Labor’s bill to cut private health insurance rebate blocked by Greens over pensioner carve-out

Australian Greens leader David Shoebridge said the party would only offer its support for the changes if the government excluded pensioners, prompting Mark Butler to say the new leadership had ‘spied a political opportunity’. Photograph: Lukas Coch/AAP

Labor’s bid to cut the private health insurance rebate for over-65s has been blocked in parliament, with the Greens insisting they will withhold support unless pensioners receive a carve-out from the new rules.

The proposed changes, which would take effect from April 2027, would save the federal budget $3bn.