Chris Bowen (Prospect, Australian Labor Party, Assistant Treasurer) Share this | Hansard source

I thank all honourable members who have contributed in this debate. However, I am particularly disappointed and surprised by the response of the opposition on this measure. I had thought that the opposition might use this as an opportunity to recant their opposition to the cut in the withholding tax rate. I had thought that they might come in here and say on reflection that they support this measure to build Australia as a financial services hub. I had thought they might take a sensible approach. I was wrong and I am disappointed about that. The opposition have shown a particularly inward-looking, short-sighted and, frankly, xenophobic approach. If they had welcomed the government’s measures I would have welcomed their support in a bipartisan fashion. If they had welcomed these measures, I would have invited them to join with the government in promoting Australia as a financial services hub. Instead, they have chosen to play politics on this matter. They have chosen to take a cheap and populist road and not a forward-looking and visionary road.

It is little wonder that they have lost the mantle of the more economically responsible party in Australia. There is little doubt that they are no longer seen as the party best able to manage Australia’s long-term economic future when they engage in stunts and rhetoric like they have this morning. I will deal specifically with the matters raised by the shadow Assistant Treasurer, who joins us in the chamber.

The shadow Assistant Treasurer made much of the fact that this is a tax cut for foreigners—and that is right: it is a tax cut for people choosing to invest money through Australian financial services. He chooses to engage in the cheap, populist line that this is a tax cut for foreigners, and shame on the opposition for doing so. We could all do that. We could all engage in cheap populism. When the previous government removed capital gains tax for foreign investors in Australia the then opposition—the Labor Party—could have engaged in a cheap, populist attack on that. We did not. This opposition has sold out its economic credibility for a cheap, populist attack. That is particularly disappointing. I had expected better from the opposition.

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