Mike Symon (Deakin, Australian Labor Party) Share this | Link to this | Hansard source

My question is to the Prime Minister.

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

Madam Deputy Speaker, I rise on a point of order. The Leader of the Opposition was on his feet to seek the call, and the opposition has not yet had a question. There has been no question from this side of the House.

Ms Anna Burke (Chisholm, Deputy-Speaker) Share this | Link to this | Hansard source

The member for Sturt was the first to seek the call after I asked for any questions to be put, and I gave it to the opposition. I am now, in turn, giving it to the government. The member for Deakin has the call.

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

Madam Deputy Speaker, on the point of order, while I do not wish to clash with you so early in your tenure in the chair—

Ms Anna Burke (Chisholm, Deputy-Speaker) Share this | Link to this | Hansard source

After your last motion, I am beginning to have my doubts.

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

Madam Deputy Speaker, I did not seek the call for a question. I, within my rights, sought the call to seek leave to move a motion and then moved a suspension when that was not granted. Therefore, the call remains with the opposition.

Ms Anna Burke (Chisholm, Deputy-Speaker) Share this | Link to this | Hansard source

The member for Sturt will resume his seat. Whilst I appreciate that, I gave him the call on that basis and on that basis I am now giving the call to the member for Deakin.

Mike Symon (Deakin, Australian Labor Party) Share this | Link to this | Hansard source

My question is to the Prime Minister. How will tonight's budget lay out a practical plan for Australians and their families to return to surplus and deliver on Labor values?

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

I thank the member for Deakin for his question, and I thank him for his deep interest in the economy, knowing that it offers jobs and prosperity to working Australians. I thank him for his deep interest in the budget, knowing that it matters to working Australians that tonight's budget responds to the needs of our economy, bringing the budget to surplus whilst of course protecting front-line services for families and building the things that our nation will need for the future, like a National Disability Insurance Scheme, like a better aged-care system and like a better way of looking after the dental needs of Australians who most need our care and concern for their dental care.

There is no clearer sign of a strong economy than a surplus, and in tonight's budget we will bring the budget to surplus. We have achieved that despite the global financial crisis and despite continued uncertainty in the global economy. Bringing the budget to surplus is the right economic measure now. It will give us a buffer should the global economy take a downturn in the future and it offers the Reserve Bank the maximum room to move on interest rates should it choose to do so. Members in this parliament—or at least on this side of the chamber—would have recognised the relief that many Australians felt when interest rates were reduced by the Reserve Bank in their recent decision, helping people pay the mortgage because of the pressure of the mortgage on Australian family budgets.

I understand, and the government understands, that Australians are concerned about cost-of-living pressures, and we will continue to work with families to help them make ends meet. That is why we are investing more money in child care than ever before. That is why we instituted a paid parental leave scheme. That is why we have worked to ensure that the tax-free threshold will be tripled so people can see more of the benefits of work in their hands. And that is why we are also introducing a schoolkids bonus, so families can get the benefits of dollars in their hands as they pay for the costs of kids going to school. We know that those school bills, whether they are for excursions or uniforms, can put a lot of pressure on working families.

Tonight's budget will be a practical plan for Australia to return to surplus and to deliver on Labor values. It will be a truly Labor budget that goes in to bat for millions of Australians on low and middle incomes. They are the people that we have been concerned about as we have put the budget together. It is a budget that goes in to bat for them whilst delivering a budget surplus, the right choice for our economy now.

Tony Abbott (Warringah, Liberal Party, Leader of the Opposition) Share this | Link to this | Hansard source

My question is to the Prime Minister. Will the Prime Minister rule out an increase in Australia's debt ceiling beyond the current $250 billion limit in tonight's budget? How can the government claim to have the budget in surplus when debt continues to rise and rise and rise?

