Some 11,000 war widows and widowers who did not own their own home would receive an increase in rent assistance of up to $94.40 a fortnight, the Minister for Veterans' Affairs, Danna Vale said today.

The increased assistance was part of the Government's $267 million response to the independent Review of Veterans' Entitlements, the Clarke Report.

"The Government accepted the Clarke Report's findings that war widow/ers renting in the private market were in need of additional assistance and has responded with this increase," Mrs Vale said.

Mrs Vale said the Australian Government had decided to pay rent assistance to eligible war widow/ers in addition to the income support supplement (ISS). Currently rent assistance was paid within the ISS maximum rate of $134.40 a fortnight.

"Under this change, eligible war widow/ers will be able to receive up to the maximum rate of income support supplement and up to the maximum rate of rent assistance," Mrs Vale said.

To be eligible, a war widow or widower must be receiving the ISS from the Department of Veterans' Affairs and renting privately. Rent assistance would not be available to those renting Government-owned properties as the rent is already subsidised.

War widow/ers receiving their income support payment from Centrelink would continue to have their rent assistance counted towards the income support ceiling rate.

Mrs Vale urged any war widow/er still receiving his or her income support payment from Centrelink to consider transferring to DVA to take advantage of the change.

War widow/ers receiving their ISS payment from DVA would have their payment automatically adjusted from March 2005. The amount of rent assistance payable would be determined by the amount of rent a person paid.

Veterans seeking more information can call the Department of Veterans' Affairs on 1300 735 464.