Pat Conaghan (Cowper, National Party) Share this | Hansard source

This budget is a recovery budget. If we wind the clock back two years we find ourselves in a very, very different place. The coalition government's economic leadership was steering us towards a run of budget surpluses. Just two years ago nobody was speaking about a pandemic, just two years ago, nobody was speaking about a recession and just two years ago nobody was speaking about a world in catastrophic turmoil. Twelve months ago we weren't talking about it, we were actually living through it. In the midst of all of this the coalition government chose to change tact and chart a new course for survival, chose to engage the auxiliary engines and chose to sail through the storm. Most of all, the Morrison-McCormack government chose to back the people of Australia. We chose to back our skills, chose to back our resilience and chose to back our businesses. The measures so boldly taken by the coalition government have helped us weather the eye of this storm, but we are not there yet. We must ensure a strong recovery. We must continue to back our people and our businesses and let Australians play their part in this important recovery process.

The tax incentives in this budget will support the recovery of our economy by putting more money back into the hands of individuals and businesses, helping to drive businesses and create jobs. This government is a government that believes in tax cuts, not tax increases. Our local workforce has been adaptable, flexible, understanding and committed during this pandemic, and it is important to recognise the efforts and sacrifices made by so many. Bringing forward stage 2 of the government's tax relief plan and the extension of the low- and middle-income tax offset will benefit around 56,000 taxpayers in my electorate by up to $2,745 this year. This means more money for the household budgets for families and individuals across the region, so they can keep more of what they earn to spend on what is important to them. This is why campaigns such as the Go Local First campaign are so important to promote local spending so that these benefits stay in the region and get passed on to our local businesses who are the engine room of the economy and who employ 80 per cent of our workforce.

This budget is also a plan to help our businesses recover. In my discussions with business owners and chambers, they are overwhelmingly grateful for the COVID support measures of JobKeeper and a cash flow boost which has helped them keep afloat and in a position to emerge and secure a path for recovery. The temporary full expensing measure will allow over 19,000 Cowper businesses to invest in eligible assets to the end of 2022-23. These write-offs have stimulated the local economy. I speak to people excited to tell me about their new equipment, new machinery and new business vehicles. They tell me this incentive has allowed them to expand their businesses, invest in technology and employ more people. Over 5½ thousand businesses access the temporary loss carry-back measure to support cash flow and confidence. This measure provides Australian business with certainty after a year of uncertainty.

I spoke recently in this place in support of the digital games development industry and the incredible range of job opportunities it provides across the nation, including in the Mid North Coast. I'm pleased that this budget recognises the potential of this industry to capture a further share of the global games development market through the introduction of the first national digital games tax offset as part of this government's $1.2 billion Digital Economy Strategy. This has been described by the industry as a landmark step that will assist offset costs of game development and support growth in the sector. I'd like to thank Interactive Games and Entertainment Association CEO Ron Curry for writing to me and for his advocacy for the industry. This budget supports passionate entrepreneurs like Ron. He believes:

This new federal investment will underpin a new wave of Australian video game development, leading to even more amazing Australian-made games to take to the almost $250 billion global video games market—which is arguably the largest entertainment market in the world—and bring new Australian voices and stories to a truly global audience.

This is a plan for the future.

The Mid North Coast of New South Wales is known as a great place to retire, and the demographic in my electorate is skewed towards older Australians. In fact, almost 30 per cent of my electorate is over the age of 65. In responding to the Royal Commission into Aged Care Quality and Safety, the government is delivering a record additional funding of $17.7 billion to deliver a comprehensive aged-care reform package ensuring that we have high quality and sustainable aged care systems into the future. In fact, spending on aged care in 2021-22 is expected to be $25.9 billion, almost double the $13.3 billion spent in 2012-13. This will support older Australians so that they can stay in their homes longer and receive the care they need by providing an additional 80,000 home-care packages, bringing the total to 275,000, and, importantly, also delivering support for informal and family carers. This will directly benefit the 6,800 seniors receiving or awaiting home-care packages in my electorate of Cowper. This will ensure those choosing to remain in their homes receive the same level of respect, care and dignity as those choosing to enter an aged-care facility.

The reforms will also ensure the aged-care sector's sustainability by growing and upskilling the aged-care workforce to provide the level of one-on-one care required to ensure good quality of life. There are significant aged-care skill shortages on the Mid North Coast, and these reforms will ensure that additional places are provided through JobTrainer, adding more than 2,500 aged-care and residential care workers in my electorate.

