Newstart payments an embarrassment: ACOSS

Labor's commitment to review Newstart payments if it wins government has been described as "not good enough" by the Australian Council of Social Service.

Australian Council of Social Service (ACOSS) CEO Cassandra Goldie .

ACOSS CEO Cassandra Goldie has renewed calls to increase the Newstart allowance. (AAP)

The rate of Newstart payments has been labelled a "national embarrassment" as calls for allowances to increase for the first time in 24 years grow louder.

The Australian Council of Social Service has urged the government to immediately raise payments following the release of a new report.

A study into welfare payments from accounting giant Deloitte - commissioned by ACOSS - has found lifting allowances by $75 per week would be a boost the Australian economy as well as regional communities.

ACOSS chief executive Cassandra Goldie is demanding action.

"What we'd like to see from both major parties is a commitment to immediately increase the Newstart payment," Ms Goldie told reporters on Monday.

"What we're talking about is a group of people who have been deeply affected by the refusal of successive governments to index allowances in the same way we've been indexing the aged pension."

Prime Minister Scott Morrison said in July, while he was treasurer, that an increase to payments was not on the agenda.

"I support getting Australians off welfare and into work," Mr Morrison said.

Labor's position is to review Newstart if it forms government, but Ms Goldie says that "it's not good enough".

"We welcome Labor's acknowledgement that it's too low, we welcome a commitment to do a review but the review should be about how we never end up this situation again," she said.

Labor's finance spokesman Jim Chalmers told reporters on Monday he was looking forward to a review of payments.

"What we want to do is go about it in a very responsible and considered, measured way in government with full resources," Mr Chalmers said.

"Tapping some of the best minds in this area to work out all the various interactions of Newstart and other government payments and see if anything can be done about it."

Ms Goldie said the $75 per week a figure had been carefully researched and was about dealing with the "injustice" that has been created.

The Greens last week introduced a bill to raise the Newstart rate.

"This is a reform that would help some of the most disadvantaged members of our community," Greens senator Rachel Siewert said on Monday.

"The parliament now has the chance to make a concrete difference to people's lives."


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Source: AAP


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