Financial Counselling Services

Ms DIANE BEAMER: My question is to the Minister for Fair Trading. What is the Iemma Government doing to improve access to financial counselling services for families struggling with the higher costs of living?

The SPEAKER: Order! I remind many members that they are on three calls to order. I call the member for Murray-Darling to order.

Ms LINDA BURNEY: I thank the honourable member for her deep concern with this issue. Three weeks ago I spoke to the Annual Conference of Financial Counsellors. They said to me after my address that they were really glad to have a government that understands their issues and that is providing the extra resources they need.

The SPEAKER: Order! The House will come to order. I call the member for Murray-Darling to order for the second time.

Ms LINDA BURNEY: More and more Australians are battling to make ends meet, often with terrible consequences. The value of financial counselling services is clear from the stories of people who are doing it tough. For instance, one family—mum, a retail store manager, and dad, a high-earning executive—found itself in terrible difficulty when dad was diagnosed with cancer. They still had four children to look after and a mortgage to pay. When they were three months behind on their mortgage payments and the bank changed the locks on their house, they approached Wesley Mission for financial counselling. The service helped the family to negotiate with the bank to arrange the sale of their house at full market value and to find alternative accommodation.

The second story I would like to share with the House today is about a family of a man and his wife and their two teenage children. He worked on a construction site as a labourer and had a gambling problem. He ended up cleaning out the family bank accounts, selling some very valuable items owned by the family, and taking regular cash advances on his credit card, which was overdue. Debt collectors called regularly and bankruptcy loomed. His family got him to a financial counsellor who was able to work with him on his finances and set up a repayment plan so he could pay off his debts and make savings to provide for his family.

The SPEAKER: Order! I call the member for Terrigal to order.

Ms LINDA BURNEY: Such severe financial stress can have devastating effects, like marriage breakdown and family breakdown. With the recent interest rate hikes, increases in the cost of living and skyrocketing family debt, members of this House should be aware—and I know many are aware—of families who are doing it tough, particularly families in the west and south-west parts of Sydney, which have been well documented in the press. People in those circumstances feel ashamed and often live in a state of denial and always in a state of anguish.

When people find themselves in trouble, the first step to regaining control of their lives is to get information and advice. The message is clear: Do not ignore the mounting bills, and ask for help as early as you can. With this in mind, the Iemma Government is committed to improving access to financial counselling services right across New South Wales. This is part of the Iemma Government getting on with the job of delivering services to our communities and reaching out to people in difficult times.

On 13 April the Premier and I announced an additional $1 million per annum to give face-to-face resources for financial counsellors. This tops up the $2.7 million the Government already spends on these services, and it will reach 33,000 clients. On top of that we hope for an increase. This new funding translates into 3,200 additional days of financial counselling in New South Wales. It will directly assist an additional 16,000 families in our State.

Recently I visited with the local member, Minister Tripodi, the Wesley Mission Creditline in Fairfield. With him I saw how much an additional day's financial counselling will mean for the people of the Fairfield electorate. Among other things, financial counsellors can help clients organise financial information, design a personal budget, access information and, most importantly, help negotiate with credit providers and banks to alter repayments. We are doing a lot of work in Aboriginal and non-English-speaking areas. These additional services will be targeted at areas high in need.

[Interruption]

If the member for Lismore listens he may get some money. For the first time the Salvation Army's Moneycare—

[Interruption]

The SPEAKER: Order! The member for Lismore, the member for Barwon and the member for Ballina will cease interjecting.

Ms LINDA BURNEY: If they listen they might find out.

The SPEAKER: Order! I place the member for Barwon on three calls to order.

Ms LINDA BURNEY: The Salvation Army's Moneycare service in Goulburn will receive an additional $30,000 for the Southern Highlands and the Goulburn electorate. In addition, 23 existing services will be receiving additional funding to meet the ever-increasing stream of requests. In Armidale, the Anglican counselling service will receive additional resources and this will extend its five days to provide community education to Glen Innes, Gunnedah, Gwydir, Inverell, Tenterfield, Uralla, Narrabri and Moree. In Kempsey the neighbourhood centre will receive an additional $58,000 for outreach and community education. Other resources will be going to the western and south-western parts of Sydney, including Parramatta, Auburn and Penrith. Creating Links will extend services in Bankstown and increased community education. There will also be additional resources to the Wesley Creditline in Penrith, Blacktown, the Blue Mountains and the Hawkesbury.

Additional money will go to the North Coast and a whole range of other services across New South Wales. Much of that money is provided to highly reputable non-government organisations to ensure the delivery of services. I conclude by making a couple of points. An additional $100,000 will go towards training financial counsellors. I find objectionable the way in which the Opposition spokesperson on Fair Trading has conducted herself.

The SPEAKER: Order! The House will come to order. I include the member for Terrigal.

Ms LINDA BURNEY: The Hon. Catherine Cusack has not only lied—

Mr Greg Smith: Point of order: Mr Speaker—

The SPEAKER: Order! Government members will remain silent.

Mr Greg Smith: My point of order relates to Standing Order 129. The answer has no relevance to the question. It is personally denigrating someone who cannot defend herself in this House.

The SPEAKER: Order! The answer is relevant to the question. I advise the Minister to ensure that her language is in accordance with the standing orders.

Ms LINDA BURNEY: The Hon. Catherine Cusack has made political points and dined out on people's distress, and I find that objectionable. These people are in financial stress, experiencing anguish and distress. They do not need someone to mislead and to use their anguish and distress to score political points.

Mr Adrian Piccoli: Point of order: You have ruled previously that if members want to attack other members, including those in the other House, they must do so by way of substantive motion. The Minister is making scandalous allegations about the motives of an upper House member. That is highly inappropriate and I ask that you direct the Minister to withdraw her statements.

The SPEAKER: Order! That is not a point of order.

Ms LINDA BURNEY: I conclude by saying that these financial counselling services will provide an enormous additional response in the Campbelltown and Macarthur areas.

The SPEAKER: Order! I call the honourable member Bathurst to order for the third time.

Ms LINDA BURNEY: This additional $1 million will provide services to people who are finding life extremely difficult and who need financial counselling. If they receive advice early and are given support, they will be able to sort out a range of issues in their lives. I am proud to be the Minister the Fair Trading and I am proud to be a member of the Iemma Government, which understands that people need support. This additional $1 million will provide extra support to families who are in distress and who need this help. Tony Devlin, who heads up this area, has commended the Government and so should the Opposition.