Historic Reform for Veterans' and Families Benefits passes the Parliament

Today, Parliament has passed the most significant legislative reform of Australia’s veteran support system in a century.

The Royal Commission into Defence and Veteran Suicide’s Interim Report recommended the urgent simplification and harmonisation of the veteran compensation and rehabilitation system. The Final Report recommended the establishment of a new statutory entity to provide independent oversight of system reform now known as the Defence and Veterans’ Service Commission.

The Albanese Government promised to act, and we have.

The Veterans’ Entitlements, Treatment and Support (Simplification and Harmonisation) Act 2024 – the VETS Act - will bring the three current systems governing veterans’ entitlements under a single Act: an improved Military Rehabilitation and Compensation Act 2004 (MRCA).

This reform will make it easier for veterans and families to understand their entitlements, simpler for advocates to support veterans making DVA claims, and it will streamline claims processing within the Department of Veterans' Affairs.

This all means veterans and families will be able to access the benefits and supports that they need and deserve, faster.

When the changes come into effect on 1 July 2026, no veteran will see a reduction in their current payments.

This legislation will open up a pathway to a Gold Card for many veterans that were previously not eligible.

New claims made after 1 July 2026 will all come under the improved MRCA. Some current payment recipients, such as the Safety, Rehabilitation and Compensation (Defence-related Claims) Act 1988 (DRCA) incapacity payment recipients, will transfer to MRCA incapacity payments on commencement, resulting in an increase in payments.

We have consulted extensively over the last two years with veterans, families, advocates and a wide range of ex-service organisations on this legislation to make sure we got these reforms right.

Veterans currently under the DRCA will also have access to appeal DVA decisions to the Veteran Review Board for the first time from early April 2025.

To further ensure the VETS Act and future reform provide the best wellbeing outcomes for veterans and families, the Defence and Veterans’ Service Commission has now been enshrined into legislation. The Commission will improve suicide prevention and wellbeing outcomes for serving and ex-serving Australia Defence Force members through the provision of independent, evidence-based advice on system reform to the Australian Government.

Thank you to everyone who has played a role in this historic reform, which will benefit veterans and families for generations to come.

For more information on the new legislation, visit the DVA website.

Media note – case studies have been developed to ascertain how these changes may impact the personal circumstances of veterans. Visit - https://www.dva.gov.au/about/royal-commission/veterans-legislation-reform/veterans-legislation-reform-scenarios/scenarios-single-ongoing-act-consultation 

Open Arms – Veterans & Families Counselling provides 24/7 free confidential crisis support for current and ex-serving ADF personnel and their families on 1800 011 046 or the Open Arms website. Safe Zone Support provides anonymous counselling on 1800 142 072. Defence All-Hours Support Line provides support for ADF personnel on 1800 628 036 or the Defence Health Portal. Defence Member and Family Helpline provides support for Defence families on 1800 624 608