Julia Gillard (Lalor, Australian Labor Party, Prime Minister) Share this | Hansard source

I thank the member for Lyons for his question, and I thank him too for his continued very feisty advocacy in this parliament of the interests of his local community. We should also be thanking him for his Christmas salmon, which is being circulated in the parliament courtesy of a great Tasmanian member. The member for Lyons asks about the core priorities of this government, and of course our core priorities are absolutely clear. We want a strong economy that offers Australians the opportunities that can flow only from a strong economy. We want a sustainable Australia; we all understand that there is an Australian way of life that we want to take with us into the future, and that requires action on climate change. We want a fair and inclusive society, and that means we need great quality health and education services to make sure every child gets a chance. We want to govern for all Australians; we want to make sure there is no part of the country that gets left behind; and, of course, we want to keep Australians safe and keep our nation strong in the world.

Achieving a strong economy requires the budget to be in surplus in this phase of economic growth. We will bring the budget to surplus in 2012-13. We are engaged in the fastest fiscal consolidation since the 1960s. Other nations have government debt of over 80 per cent; ours will peak at 6.4 per cent of GDP. On the other side of politics, we are matched by an $11 billion black hole, and another $2 billion black hole would have been added had they succeeded in blocking the PBS savings measures in the Senate. We have over there a political party that was too ashamed to put their tatty costings into Treasury for the officials to have a look. When we sought to find out who was responsible for these costings, the shadow Treasurer blamed the shadow finance minister and the Leader of the Opposition blamed both of them.

We will harbour a strong economy. We have kept the economy strong and growing through the financial crisis, and now we will balance growth with lower company tax rates, with lower tax rates for small business. On the other side of politics, this is matched by an aspiration for tax increases, including an aspiration for a higher company tax rate which would have cost families $350 extra per year. That would have been in direct breach of a policy promise of no new taxes. On this side of politics, we believe in using market principles to resolve market problems—in pricing carbon, in water reform, in the structural separation of Telstra. What we have seen in this parliament is a prize fighter, the Leader of the Opposition, who is always looking for a fight but he know longer knows what he is fighting for.

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