Lalor families to be hit hard by federal budget cuts, says report

Families living in the federal electorate of Lalor will be the most affected in Australia by proposed cuts to family tax benefits and paid parental leave, according to a Labor Party analysis of Centrelink data.

The report says 17,740 families in Lalor would be adversely affected by changes proposed in the federal budget.

Lalor MP Joanne Ryan said no electorate had a higher number of families whose budgets would be affected by the changes.

The government is proposing to stop families receiving family tax benefit B when the youngest child turns six. It also wants to freeze payment rates for two years.

Proposed changes to paid parental leave will prevent women from accessing both employer-sponsored and taxpayer-funded schemes.

Modelling done by the Greens showed Lalor would be one of the 20 hardest-hit electorates in Australia if the plan went ahead.

Ms Ryan said the changes would mean a single-income family on $65,000 a year would lose up to $6000 a year from the budget.

“Tony Abbott said the budget would not come at the expense of the family budget,” she said.

“Unfortunately, low and middle-income families will be hardest hit.”