Labor scraps veterans’ healthcare cap policy

Labor has scrapped a controversial $5000 cap on veterans’ healthcare following weeks of intense pressure from all sides of parliament.

Veterans’ Affairs Minister Matt Keogh – who has been under fire from veterans for his response to their concerns – announced the government will not proceed with the policy after listening to the response from veterans.

“The Albanese government has a deep respect for our veterans who have, and who continue to serve our country. Anyone who pulls on our nation’s uniform to serve in our name deserves nothing less,” he said in a statement.

“We have been consulting on this measure, and we have heard from veterans there are concerns about this approach.

“We have been listening carefully and today, the government is taking the proposed $5000 threshold off the table.”

Keogh said the government will continue working with veterans to find a way to reform the system.

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The government had moved to introduce a $5000 threshold for veterans’ spending on allied healthcare from the middle of next year, but maintained it was not a cap.

Keogh was criticised by veterans for appearing to roll his eyes at them and later declining to meet with them about the threshold.

After refusing to be drawn in to the criticism, he later conceded he “got it wrong”.

The veterans, along with the Coalition, Greens and the crossbench, drove a fierce campaign against the change.

Thursday’s decision comes as the government also faces pressure to deliver on the recommendations of the Royal Commission into Defence and Veteran Suicide.

Independent senator Jacqui Lambie – who called out Prime Minister Anthony Albanese after opening up about her own experience as a veteran who had to undergo surgery for vaginal prolapse in the Senate in August – said the government’s backdown was a win.

“The bloody cap has been scrapped,” she said.

“You beauty, and we’re backing it up, making sure that they’re never ever going to try it again.”

Greens senator David Shoebridge said decency had prevailed following the government’s “dishonest fraud argument” for the cap.

“None of this would have happened without the courage of those veterans,” he said.

“They shouldn’t have to do it. They shouldn’t have to keep coming in here and playing politics so that they can get their physio bills paid.”

If you are a current or former ADF member, or a relative, and need counselling or support, you can contact the Defence All-Hours Support Line on 1800 628 036 or Open Arms on 1800 011 046.