked veterans payment that rises when the TPI rate rises, because it is worked out by reference to that rate. payment and the Special Rate Disability PensionA separate payment under military rehabilitation law that is also tied to the TPI rate and increases with it. under military rehabilitation law.

  3. The new rate applies when working out this pension and any Commonwealth payment tied to it for days on or after 1 January 2023.

Show source excerpts
  1. Omit “$919.40”, substitute “$1,595.66”.
    Veterans’ Affairs Legislation Amendment (Budget Measures) Act 2022 final Act text
  2. The Bill will amend the Veterans’ Entitlements Act 1986 (VEA) to increase to the amount of the Disability Compensation Payment at the Special Rate payable under the Act. Due to the payments being legislatively linked, the amendments to the VEA provision will also increase the Temporary Special Rate payment under the VEA and the Special Rate Disability Pension (SRDP) payable under the Military Rehabilitation and Compensation Act 2004 (MRCA).
    Veterans’ Affairs Legislation Amendment (Budget Measures) explanatory memorandum
  3. The amendment made by this Schedule applies in relation to working out, in respect of days occurring on or after 1 January 2023:
    Veterans’ Affairs Legislation Amendment (Budget Measures) Act 2022 final Act text

Broader context for this bill

Australia already paid a special-rate pension to totally and permanently incapacitated veterans, with linked payments under other veterans’ compensation laws tied to that rate, and in 2022 Labor committed to a modest increase after longstanding calls to lift support for severely disabled ex-service personnel. The bill turned that commitment into law, ParliamentThe federal parliament that passed the bill and made the payment increase law. passed it in November 2022, and from 1 January 2023 the TPIThe special veterans payment that this bill increases for people whose service-related injury or illness leaves them unable to work normally. pension rose to $1,595.66 a fortnight, with the higher rate flowing through to the linked Temporary Special RateA linked veterans payment that rises when the TPI rate rises, because it is worked out by reference to that rate. and Special Rate Disability PensionA separate payment under military rehabilitation law that is also tied to the TPI rate and increases with it..

  1. 2022

    Labor commits to a modest TPIThe special veterans payment that this bill increases for people whose service-related injury or illness leaves them unable to work normally. pension increase

    Speakers in ParliamentThe federal parliament that passed the bill and made the payment increase law. described the bill as delivering a 2022 election commitment to raise support for totally and permanently incapacitated veterans by about $1,000 a year.

    Hansard ↗
  2. 26 Oct 2022

    Government introduces the bill to lift the TPIThe special veterans payment that this bill increases for people whose service-related injury or illness leaves them unable to work normally. pension

    The government presented the bill to begin legislating the increase and framed it as part of its obligation to look after veterans and their families.

    Parliamentary timeline ↗
  3. 09 Nov 2022

    HouseThe lower house that agreed to the bill before it went to the Senate. passes the bill

    The HouseThe lower house that agreed to the bill before it went to the Senate. agreed to the bill at second and third reading, sending the pension increase package to the Senate.

    Parliamentary timeline ↗
  4. 24 Nov 2022

    ParliamentThe federal parliament that passed the bill and made the payment increase law. passes the bill

    The Senate passed the bill and completed parliamentary approval for the higher TPIThe special veterans payment that this bill increases for people whose service-related injury or illness leaves them unable to work normally. rate and linked payment increases.

    Parliamentary timeline ↗
  5. 30 Nov 2022

    Royal AssentThe final step that turned the bill into an Act and allowed the new payment rate to start. makes the pension increase law

    Royal AssentThe final step that turned the bill into an Act and allowed the new payment rate to start. turned the bill into an Act so the new payment rates could commence at the start of 2023.

    Parliamentary timeline ↗
  6. 01 Jan 2023

    Higher TPIThe special veterans payment that this bill increases for people whose service-related injury or illness leaves them unable to work normally. pension begins at $1,595.66 a fortnight

    From this date the increased special-rate pension applied, and the higher figure also flowed through to the Temporary Special RateA linked veterans payment that rises when the TPI rate rises, because it is worked out by reference to that rate. and Special Rate Disability PensionA separate payment under military rehabilitation law that is also tied to the TPI rate and increases with it..

    Australian Parliament House ↗

How did it move through Parliament?

House Senate
Introduced 26 Oct 2022

The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.

Introduced and read a first time

Second reading opened 26 Oct 2022

A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.

Second reading moved

Second reading debate 08 Nov 2022

The bill reached this recorded parliamentary step.

Sent to Federation Chamber for debate 08 Nov 2022

The bill reached this recorded parliamentary step.

Referred to Federation Chamber

Second reading debate 09 Nov 2022

The bill reached this recorded parliamentary step.

HouseThe lower house that agreed to the bill before it went to the Senate. second reading agreed 09 Nov 2022

The chamber agreed to the bill at second reading, meaning it accepted the bill in principle and allowed it to continue.

Second reading agreed to

Returned from Federation Chamber 09 Nov 2022

The bill reached this recorded parliamentary step.

