Robodebt cases to be scrapped by federal government

Locals affected by the former federal government’s Robodebt scheme have been thrown a lifeline.

The current government says 197,000 Australian’s are now off the hook, as Labor moves to wipe Robodebt cases.

The scheme has been a sore point for many Aussies, when it was announced in 2016 and is currently the focus of a Royal Commission, after almost half a million people were unlawfully issued debts of a combined up to $1.73 billion.

On Wednesday, the Social Services Minister Amanda Rishworth announced those who have open cases will not have their debt pursued.

“The Robodebt fiasco is something that should be of deep concern to all Australians. It was meant to save money, however, we know it had a significant human cost.

“We know as late back as 2016, there were members of the public flagging concerns that these debts weren’t right.

“Individuals felt increasingly anxious, depressed, and worried because these debts kept coming and they couldn’t understand them,” Ms Rishworth said.

The wiping of cases is being put down to the significant workload required to pursue debts would outweigh the return.