Key facts
- Labor has dropped plans for a $5,000 cap on allied health services for defense veterans.
- The cap was set to come into effect on July 1, 2027.
- Minister for Veterans' Affairs Matt Keogh announced the decision.
- The policy change followed criticism from veterans' groups, the opposition, and Senator Jacqui Lambie.
- The government stated it was listening to veterans' concerns.
The Australian Labor government has reversed its decision to implement a $5,000 cap on allied health services for defense veterans, following a strong backlash. The proposed cap, which was slated to take effect on July 1, 2027, faced widespread criticism from veterans' organizations, opposition parties, and independent Senator Jacqui Lambie.
Veterans' Affairs Minister Matt Keogh announced on Thursday that the government would remove the threshold, stating that they had listened to concerns raised by veterans. Initially, Keogh had faced criticism for refusing to meet with former servicemen lobbying against the cap. The opposition leader, Angus Taylor, had called for Keogh to be sacked, labeling the cap "egregious" and a "mistake from the start."
The policy was intended to prevent veterans from needing repeated doctor referrals for allied health services every 12 sessions. The government had indicated that veterans requiring assistance beyond the cap could still apply for extra support. Senator Lambie, who shared her own health struggles, had described the cap as "cruel" and "dangerous."
John Armfield, a spokesman for Fair Care for Veterans and a former Navy clearance diver, thanked Keogh for the decision, stating it was a result of the government listening to veterans and their families.