Research backs supporting single mothers until a child is 16

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Their view is based on research by Professor Anne Summers AO from UTS Business School, supporting the need to keep single mothers on the Parental Payment Single (PPS) allowance until a youngest child is 16 years old, or still in high school.

Professor Summers’ research documents the extreme poverty of single mothers forced off the PPS and onto the JobSeeker allowance (which pays around $100 per week less) when their youngest child turns eight. 

The research also uses Australian Bureau of Statistics data to show that as many as 60 per cent of single mothers are single because they have fled violent relationships. This means that in addition to their financial distress, many of these women – and their children – are still traumatised from the violence they have endured or witnessed.

“Fifty years ago, in 1973, the Whitlam government introduced the Supporting Mothers Benefit and ushered in the modern era for single mothers. For the first time, the state took responsibility for their financial well-being. It was an investment in single parents and their children – allowing them to live with dignity and financial security,” said Professor Firth.

“But harsh roll backs started by John Howard in 2006 and extended by Julia Gillard in 2012 have placed thousands of women and their children into policy-induced poverty. Reinstating support for single mothers and their children to the levels of 50 years ago should not be seen as a cost, but a long-term benefit to Australia,” she said. 

Providing financial security for single mothers will have huge social and economic benefits, and in a budget that is constrained by economic pressures, it will also save money on potential welfare and criminal justice costs often associated with ongoing severe poverty.

Professor Verity Firth

It has been reported in the media that the government intends to raise the PPS cut-off age to 12 years old in this May budget.

“This half measure of raising the age to 12, rather than 16, is not good enough,” said Professor Firth.

“Providing financial security for single mothers will have huge social and economic benefits, and in a budget that is constrained by economic pressures, it will also save money on potential welfare and criminal justice costs often associated with ongoing severe poverty.”

“Sam Mostyn, Chair of the Women’s Economic Equality Taskforce has pointed out that by raising the cut off for PPS to closer to 16 years old, we will save a huge amount of money in the long-term, specifically when it comes to welfare payments,” said Professor Rhodes.

“If those children aren’t doing well at school because they’re in poverty and can’t afford the costs of attending school (books, excursions, uniforms, etc) that’s a future cost to the taxpayer, which can be avoided if we support and set up these women and families to thrive,” he said.

The Albanese government has the chance to restore single mothers – the majority of whom are single because they have left violent relationships – to the dignity and financial security they deserve Professor Firth said.

“While the Government may not be able to stop domestic violence, it can reduce poverty and enable women leaving violent relationships to have enough money to live on,” she said.