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Cashless debit card debate: Rick Wilson warns of serious consequences if cashless card program is abolished

Headshot of Kimberley Caines
Kimberley CainesThe West Australian
Federal member for O'Connor Rick Wilson.
Camera IconFederal member for O'Connor Rick Wilson. Credit: Laurie Benson

WA Liberal MP Rick Wilson has warned of “serious consequences” for women and children if the cashless debit card is abolished by the Labor Party.

The bill passed the lower house on Wednesday and will now need Senate approval, after it was debated on late on Tuesday.

The program targets First Nations communities and works by quarantining up to 80 per cent of a person’s welfare payments on to a card that prevents cash withdrawals and spending on alcohol and gambling products.

More than 4000 West Australians are currently using it in the Goldfields and East Kimberley.

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But before the May election, Anthony Albanese pledged to scrap the program if Labor formed Government.

During the debate on Tuesday, those opposing the bill called the card “an overwhelming success” that “changed lives” and was getting “impactful results on the ground”.

Mr Wilson told The West Australian consultation had not been done by Labor in the Goldfields where 2805 participates were on the program.

“(Social Services Minister) Amanda Rishworth hasn’t visited the Goldfields. I think she’s sending (Social Services Assistant Minister) Justine Elliot next week,” he said.

“We haven’t heard what will be put in place to replace the card. We know there will be an uptick in anti-social behaviour, drinking and all the issues that’s flow from that.”

Data has shown Indigenous women are 35 times more likely to be admitted to hospital due to family violence compared to non-Indigenous women.

“I believe that by withdrawing the card will have dire consequences for these communities,” Mr Wilson said.

“What I don’t want to see is young women being driven to the point where they are taking their own lives. That breaks my heart.”

WA billionaire mining magnate Andrew “Twiggy” Forrest recommended the cashless debit card to then Prime Minister Tony Abbott in 2014 and it was introduced by the Coalition in 2016.

WA Liberal Senator Matt O’Sullivan has played a big role since its inception and is now calling for the Community Affairs Senate Committee to hold an inquiry.

“The cashless debit card has proven to be a circuit breaker in terms of helping to lower and limit the use of alcohol drugs in these communities,” Senator O’Sullivan said.

“We know that any use of drugs and excessive use of alcohol drives up rates of domestic violence and abuse, particularly against women and children, and I really fear for these communities.”

Ms Rishworth last week said if the legislation passed, which is hoped to happen by September with the support of the Greens and crossbench, participants would need to be transitioned off the card within six months.

“The cashless debit card stigmatises and it often makes participants’ lives more difficult because they cannot access the cash economy,” Ms Rishworth said.

“(If the bill is passed) there will still be support available to those who need it, including opting in for voluntary income management, setting up Centrepay arrangements and referrals to local supports.”

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