Debate over cashless welfare card trial in Tasmania

A trial of the card has been implemented in several disadvantaged communities around Australia with its impacts subject to a Senate inquiry at present.

The card quarantines 80 per cent of a welfare recipient's income for spending on essential items.

Former Braddon Liberal MHR Brett Whiteley in 2015 said he would support the card being used in the North-West.

Mr Pearce said the card had shown some success in trial sites around Australia.

"But will it work in our region?" he said.

"We will never know unless we have a trial.

"For me, the focus is always on the outcome, not on the measure. It's not about a cashless debit card, it's about supporting individuals and families as best we can."

Tasmanian senator Jacqui Lambie has on numerous occasions visited communities subject to the welfare card trial.

She said these sites lacked adequate drug and alcohol rehabilitation resources and promised extra vocational training.

"So people are getting a punishment and no reward," Senator Lambie said.

She said she was prepared to block any move by the government to introduce new trial areas until issues were remedied.

"We would be setting up our youth and most vulnerable in Tasmania to fail and I won't be a part of that," Senator Lambie said.

Tasmanian Liberal senator Jonathon Duniam said there was evidence from trial sites which pointed to a reduction in drug and alcohol use.

Senator Duniam said extensive consultation with community groups, councils, and interest groups needed before additional trial sites were considered.

"We've got to make sure the community is supportive of a measure like that," he said.

Tasmanian Liberal senator Eric Abetz said he supported the principle of the cashless welfare card and described its restrictions as "liberating".

"True welfare is not about throwing money around as Labor and the Greens would do, but targeting assistance to help people better themselves for their own, their family's, and the country's good," he said.