Acting CEO of the Australian Council of Social Service, Edwina Macdonald, has called today's announcement "welcome news."

But with the payments only reinstated until September 30, she says a long-term solution is needed.

"The stories we are hearing, the possible choices people have to make, people are having to choose between hot water or clothes, food or medicine, surviving on $46 a day, the rate of JobSeeker is, it is just impossible.

"People are having to make choices that nobody in a wealthy country like Australia should be having to make.

"[The PM is] really committed to making sure no-one is left behind. That is really encouraging to hear that.

"But we know that we do need a longer term solution as well."