Wayne Swan (Lilley, Australian Labor Party, Treasurer) Share this | Hansard source

I thank the shadow Treasurer for his question. One of the reasons why we have been so serious about savings in this budget is precisely because we understand that we have to move, first of all, to economic stimulus to support the economy, to support jobs and, as the global economy recovers, to step down on our spending and return the economy to surplus—which is why we have put in place these long-term structural savings. That is why, in this budget, we have delivered something like $22.6 billion in savings over the forward estimates, with no new spending in the final year of the forward estimates.

We absolutely understand that, on a temporary basis, we have to spend to stimulate the economy; then we have to bring the budget back to surplus as the global growth returns. That is very important, and it has involved hard choices—hard choices the government has not been afraid to make in this budget. Of course, net spending in this budget is $13 billion over the forward estimates—so I do not know what calculations the shadow Treasurer is using—and the great bulk of that is in the first two years, when it is most needed in terms of economic stimulus. Real spending growth has been held to under two per cent in the years the economy is projected to grow above trend. That is what we have done.

So do not come in here and continue to fiddle the figures, as you have been doing. Why don’t you come in here and be honest about what you would do in these circumstances? Be honest about it and stop playing these silly political games, because we are very serious about supporting our economy, about supporting jobs in this economy and about nation building for the recovery. It is just a pity that we do not have an opposition that has a clue about it.

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