Slipper apology over health bill

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Mr Oakeshott will back Labor in federal parliament when a vote is taken on health care rebates. (AAP)

Mr Oakeshott will back Labor in federal parliament when a vote is taken on health care rebates. (AAP)

Speaker Peter Slipper has apologised for not casting a crucial vote to veto private health insurance reforms he had campaigned against.

Parliamentary Speaker Peter Slipper has apologised to his electorate for not being able to cast a crucial vote against the federal government's bill to means-test the private health insurance rebate.

The apology came as the government hailed the lower house passage of the bill to means-test the 30 per cent rebate as another delivered election promise.

Should the Senate pass the bill as expected, a means test will apply from July 1 to individuals earning more than $83,000 and families earning more than $166,000.

Individuals earning more than $129,000 and families on incomes greater than $258,000 would lose the rebate altogether.

Mr Slipper, who quit the Liberals last year to sit as an independent when he was elected Speaker, has previously spoken against the means test and campaigned against it in his Queensland electorate at the 2010 election.

His vote would have effectively vetoed the bill, which passed the lower house on Wednesday 71-70 with the support of Labor, independents Andrew Wilkie and Rob Oakeshott, and the Australian Greens' Adam Bandt.

"While only two per cent of the Fisher electorate may be affected by this legislation, I sincerely regret not being able to vote against this legislation," Mr Slipper said in a statement.

"However as Speaker of the House of Representatives I do not have a deliberative vote."

Leader of the House Anthony Albanese told parliament it was another "seminal reform" and meant the government had now secured 266 bills through the hung parliament with no losses.

"This parliament is functioning well. This parliament is able to engage with the crossbenchers to ensure outcomes have occurred in the national interest," Mr Albanese said.

"These reforms join the clean energy price, the minerals resource rent tax ... the national broadband network that will together transform the economy for the benefit of average Australians."

Treasurer Wayne Swan said measures such as the health insurance rebate means test would help bring the federal budget back to surplus as promised in 2012/13.

It is expected the rebate reform will save the government $2.4 billion over three years and $100 billion by 2050.

"Sound fiscal management is more important than ever, particularly given the global uncertainty we are seeing," Mr Swan told parliament.

Opposition Leader Tony Abbott accused the government of breaking an election promise by introducing the measure.

But Mr Swan said it was outlined in the government's pre-election fiscal outlook, and voters clearly knew where Labor stood on the policy.

The Medicare levy surcharge is also set to increase from July 1 to 1.5 per cent of taxable income for top earners without private health insurance cover.

While the Greens initially opposed boosting the surcharge, they relented on Tuesday after Labor promised to put the $165 million it will raise over three years into dental care.

Nationals Leader Warren Truss said a future coalition government should abolish the means test.

Mr Abbott said this would be done "as soon as possible", taking into account the budget position after the election.

Private health providers have argued the measure will reduce specialist services in regional areas, while consumer health groups say it will make the system more sustainable in the long-term.

Health Minister Tanya Plibersek said the government had no plans "at the moment" for more changes to the rebate or surcharge.

It is the third time Labor has attempted to limit the 30 per cent rebate, introduced by the Howard government.

The legislation is expected to sail through the Senate with the support of the Greens, who hold the balance of power in the upper house.