This budget could devastate Indigenous Australians

From cuts to youth welfare to the new Medicare co-payment, the budget will have a profound impact on Indigenous Australians. In an opinion piece published in The Drum, Mick Gooda asks: will the Federal Government speak to Aboriginal leaders before proceeding?

I have spoken with many Aboriginal and Torres Strait Islander leaders since the release of the federal budget. Everyone I have spoken with is concerned about its potential impact on this nation's First Peoples.

We fear there is a very real prospect that Aboriginal and Torres Strait Islander people will suffer as a direct result of the budget announcements.

Like many other sections of the community, Aboriginal and Torres Strait Islanders are concerned by the proposed withdrawal of Commonwealth investment in education and hospitals. I am concerned Australia is heading towards two-tier education and health sectors which divide the haves from the have-nots.

However, it is the changes to the welfare system, particularly youth welfare, which could have a devastating impact on Aboriginal and Torres Strait Islander communities.

The proposal to deny young people access to the dole for six months of the year is cruel. It won't address what is a very complex issue in youth unemployment. All it will do is further marginalise an already marginalised sector of the community.

Experts and welfare groups have argued, correctly, I fear, that the changes to the youth welfare system could lead to a spike in the crime rate. Young Aboriginal and Torres Strait Islander people are already 28 times more likely to be in youth detention than other Australians. And when the cuts to Aboriginal Legal Services are added to this mix, the multiplier effect means this crisis risks becoming a catastrophe.

The proposed co-payment for visits to the doctor and the proposed increase in co-payments to the Pharmaceutical Benefits Scheme (PBS) are another cause of great anxiety.

It is not as simple as paying a single $7 co-payment to see a doctor. This is because if a patient also requires a blood test and an X-ray, that's an additional $7 for each item. All of a sudden what is tagged as a simple $7 co-payment becomes a $21 out-of-pocket expense. The costs escalate even further if you have a couple of sick kids who also need these services.

Aboriginal and Torres Strait Islander people access Medicare services at a rate which is almost one third lower than what is required on a needs basis. Our people need encouragement to access medical services, not more barriers. Increasing out-of-pocket expenses for health care will further entrench barriers to equitable healthcare.

Proposed cuts to anti-smoking initiatives are a further cause for concern and a severe example of short-termism. Tobacco smoking is the most preventable cause of ill-health and early death among Aboriginal and Torres Strait Islander people. The reduction in Aboriginal and Torres Strait Islander smoking rates by 10 per cent over the past decade demonstrates that positive change is possible. Nevertheless, smoking is an intractable behaviour and efforts to reduce smoking rates require long-term effort. The proposed cuts to anti-smoking initiatives must be revisited.

The budget also flags a new wave of upheaval in Indigenous Affairs. Over 150 Indigenous programs and activities will be collapsed into five new program areas and $534.4 million will be cut from the budget over five years. I support the reduction of red tape. However, the Coalition gave a pre-election commitment to examine programs to make sure they are directly working to meet the Closing the Gap targets, with any savings identified to be reinvested in Closing the Gap activities.

The budget savings to be achieved through program rationalisation have not been, as promised, maintained in Indigenous Affairs or Closing the Gap. Instead, the health savings are to be invested in the Medical Research Future Fund and other savings will be going to the budget bottom line. This reversal of a pre-election promise should be addressed, particularly in light of the Prime Minister's stated commitment to be the Prime Minister for Indigenous Affairs.

The impact the budget will have on Indigenous services, organisations and outcomes is unclear, and these proposals have been developed with little or no input from Aboriginal and Torres Strait Islander people and their representative organisations.

I have said several times this year that there is a new maturity in the Aboriginal and Torres Strait leadership, one where we recognise there are major problems with Australia's economy, one where we recognise that every sector must contribute, including ours.

The Federal Government has outlined its intention for a new engagement with Aboriginal and Torres Strait Islander people. To achieve this goal, surely it must at least have a discussion with us before proceeding with a radical re-shaping of government policy that so profoundly affects us?

The Aboriginal and Torres Strait Islander leadership stands ready for this conversation with Government. All it takes is an assurance that we will be heard.