I've received a lot of positive feedback on the government's reforms to aged care, including from the CEO of the Older Persons Advocacy Network, Craig Gear, whom I will quote:

This is a win for reducing elder abuse, improving the aged care experience and keeping older Australians connected to their communities …

This government wants to ensure that aged-care services are accessible and equitable for all Australians, regardless of their background or where they live. That is why $630.2 million is being allocated to help Aboriginal and Torres Strait Islander people and special needs groups, as well as people living in regional, rural and remote communities, access aged-care services. The reform measures contained in the budget mean we are well down the pathway to realising a transformed aged-care system that is well resourced and provides high-quality, safe and compassionate care for the growing number of older Australians.

This budget allocates an additional $1.7 billion in child care, building on the $10.3 billion already provided annually. This is important in Cowper, where we have 87 registered childcare providers making a wonderful contribution to the lives of children and families on the North Coast. These vital services allow parents and caregivers greater choices. The additional funding in budget measures provides incentive and confidence for parents to either return to work or to work additional hours without additional burden. Of significance is the removal of the childcare subsidy annual cap of $10,560. This will make a positive difference to many of the 6,290 families utilising child care and family care in Cowper. Commencing in July 2022, the childcare subsidy for second and subsequent children in care will be increased by 30 percentage points, up to a maximum of 95 per cent.

The Morrison-McCormack government's total investment in early childhood education and care improves the affordability of child care for families with multiple children aged five and under. These measures will benefit around 1,370 families in the Cowper electorate. It gives families greater choice and flexibility to manage work and care. In addition to this, I make note of the $2 billion funding agreement to guarantee preschools for Aussie kids. The Morrison-McCormack government is allocating $2 billion over four years to guarantee $1,340 for every Australian child to attend preschool in the year before school. Imagine the head start that that will provide for kids entering kindergarten. Even better, imagine the fair start it will provide for all Australian kids. This will be a game changer for many kids in many families. The education system in Australia will reap the benefits of this life-changing education initiative. It is the first time in history that Commonwealth funding for preschools will be ongoing. This means that federal government funding for all stages of education in Australia is now guaranteed.

In this budget, tax relief for brewers and distillers will see the excise refund scheme cap increased from $100,000 to $350,000. This means all eligible brewers and distillers will receive full remission—up from 50 per cent—of any excise they pay on the alcohol they produce, up to a cap of $350,000 each financial year. This aligns the brewers and distillers with the wine producers rebate, placing all alcohol manufacturers and wine producers on equal footing. Around 600 brewers and 400 distillers will benefit from the $225 million in tax relief under this plan, and the measures will ensure the sustainability of the independent brewers and distillers in my electorate. It will support jobs and further grow Australia's alcohol manufacturing sector.

Local brewers in my electorate who will directly benefit include Sam and Amanda from the crew at Bucket Brewery in South Kempsey, Bellingen Brewing Co. in Bellingen, Black Duck Brewery in Port Macquarie, Moorebeer Brewing Co., Wicked Elf Beer in Port Macquarie, Maria River Distillery and King Tide Brewing in Coffs Harbour. Our incredible local brewing and distilling talent create award-winning products, investing in our communities through tours and tastings, sourcing local ingredients where they can and employing local people. This is value-adding at its best.

Importantly, this budget is the first step in delivering on our towards zero target to end violence against women and children. It represents the Commonwealth's down payment on the next national plan, which will commence in mid-2022, with further investment to follow after consultations, including the National Women's Safety Summit, to be held in July this year. Our investment includes a range of measures that will go to improving frontline responses, providing financial assistance and support, leading prevention, targeting services to women from diverse backgrounds, building on existing support in the family law system, providing better data for policy development, addressing women's safety at work and improving online safety. One of the highlights is that the government is investing up to $261.4 million under a new national partnership agreement on family, domestic and sexual violence, to be negotiated with the states and territories. This funding will bolster frontline family, domestic and sexual violence specialist services to ensure women and children can access timely support.

In conclusion, as a nation, we've fought through a year of uncertainty. Now we have a budget to provide certainty. This budget is the next stage of the government's economic plan to secure Australia's recovery. The tax incentives in this budget will support the recovery of our economy by putting more money back into the hands of individuals and businesses. The budget creates jobs, guarantees essential services and builds a more resilient and secure Australia. It does this with personal income tax cuts, business tax incentives, new apprenticeships and training places, more infrastructure, and record funding for schools, hospitals, aged care, mental health and the NDIS. This budget brings security and confidence in Australia's recovery, and I commend these appropriation bills to the House.

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