The Illawarra Women’s Trauma Recovery Centre has welcomed new Federal Budget reforms aimed at stopping perpetrators from weaponising the Child Support Scheme, describing the changes as an important recognition of financial abuse as a form of domestic and family violence.
The Federal Government has committed $182.6 million over four years to reform the Child Support Scheme, with measures designed to close loopholes that allow perpetrators to continue coercive control after separation.
CEO Elise Phillips said the reforms acknowledged a reality many victim-survivors experience long after leaving an abusive relationship.
“Domestic and family violence does not always end when a relationship ends,” Ms Phillips said.
“We regularly work with women who continue to experience abuse through financial systems, child support arrangements and ongoing attempts at control after separation. Financial abuse can have devastating long-term impacts on women’s safety, housing stability, mental health and ability to recover from trauma.”
The reforms include measures to strengthen enforcement of unpaid child support, improve protections against harassing or vexatious behaviour within the system, and make it easier for women to move away from private collection arrangements into government-managed collection.
Ms Phillips said the changes were particularly significant because they recognised the connection between financial security and recovery from violence.
“For many women and children, child support payments are not optional extras. They are essential for paying rent, buying food, accessing healthcare and rebuilding stability after violence,” she said.
“When perpetrators manipulate or withhold those payments, it can keep women trapped in cycles of poverty, housing insecurity and ongoing trauma.”
The Centre said the reforms reflected growing recognition that post-separation systems can enable continued coercive control if safeguards are not in place.
The Centre also welcomed other women-focused measures in the Budget, including continued investment in the Leaving Violence Program, additional funding for 1800RESPECT, expanded paid parental leave, cheaper contraceptives and menopause therapies, and ongoing support for specialist endometriosis and pelvic pain clinics.
However, Ms Phillips said the Budget still failed to confront the depth of the crisis facing women experiencing domestic and family violence.
“While there are positive measures in this Budget, much of it is repackaged or continued funding for existing services rather than the transformative investment the sector has been calling for,” she said.
“Frontline services are overwhelmed. Women are waiting for housing, waiting for counselling, waiting for trauma recovery support, and in many cases remaining in unsafe situations because there is not enough support available.
“We cannot keep responding to a national crisis with piecemeal funding and short-term measures. Women escaping violence need safe housing, long-term support, financial security and accessible specialist services in their communities.
“Without serious investment in social and affordable housing and the domestic violence sector frontline workforce, governments are effectively asking women and children to survive systems that are already stretched beyond capacity.”
What’s in the Federal Budget for women
New announcements / additional funding
- $182.6 million to reform the Child Support Scheme and address financial abuse and coercive control
- $218.3 million for the First Nations-led family violence strategy “Our Ways – Strong Ways – Our Voices”
- An additional $61.2 million for the frontline “500 Workers” domestic violence workforce initiative
- $41.8 million boost for 1800RESPECT
- Expansion of Paid Parental Leave to 26 weeks from July 2026
- Superannuation payments on Paid Parental Leave
- Carer Payment reforms allow greater workforce participation flexibility
- New menopause therapies and a national menopause awareness campaign
- Expanded access to cheaper contraceptives and long-acting reversible contraceptives (LARC)
Previously announced / ongoing funding and reforms
- More than $4.4 billion invested under the National Plan to End Violence Against Women and Children
- Continued funding for the Leaving Violence Program, including financial support for victim-survivors
- Previously announced $1.2 billion for crisis and transitional housing for women and children escaping violence
- Continued rollout of specialist endometriosis and pelvic pain clinics
- Ongoing investment in bulk billing, Medicare Urgent Care Clinics and public hospitals
- Additional investment in cheaper childcare and early childhood education
- Continued wage increases for aged care and childcare workers
- Mental health and trauma recovery support for women and children affected by violence
- Investment in crisis and transitional housing, alongside calls for further social and affordable housing investment