Welfare groups to grill Swan

Treasurer Wayne Swan will face tough questioning when he speaks to 200 heads of welfare and community groups in Melbourne on Monday.

While his budget proved generous for families with schoolchildren, single-parent families feel they got a raw deal with the requirement that they move off parenting payments and onto the lower paying Newstart Allowance once their children reach the age of eight.

The government is making cuts to parenting payments to save $700 million.

ACOSS chief Dr Cassandra Goldie estimates that 100,000 families will be $60 a week worse off and fall deeper into poverty with the move.

Last week Mr Swan announced the government will spread the benefits of the mining boom with a boost to the Family Tax Benefit Part A from July next year.

An estimated 1.1 million families receiving the maximum amount will get a $600 windfall if they have two or more children and $300 if they have one child.

And the Schoolkids’ bonus will be a paperwork-free payment that will give 1.3 million families assistance with education costs with most families will receive $410 for primary school kids and $820 for high school students.

Welfare organisations had hoped the government would increase the Newstart Allowance by $50 a week to help jobseekers struggling under the poverty line, but instead they got just $4 a week extra.

“There were some really terrific initiative in the budget…but $4 for Newstart is clearly not a lot,” Dr Goldie said.

“We’ll be wanting to talk to the treasurer about how we can get it to the rate where it needs to be.”

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