Reported from Federation Chamber

HouseThe lower house that agreed to the bill before it went to the Senate. third reading agreed 09 Nov 2022

The chamber agreed to the bill at third reading, which completed passage through that chamber.

Third reading agreed to

Introduced 21 Nov 2022

The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.

Introduced and read a first time

Second reading opened 21 Nov 2022

A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.

Second reading moved

Second reading debate 24 Nov 2022

The bill reached this recorded parliamentary step.

Senate second reading agreed 24 Nov 2022

The chamber agreed to the bill at second reading, meaning it accepted the bill in principle and allowed it to continue.

Second reading agreed to

Senate third reading agreed 24 Nov 2022

The chamber agreed to the bill at third reading, which completed passage through that chamber.

Third reading agreed to

Passed both houses 24 Nov 2022

Both houses passed the bill in the same form, completing parliamentary passage.

Finally passed both Houses

Assent 30 Nov 2022

The Governor-General gave Royal AssentThe final step that turned the bill into an Act and allowed the new payment rate to start., turning the bill into an Act.

The main case against this bill

The main criticism was that the pension rise was too small to materially change veterans' living standards, especially with inflation and broader cost-of-living pressures still biting. That concern was raised most strongly by the Greens and echoed in milder form by Coalition and Nationals speakers, but no party represented in the debate opposed the bill.

Criticism focused on adequacy, not on the bill's basic purpose or legality.

Increase seen as too small

Several speakers argued the extra payment was only a modest step and would still leave many totally and permanently incapacitated veterans struggling financially, with some saying the increase fell far short of what veterans deserved.

Raised by Greens senators David Shoebridge and Dorinda Cox, and Nationals senator Ross Cadell Source ↗

Inflation could quickly erode the benefit

Some supporters warned that in a period of high inflation and rising living costs, the one-off increase might soon be swallowed up, meaning parliamentThe federal parliament that passed the bill and made the payment increase law. would need to keep reviewing whether veterans' support remained adequate.

Raised by Liberal MP James Stevens, Nationals MP Michael McCormack, and Liberal senator Perin Davey Source ↗

Recorded votes

How the bill itself passed

The bill passed both chambers on the voices, so there is no list of individual Aye and No votes for final passage.

Passed

House passed the bill

HouseThe lower house that agreed to the bill before it went to the Senate. agreed to the bill's third reading on the voices, so there is no list of individual Aye and No votes for final passage in that chamber.

09 Nov 2022

Passed on the voices

In a voice vote, members call out Aye or No and the presiding officer judges which side has it. Individual names are only recorded if a formal division is called.

Passed

Senate passed the bill

Senate agreed to the bill's third reading on the voices, so there is no list of individual Aye and No votes for final passage in that chamber.

24 Nov 2022

Passed on the voices

In a voice vote, members call out Aye or No and the presiding officer judges which side has it. Individual names are only recorded if a formal division is called.

Who spoke, and what they said

Start here — lead voices

Sponsor speech Supports

Matt Keogh

Australian Labor Party • MP 26 Oct 2022

Keogh supports the bill and says it delivers Labor’s commitment to increase the TPI paymentThe special veterans payment that this bill increases for people whose service-related injury or illness leaves them unable to work normally. by $1,000 a year so severely injured veterans and their families are better supported and kept up with cost-of-living pressures.

Read in Hansard ↗
Lead supporting voice Supports

Michael McCormack

National Party • MP 09 Nov 2022

McCormack says the coalition supports the bill because it delivers a warranted one-off increase to the TPI paymentThe special veterans payment that this bill increases for people whose service-related injury or illness leaves them unable to work normally. for veterans.

Read in Hansard ↗
Lead voice Supports

Shayne Neumann

Australian Labor Party • MP 09 Nov 2022

Shayne Neumann supports the bill, saying it delivers on Labor's promise to increase the TPIThe special veterans payment that this bill increases for people whose service-related injury or illness leaves them unable to work normally. pension and give practical cost-of-living help to severely disabled veterans.

Read in Hansard ↗
Lead voice Supports

Rob Mitchell

Australian Labor Party • MP 09 Nov 2022

Rob Mitchell supports the bill and says it is overdue action to improve veterans' payments, claims processing and department staffing after years of neglect.

Read in Hansard ↗

All speeches by bloc

Labor

6 speakers · 7 contributions · 6 support

  1. Kristy McBain McBain supports the bill and says it delivers a modest but important permanent increase to the totally and permanently incapacitated payment for eligible disabled veterans.
    “This amendment seeks to provide a modest recognition of those that wear the scars of their service. It's honouring an election commitment made by Labor to permanently increase the totally and permanently incapacitated payment for eligible disabled veterans.”

