Nola Marino (Forrest, Liberal Party) Share this | Hansard source

The MPI before the House today is misleading, which is not unusual given the other side of the House. This is often the case. The poorly worded and researched opposition MPI makes it a statement based on inaccurate premises. This MPI bases itself on economic uncertainty.

Let me give the House some economic certainties that belie both the premise and the motion itself. What we can be certain of is that we as a coalition government were left with a legacy of abject economic failure from those years of the previous Labor government. We also know for certain, because it is written in the history books, that in 2007 the Howard government left office with Australia carrying a budget surplus of $20 billion, and not a net debt but a net surplus of over two per cent of GDP. We can also be certain that in two terms of government the Labor Party turned that into a budget cash deficit of nearly $50 billion and a net debt of 10 per cent of GDP. How can we be sure? Let's use the ABC, whose Fact Check division carries this quote:

The 45 years of historical data in the budget papers shows that when the Coalition won the 2013 election, the deficit was 1.2 per cent of GDP—

This is Fact Check—

… Mr Rudd inherited a surplus but Mr Howard received a deficit amounting to 2.9 per cent of GDP.

What we can be certain of is that Labor spends money and sends our great nation into debt. It repeatedly relies on a coalition government to get this nation out of the trouble that Labor creates. We can be certain again that Labor's last five years of government saw cumulative deficits of $191 billion—that is a proud record for Labor. It is certain that this profligate spending by Labor saw gross debt blow out to $360 billion and net debt passing $200 billion. That is the Labor legacy and the Labor way. It is also certain that this debt left to the government by Labor is costing us more than $12 billion in interest every year. That is $1 billion a month in interest thanks to Labor, or $33 million a day thanks to Labor or $1.4 million an hour thanks to Labor. In fact, for the duration of this short address alone we can be certain that the interest bill being paid by the Australian government and the Australian taxpayer—thanks to Labor—is $116,000. We have a lot to be grateful for with Labor.

If Australia were to endure another Labor government it is absolutely certain that we would be heading for bigger deficits and much greater debt. In fact, had they won in 2013 we would have had a projected $123 billion in additional debt in the subsequent four years, projected to peak at an astounding $667 billion of gross debt. The National Commission of Audit identified that, if left unchecked, government expenditure would have exploded from $409 billion to $700 billion within a decade. We can be certain that no Labor government would have paid it back. That was obvious.

We can be certain that the mining boom prices may have come to an end and that while the mining sector will continue to make a massive contribution to our economy the enormous growth of the last decade will not be sustained. Mining will return to long-term average prices and long-term average growth, as every smart analyst predicted. And we can be certain that the debt Labor left us will, under another Labor government, be left to our children and grandchildren to pay off. I have to say, there were some children up in the gallery here. I look at those kids and I think, 'They are the ones who will have to pay off a debt created by those opposite during their time in government.' Intergenerational transfer of debt. I found that absolutely appalling.

So, there is a lot of certainty around the economy. More importantly, this nation certainly cannot afford another Labor government. I look at the unfunded promises that Labor is making—billions and billions of unfunded promises ahead and more debt for this nation should Labor ever get back into government. (Time expired)

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