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

I am moderately surprised to get a question from the Leader of the Opposition on the economy. I cannot recall the last time the Leader of the Opposition ever asked me anything about the economy. So in these very unusual circumstances let me address the Leader of the Opposition's question. I understand that the Leader of the Opposition is going into the budget lockup. When he does so, I suggest that he does look at that part of the budget that talks about the questions that he raises with me, and then he can come back tomorrow with a rephrased question. That is what I would say to the Leader of the Opposition first and foremost, because the image he has tried to create in people's minds is a wrong image.

As usual, the Leader of the Opposition comes into this place making wild and inaccurate claims about the Australian economy. We know, of course, that this follows a long stream of inaccurate claims about the Australian economy and particularly about Australian debt. We have had opposition spokespeople going around claiming that our nation is like one of the nations in Europe. They have been going around trying to spread fear in Australia about the circumstances of our economy. That is, the opposition have believed it is their mission to talk our economy down. The Leader of the Opposition should know, if he knew anything about economics, that in this country we will see net debt peak at less than 10 per cent. That is compared to economies in Europe where net debt is in the order of 80 and 90 per cent. The Leader of the Opposition knows that.

On questions of what will be in the budget, we will have plenty of time to address that. But I would say to the Leader of the Opposition that when we do work through the budget details revealed tonight he ought to come to this debate acknowledging that the Australian economy is strong in its fundamentals. He should stop talking the Australian economy down. He should acknowledge we came out of the global financial crisis strong because we supported the jobs of working Australians, the government working with responsible employers and trade unions to save 200,000 jobs. He should acknowledge that as a result we have an unemployment rate that is the envy of the world and is half of the unemployment rate being experienced by many in Europe and is well below the unemployment rate of the US. He should acknowledge that our economy has strong fundamentals. That does not mean that there are not Australian businesses facing stress and strain with a strong dollar, but talking our economy down will not help those businesses. And for the first time ever the Leader of the Opposition should walk in here on Thursday with an economic plan, not a load of old rhetoric.

Tony Abbott (Warringah, Liberal Party, Leader of the Opposition) Share this | Link to this | Hansard source

Madam Deputy Speaker, I ask a supplementary question. How can the Prime Minister claim that the budget is in surplus when tonight's document will show that the government plans to increase the debt ceiling from $250 billion unless, yet again, this government is cooking the books?

Ms Anna Burke (Chisholm, Deputy-Speaker) Share this | Link to this | Hansard source

The last part of the question was out of order. The Prime Minister has the call.

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

Can I suggest to the Leader of the Opposition that in an area that concerns the economy, rather than just coming in here and pretending he knows, why doesn't he try this: why doesn't he try walking into the budget lock-up and reading the budget documents? It might well be a first. He might never have put his hands on a budget document before. He might never have had to worry his pretty little head about all of the figures in the budget but, just for once, he might want to go into the budget lock-up, get out the budget documents, study the tables, study what he said about the strength of the Australian economy, study the words that are said about questions like surplus, analyse them—

Tony Abbott (Warringah, Liberal Party, Leader of the Opposition) Share this | Link to this | Hansard source

I rise on a point of order, Madam Deputy Speaker, on direct relevance. Is there going to be an increase in the debt ceiling in tonight's budget?

Ms Anna Burke (Chisholm, Deputy-Speaker) Share this | Link to this | Hansard source

It is not a time for argument.

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

I am inviting the Leader of the Opposition to study the budget, to study what it says on questions of surplus, to study what it says on the fundamentals of the Australian economy, and to study too what it says on questions of debt and the debt cap. The Leader of the Opposition ought to do that, ought to think about it and ought to actually deal with these facts instead of coming into this parliament and trying to create in the Australian community concern about the Australian economy and fear, which he has been peddling since the first day that he sat in the chair of the Leader of the Opposition. No-one will take him seriously unless he comes into this parliament on Thursday with an alternative fully-costed economic plan.

With those words I do note, because of the time-wasting of the opposition, we are at the end of question time. I ask that further questions be placed on the Notice Paper.