    Australian Labor Party • MP • 09 Nov 2022

    Read the full speech in Hansard ↗
  2. Brian Mitchell Brian Mitchell supports the bill and says it delivers Labor's commitment to lift the TPI paymentThe special veterans payment that this bill increases for people whose service-related injury or illness leaves them unable to work normally. and give veterans with severe service-related impacts better financial support.
    “This bill is Labor's response to that inquiry and the specific recommendation about increasing the rate of TPI. It implements the Albanese government's 2022 pre-election commitment to provide a $1,000 per annum increase to the TPI from 1 January 2023. This bill shows that the government is listening to the needs of veterans and their families. Specifically, this measure will (1) provide the increase of $1,000 to the annual rate of TPI under the Veterans' Entitlements Act, (2) increase the temporary special rate payment under the VEA and the special rate disability pension under the Military Rehabilitation and Compensation Act and (3) ensure that TPI veterans and their families are provided greater financial support, recognising the impact of their ADF service.”

    Australian Labor Party • MP • 09 Nov 2022

    Read the full speech in Hansard ↗
  3. Don Farrell Farrell supports the bill and commends it to the Senate because it delivers the Albanese government’s promised $1,000 a year increase to the TPI paymentThe special veterans payment that this bill increases for people whose service-related injury or illness leaves them unable to work normally. and gives veterans and their families more financial support.
    “This bill today implements Labor's commitment by increasing the special rate of disability compensation payments for veterans. We're very glad that today we are receiving the support of senators to ensure that the TPI veterans are better off.”

    Australian Labor Party • Senator • 24 Nov 2022

    Read the full speech in Hansard ↗

Coalition

5 speakers · 5 support

  1. James Stevens James Stevens says the coalition will support the bill because it raises payments for veterans with total permanent incapacity and gives practical help to people who have made major sacrifices.
    “We in the coalition, of course, support this bill, which increases the payments to those in total permanent incapacitation who are veterans and who have served our nation.”

    Liberal Party • MP • 09 Nov 2022

    Read the full speech in Hansard ↗
  2. Perin Davey Perin Davey says the opposition will support the bill because it lifts the totally and permanently incapacitated payment for veterans and gives them a small but worthwhile increase.
    “As I said, this bill will deliver an annual $1,000 extra to our TPI recipients, but that is only a tiny gesture in recognition of the value of those veterans. It is a small step in showing that they are valued and that they will not be forgotten. The opposition supported this bill through the House of Representatives and we support it in this chamber. I thank the government for ensuring this bill will be passed in time to start these payments from January 2023 to give our TPI veterans recognition and some financial security and certainty moving forward.”

    National Party • Senator • 24 Nov 2022

    Read the full speech in Hansard ↗
  3. Ross Cadell Cadell says the Nationals will support the bill because it gives TPIThe special veterans payment that this bill increases for people whose service-related injury or illness leaves them unable to work normally. veterans a small but needed payment increase, but he argues it still falls far short of what they deserve and says more should be done for them.
    “We need to look after these people who have finished their career, have bad health and, honestly, have no future career prospects. They have sacrificed so much and are left with very little. We need to give them hope, if nothing else. This $2.75, or $1,000, is something. I thank the government. We will be supporting this going forward.”

    National Party • Senator • 24 Nov 2022

    Read the full speech in Hansard ↗
  4. Barnaby Joyce Joyce supports the bill and says it delivers a modest but important increase to the TPIThe special veterans payment that this bill increases for people whose service-related injury or illness leaves them unable to work normally. pension for veterans.
    “We need to get this thing through basically before the end of the year for it to start at the start of next year. Its cost for the remainder of the financial year is about $14 million, and it's just shy of $100 million over the forward estimates. It's a small payment to those who have served our nation. I'll have more to say later on in the week as we head to Armistice Day on the 11th day of the 11th month. I commend this bill to the House.”

    National Party • MP • 08 Nov 2022

    Read the full speech in Hansard ↗

Greens

2 speakers · 2 support

  1. David Shoebridge Shoebridge says the Greens will support the bill so veterans get the increase from 1 January, but he argues the rise is far too small and leaves many TPIThe special veterans payment that this bill increases for people whose service-related injury or illness leaves them unable to work normally. veterans in poverty.
    “This bill is not going to fix that choice. I know that veterans wanted us to move amendments to double it, and we were close to moving amendments to double it. But we were advised by the government that if we did that it would basically kill the bill, and veterans would have got nothing. Veterans should get at least double, but the reason we're going to support this bill is so that they end this year knowing they're going to get a tiny, modest increase starting on 1 January.”

    Australian Greens • Senator • 24 Nov 2022

    Read the full speech in Hansard ↗
  2. Dorinda Cox Cox says the Greens support the bill because it increases the TPI paymentThe special veterans payment that this bill increases for people whose service-related injury or illness leaves them unable to work normally. for severely disabled veterans, but she argues the rise is only modest and not enough to meet veterans' needs.
    “This bill provides that modest additional financial support in TPI for veterans and their families who already receive this payment and for other eligible veterans of the future. The increase to this payment means it will be comparable with the national minimum wage and more than the after-tax national minimum wage a wage-earner would receive. Do the Greens support this? Yes, we do. Do the Greens think it's enough? No, we don't. I'd like to see the representatives in this place who have no military experience live off a modest pension such as this and make some of those choices that our veterans are making today.”

    Australian Greens • Senator • 24 Nov 2022

    Read the full speech in Hansard ↗

Full record

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