Labor could increase 'too low' Newstart Allowance

Bill Shorten has given a strong indication a Labor Government could increase the dole, ahead of policy debate at the party's national conference in December.

Mr Shorten told the Today Show he would review the Newstart Allowance that he believes is "too low".

"You don't review something to cut it," Mr Shorten said.

"We don't know what number we'll come up with."

Currently, the base rate is $275 a week for singles, a figure that hasn't risen in real terms in more than 20 years.

An ACOSS proposal would lift payments by $75 a week for around 770,000, and increase rental allowance for those on low incomes by $20 a week.

There have been increased internal Labor calls to boost the payment, and the ACOSS proposal was well received when discussed by MPs earlier this year.

Mr Shorten's comments have added weight to the push for change.

"I'm not going to stand here and say someone on $260 a week is doing it easy," Mr Shorten said.