MEDIA RELEASE
17 September 2026
LABOR FORCED TO BACK DOWN ON VETERAN HEALTH CAP AFTER MONTHS OF PRESSURE
Federal Member for Herbert and Shadow Minister for Defence Personnel, Phillip Thompson OAM MP, has thanked veterans and their families for forcing the Albanese Labor Government to abandon its cruel $5,000 cap on allied health services.
Mr Thompson said the backflip was a victory for veterans, ex-service organisations, healthcare providers and families who fought every day against a policy that should never have been announced.
“Today, veterans, you have won. You have done this. You have made a bad government back down,” Mr Thompson said.
“Without veterans speaking out, coming to Canberra and telling this Government it was wrong, we would not be here today.”
“This cap caused enormous anxiety, uncertainty and frustration for veterans and their families. They should never have been forced to fight their own government for healthcare they need because of injuries and illnesses caused by their service.”
Mr Thompson said the Government had ignored veterans, families, advocates and its own advisory groups before placing the measure in the Budget.
“Good policy comes from listening. Good legislation comes from genuine consultation.”
“Instead, Labor designed a measure to rip hundreds of millions of dollars out of veterans’ healthcare without first speaking to the people who would be affected.”
“The Government then spent months telling veterans the cap was good for them, voting against efforts to scrap it and dismissing genuine concerns as political noise.”
Mr Thompson said the Minister for Veterans’ Affairs had failed in his most important responsibility and should resign or be sacked by the Prime Minister.
“The Minister’s job is to listen, work and deliver for veterans and Defence personnel. He has failed.”
“He initially refused to meet with veterans who travelled to Canberra. He repeatedly defended this cap, even as veterans and their families warned him about the harm it would cause.”
“Veterans have lost confidence in this Minister, and so have I. He should resign immediately. If he refuses, the Prime Minister should sack him.”
Mr Thompson said the Government’s backflip did not erase the months of fear it had caused across the veteran community.
“I have heard from fathers, mothers, sons, daughters and veterans themselves who were in tears, begging this Government to do the right thing.”
“As a veteran, I know what can happen when someone loses access to the treatment keeping them healthy and functioning. People’s lives were at stake, yet this Government kept telling veterans they were wrong.”
“When someone puts on our nation’s uniform, they are prepared to give everything in service of Australia. Our commitment in return must be that if they are wounded, injured or become ill, we will look after them.”
“Thanking veterans for their service does not stop on Anzac Day or Remembrance Day. It must mean something every day.”
“This backflip belongs to the veterans and families who stood up, spoke out and refused to be ignored. Their service matters, their healthcare matters, and their voices matter.”
“Lest we forget is not just a phrase. It is a commitment, and this Government must never forget it again.
”ENDS”