Joe Hockey (North Sydney, Liberal Party, Shadow Treasurer) Share this | Link to this | Hansard source

My question is to the Treasurer. I refer the Treasurer to his own budget speech, where he said, just three months ago:

We will be back in the black by 2012-13, on time, as promised.

The alternative—meandering back to surplus—would compound the pressures in our economy and push up the cost of living for pensioners and working people.

Treasurer, do you stand by your words?

Wayne Swan (Lilley, Australian Labor Party, Treasurer) Share this | Link to this | Hansard source

I stand by the budget and I stand by the government's commitment on the surplus. Let us be very clear about that because there is a very clear contrast. We on this side of the House have a commitment to a set of strict fiscal rules, and they on that side of the House have a $70 billion black hole. The contrast on fiscal policy could not be clearer. We on this side of the House understand the importance of putting in place strict fiscal policy. When we moved to stimulate our economy in 2009 we outlined a very clear and consistent set of fiscal rules, and we have been applying those fiscal rules in a clear and consistent way. In fact, we went through the whole election campaign last year and did not spend an extra dollar, but what we found out after that campaign was that there was a $10 billion hole in the estimates of the opposition.

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

The Treasurer will relate his remarks to the question.

Wayne Swan (Lilley, Australian Labor Party, Treasurer) Share this | Link to this | Hansard source

So their record on fiscal policy is in tatters. Now there is a $70 billion hole. It has gone from $10 billion to $70 billion in—

Joe Hockey (North Sydney, Liberal Party, Shadow Treasurer) Share this | Link to this | Hansard source

Mr Speaker, I raise a point of order. It was a simple question: does he stand by his words about bringing the budget back to surplus and, if he does not, the impact on pensioners and working—

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

The member for North Sydney will resume his seat. He cannot add matter to his question.

Anthony Albanese (Grayndler, Australian Labor Party, Leader of the House) Share this | Link to this | Hansard source

Mr Speaker, to every question of the opposition every day we have a point of order where they rephrase the question. Such activity is clearly out of order.

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

I invited the member for North Sydney to resume his seat. I will remind the member for North Sydney, if he was not interjecting, I did tell the Treasurer to relate his remarks to the question and I expect him to do so. The Treasurer has the call and he should be heard in silence.

Wayne Swan (Lilley, Australian Labor Party, Treasurer) Share this | Link to this | Hansard source

We are proud of our budget. Our budget has the backing of the rating agencies and the International Monetary Fund. If there is a choice between the shadow Treasurer and the International Monetary Fund, I know which one I would take. This is what the International Monetary Fund has said about our budget and our fiscal policy: 'We commend the authorities'—

Joe Hockey (North Sydney, Liberal Party, Shadow Treasurer) Share this | Link to this | Hansard source

Do you stand by your words?

Wayne Swan (Lilley, Australian Labor Party, Treasurer) Share this | Link to this | Hansard source

Of course I stand by the budget. I am proud of the budget.

Opposition members interjecting—

Mr Hockey interjecting—

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

Order! The member for North Sydney is warned.

Wayne Swan (Lilley, Australian Labor Party, Treasurer) Share this | Link to this | Hansard source

He is very embarrassed about that $70 billion black hole.

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

The Treasurer will return to the question.

Wayne Swan (Lilley, Australian Labor Party, Treasurer) Share this | Link to this | Hansard source

Yes. I come back to fiscal policy, which is what the question was about. It was about the surplus. By any definition the surplus is fiscal policy. I know that is not understood on that side. The Leader of the Opposition, bored by economics, thinks economists are stupid.

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

The Treasurer will relate his remarks to the question.

Wayne Swan (Lilley, Australian Labor Party, Treasurer) Share this | Link to this | Hansard source

I am. This is what the IMF has had to say:

… we commend the authorities for remaining committed to returning the Commonwealth—

Mr Simpkins interjecting—

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

Order! If the member for Cowan has been practising over the winter recess there are vacancies on the Speaker's panel and he might learn how hard it is. He should sit there quietly. The Treasurer has the call.

Wayne Swan (Lilley, Australian Labor Party, Treasurer) Share this | Link to this | Hansard source

I was quoting the IMF:

We commend the authorities for remaining committed to returning the Commonwealth budget to surplus by 2012-13.

The IMF went on:

This consolidation is faster than in many other advanced economies and is more ambitious than earlier envisaged—

Christopher Pyne (Sturt, Liberal Party, Shadow Minister for Education, Apprenticeships and Training) Share this | Link to this | Hansard source

I rise on a point of order. The Treasurer is defying your ruling to be directly relevant to the question.

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

Which point of order is—

Christopher Pyne (Sturt, Liberal Party, Shadow Minister for Education, Apprenticeships and Training) Share this | Link to this | Hansard source

I am pointing out to you that he is defying your ruling to be directly relevant to the question that was asked.

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

There is no point of order. The Treasurer has the call and he will directly relate his material to the question.

Wayne Swan (Lilley, Australian Labor Party, Treasurer) Share this | Link to this | Hansard source

I am proud of the budget. I stand by the fiscal commitments in the budget. I wrote the budget. Of course I stand by the budget. I do not know what you are on about. I honestly do not know what you are about. What I do think you are on about is the embarrassment of the $70 billion black hole in your lack of fiscal policy.