OLD AGE PENSIONS

Evening Post, Volume CXVII, Issue 111, 12 May 1934, Page 24

OLD AGE PENSIONS

INCREASE IN AUSTRALIA

The Commonwealth Treasury records show that there has been a striking increase in the number of old age pensions in force in Australia since . the amendment made to the Pensions Act last year to liberalise the terms upon which old age pensions are granted. The amendment virtually abandoned the proivsions introduced in the Act in 1932 by which amounts paid to a pensioner during his lifetime were made a charge upon his estate at death.

The number of old age pensions in force on March 23 was 179,739. This is an increase of about 3100 in the last twelve months. The number of pensions being paid is now nearly equal to the number which was being paid immediately before the Government amended the Pensions Act to discourage those whose means permitted them to do without pensions from claiming them. For the eight months up to the liberalisation of the Act last November the number of pensions in force increased by only 533. Between the end of November and March 23 the number of pensions increased by 2554. The monthly rate of increase in the pensions in force has been almost ten times as great since the Act was liberalised as it was before. . Although an exact figure is not available, it is estimated that at the ruling maximum rate of 17s 6d a week paid to old age pensioners, the average amount of each pension paid is now about £43 a year. If the presont figures are maintained the rate of increase will increase the full pensions bill by £331,000 for a full year's operation, compared with an increase of only £34,000 at the rate which prevailed before the Act was amended.