Michael McCormack (Riverina, National Party) Share this | Hansard source

This government is wasteful and reckless and continues to treat the nation and its people with disdain and as fools, by counting new or higher taxes as savings, continuing to deliver policies which lead only to a higher cost of living for all Australians, and doing nothing for the future prosperity of our nation by leaving a legacy marred by debt, the interest on which will rob future generations of their wealth. It is a debt which will have to be repaid by a future coalition government. Before this budget parliament gave approval for the government to borrow $200 billion. After this budget the limit will be one quarter of a trillion dollars. That is what the Treasurer calls 'back in the black'. This is what the first harbinger of debt looks like to the nation's capital. There will be cuts over the forward estimates—that is, the next four years—of $2.133 million for the National Library; $1.762 million for the National Museum; $1.0999 million for the National Film and Sound Archives; $1.373 million to the National Gallery; and, wait for it, $1.632 million to the centrepiece of Australian democracy and what our soldiers, airmen and sailors have worked to fight for, the Australian War Memorial. How disgraceful.

Some of the alarming facts to come out of this budget are that the deficit has soared to $49.4 billion and that net government debt has climbed to $107 billion. That puts government borrowing at $135 million per day, every day. This budget also confirmed how out of touch the Labor government is with Australian families and small business. It fails the essential test: to ease the cost of living on Australians who face higher prices every day.

The new arrangements for taxing company cars will slug small business operators, tradesmen and farmers with increased costs at a time when they are already doing it tough. There is that word again. This measure will impact negatively on those Australians who rely on their motor vehicle to earn their income and who have to travel long distances, including tradespeople, salespeople, couriers, primary producers, small business people and farmers, many of whom live in my Riverina electorate. This new arrangement therefore weighs heavily on my constituents. Many people from my electorate live many kilometres away from their place of work, homes and shops, and travel—that tyranny of distance—is something they have to do.

With this latest Labor scheme, and the rumour is that petrol prices will increase by 6.5c a litre, this government is once again targeting already struggling people. As the member for Riverina, which houses the training base for the Army, defence is obviously a high priority for my electorate and my constituents. Yet the 2011-12 budget has shown that the Gillard Labor government is carelessly indifferent to the ongoing viability of the Australian defence industry sector and, importantly, the jobs it supports and creates.

According to the shadow minister for defence, the budget papers reveal that the total Defence Materiel Organisation resourcing for the procurement and sustainment of equipment reduced from $11.7 billion in 2009-10 to $10.1 billion in 2011-12 and would further decrease to $9.8 billion in 2012-13. In keeping with these figures, by the 2012-13 budget, the Defence Materiel Organisation will reduce its spending on purchasing equipment and sustainment of activities by almost $2 billion in less than four years. That is despite the government's huge list for more training and extra equipment.

The Prime Minister has announced that an extra 21,000 university students are receiving youth allowance. Once again, students in Wagga Wagga, Adelong, Batlow, Coolamon, Gundagai, Junee, Mangoplah and Tumut, considered to be inner regional areas, have missed out. Probably plenty in Labor electorates have too. For some reason they are considered not isolated and are not eligible for the independent youth allowance. Hopefully, the inquiry, which is currently being undertaken, will soon rectify that.

The Treasurer claimed his budget delivered to regional Australia like no other budget. Considering $500 million was cut from regional programs, it is a little hard to comprehend that regional Australia benefited.

Regional Australia has been deprived in this budget, not compensated. The agricultural industry, which regional Australia relies heavily on, was largely rejected. Not one cent of new money was given to roads and rail. And the farm sector, which drives more than $150 billion a year in economic production and which has a job support network of more than $1.6 million, has had its budget slashed by $33 million.

However, the upside of the budget, and the member opposite will be glad to hear me say this, was the health spending for some electorates—admittedly, mostly government or Labor-aligned rural Independent electorates. But I would like to acknowledge and pass on the gratitude of the people of the Riverina for the $55.1 million allocated to Wagga Wagga Base Hospital, as part of the Health and Hospitals Fund regional priority round in the budget.

I also acknowledge the $3.412 million given to the Calvary Drug and Alcohol Rehabilitation and Detoxification Facility.

Ms Rishworth interjecting—

I am acknowledging it. These funding announcements will make a positive difference to the lives of Riverina people and those of the 250,000 people who the Wagga Wagga medical facility serves. Mind you, it was not before time. They have endured facilities which have at best been described as dilapidated for too many years to contemplate. I would also like to place on record the fact that the Wagga Wagga Base Hospital rebuild still requires additional funding—somewhere in the order of $130 million. I am hopeful that this or part thereof might be forthcoming in the next Health and Hospitals Fund regional round, with applications to open later this year. Finally, and whilst appreciating that many submissions for funding were received, I am hopeful that the bid by the City of Griffith in the Riverina for $11 million for its exciting hospital project in partnership with St Vincent's will be looked upon favourably in the next HHF round. Thank you.

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