Appropriation Bill (No. 1) 2025-2026
Mr KEOGH (Burt—Minister for Veterans' Affairs and Minister for Defence Personnel) (18:01): As we face the most challenging strategic circumstances in our region since World War II, this government has asked the foundational questions about our strategic landscape in order to grow our capability. We are investing an additional $10.6 billion over the forward estimates, and, with the initial commitment of $12 billion towards the defence precinct in Henderson, Western Australia, we are investing an additional $70 billion over the next decade.
But people are our most important Defence Force capability. The Albanese government is committed to an ADF that Australians are attracted to serving in, confident that they and their families are respected and well supported by their leadership, their mates and the broader Defence Organisation. Under those opposite, over almost a decade in government, the permanent Australian Defence Force grew by only 2,047 personnel.
This was a net increase in our ADF permanent workforce of just 200 a year. Under our government, the ADF has in just 12 months increased headcount by 2,418. Recruitment and retention in the Australian Defence Force is now growing again, thanks to the Albanese government's investments and initiatives, following years of coalition neglect.
Under the Albanese government in the financial year 2024-25, we enlisted the most personnel in 15 years, and ADF separation rates have dropped to well below the 10-year average. This is thanks to almost $1 billion of Albanese government investments in recruitment and retention initiatives, including continuation bonuses, improved pay and conditions for personnel, an expanded ADF family health program and improved access to housing.
The Albanese government has also made the commitment to defence personnel, veterans and their families that, whatever may befall them during their service, they will be properly looked after and their service acknowledged, respected and commemorated by a grateful nation. A little over a year ago, the Royal Commission into Defence and Veteran Suicide delivered its final report, making 122 recommendations.
It showed us that, for too long, ADF members, veterans and their families did not get the support they deserved and expected. We are acting quickly. In December, just three months after the final report was delivered, we accepted 104 recommendations and noted 17 for further work.
By February this year, we had legislated a new, independent, statutory oversight body, deemed the most important recommendation by the royal commission. The Defence and Veterans' Service Commission will oversee long-term reform aimed at fixing a broken system. It is now up and running, with a $44.5 million budget for the next four years.
We have also established a taskforce within the Department of the Prime Minister and Cabinet to guide the implementation of recommendations across government. By the time we hit the 12-month anniversary of the final report, the Albanese government had made significant progress in response, with nine recommendations fully implemented and work underway on 110 other recommendations.
The government's focus has been on reforms that address the immediate health and safety of current and former serving ADF personnel and their families. That's why we got to work on improving access to services and supports while the royal commission was still underway, clearing the backlog of some 42,000 veteran claims ahead of schedule. Good progress is also being made on speeding up the system, but there is more to do.
That's why we're simplifying and harmonising the veterans' compensation system that causes confusion and frustration, which the royal commission found was a contributor to suicidality amongst our veteran community. We passed the VETS Act, the Veterans' Entitlements, Treatment and Support (Simplification and Harmonisation) Act, in February this year. This means that from the middle of 2026 all veteran claims will be assessed for compensation and rehabilitation under one single piece of legislation that will be simpler to use and faster to process.
This is the most significant reform to how we support veterans in a century. It means we will be able to better provide the services and supports those in the veteran community need when they need them. The Albanese Labor government is working to deliver the defence capabilities Australia needs and the dignity the veteran community deserves.