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Confusion in Labor ranks over private health insurance rebate

Confusion reigns in Labor ranks over the 30 per cent Private Health Insurance Rebate with conflicting statements today from Opposition frontbenchers over the fate of the Rebate.

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30 September 2003

Confusion in Labor ranks over private health insurance rebate

Confusion reigns in Labor ranks over the 30 per cent Private Health Insurance Rebate with conflicting statements today from Opposition frontbenchers over the fate of the Rebate.

While Shadow Treasurer Mark Latham told Perth radio that Labor was committed to keeping the 30 per cent Private Health Insurance Rebate, Opposition finance spokesman Bob McMullan made it clear that no decision on the Rebate had been made.

Opposition health spokeswoman Julia Gillard has added further to the confusion by saying recently that Labor was not under any pressure to make a decision on the fate of the rebate, which delivers $750 a year to the average family to meet their health costs.

It is time for Labor to get its act together on the rebate. It is unfair to keep more than 8.5 million Australians in the dark over the rebate. Labor has hidden behinds its so-called review for nearly two years.

Today on ABC Radio in Perth, Mr Latham was asked about the private health rebate and means testing. He replied:

"No, well Labor is committed to keep it, but it is part of our policy review and Julia Gillard our Shadow spokesperson will be(sic) some things about what we plan to do to improve the effectiveness of the rebate, but we are going to keep it."

However, Opposition finance spokesman, Bob McMullan, the former Shadow Treasurer, gave no such undertaking today about the rebate when he warned about big spending cuts.

He said Labor would not decide until after Labor's national party conference in January whether it would keep the rebate.

Mr McMullan said: "We will have to settle it before the election and we will."

Who is right? Who is wrong?

One thing all Australians can be sure of is: Under the Coalition private health insurance will be 30% cheaper than under Labor.

For more information: Randal Markey, Media Adviser, (02) 62777220