Chris Bowen (Prospect, Australian Labor Party, Minister for Financial Services, Superannuation and Corporate Law) Share this | Hansard source

I thank the honourable member for Leichhardt for his question, because it does provide an opportunity to correct several statements from members opposite. The government’s superannuation reforms are crucial to boosting the retirement incomes of Australians, and these reforms are funded by the Resource Super Profits Tax. There are 8.4 million Australians relying on these reforms to boost their retirement incomes. A 30-year-old on average weekly earnings would have their retirement income boosted by $108,000 on their retirement.

There has been some commentary by members opposite about the effects of the Resource Super Profits Tax on people’s retirement incomes. The shadow minister against superannuation has made some comments. His commentary did not go to why the opposition is standing in the way of the boost to retirement incomes of Australians. The comments did not go to why the opposition is standing in the way of giving low-income earners their superannuation tax back. They went to a scare campaign. The shadow minister against superannuation—the member for Cowper—said this to the Coffs Coast Advocate:

We also must remember the collapse in mining share investment is having a domino effect right through the economy that will drive down super returns even further.

He is not the only one. The member for Goldstein said it, the member for North Sydney said it and the Leader of the Opposition said it. Now it is time for some facts which will show that the opposition’s scare campaign is simply sophistry. It is true that the value of Australian mining stocks has fallen since 2 May. It is also true that the value of stocks generally in Australia has fallen. It is also true that mining stocks around the world have fallen in value. The Australian materials index covering mining stocks has fallen by eight per cent since 30 April, the ASX 200 has fallen by 8.6 per cent and the financials index has fallen by 10.57 per cent. The Resource Super Profits tax has had a big impact on the financial services index.

It is also interesting to look around the world. As I said, the ASX 200 has fallen by 8.6 per cent, the FTSE has fallen by 8.7 per cent, Standard and Poor’s has fallen by 9.5 per cent and the Nikkei has fallen by 11.7 per cent. So the superprofits tax has really hit Japan hard. I have heard a lot of outlandish claims from the opposition over the past fortnight. I do not think I have heard the opposition claim yet that the Resource Super Profits Tax has caused the Greek debt crisis. I might have missed it. It would be about as outlandish as most of their claims. That crisis, which has caused stock market falls around the world, has not been caused by the RSPT.

The opposition say that the Resource Super Profits Tax is affecting superannuation returns. Let us see what the superannuation industry has to say to their claims. David Whiteley, the Chief Executive of the Industry Super Network, said—

Ms Julie Bishop interjecting—

I quote:

Asserting mining stocks have plunged as a direct result of the tax when all stocks have fallen to a similar if not greater degree is plainly deceitful.

The Deputy Leader of the Opposition says Mr Whiteley is a Labor hack.

Ms Julie Bishop interjecting—

She said he is a union hack. Let us see what that other union hack, John Brogden, had to say. John Brogden says of the argument that the mining tax is having an impact on superannuation returns:

It doesn’t hold up in the short term, and it won’t hold up in the long term. I am very strongly of the view that it is quite erroneous to link a negative outcome on mining to a negative outcome on superannuation.

That is what John Brogden said of the arguments that are being put by those opposite. I wonder if he is a Labor hack as well. The Deputy Leader of the Opposition appears to have gone quiet.

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