Kelly O'Dwyer (Higgins, Liberal Party) Share this | Link to this | Hansard source

A few weeks before delivering his sixth budget, his fifth deficit, the Treasurer penned an essay saying how important it was to get the big economic calls right. Well, I could not agree with him more. It is just a pity that he has not yet managed it. With a $300 billion debt, with $192 billion worth of deficits and with interest bills of more than $35 million a day, it is very clear that this Treasurer has not been able to get the big economic calls right.

I rise today to speak on a change that has been brought forward in this budget to rip $500 million out of education—out of self-education expenses. This is a piece of policy that the government is introducing because of its fiscal mismanagement.

Up until now, many in this House would be aware, professionals have been able to deduct from their tax the expenses that they incur through training and further education. The logic of course is fairly obvious: to incentivise, through tax relief, so that people will continue to upskill themselves, to further their education, and to further their professional development. With no warning at all the government imposed a cap on the total claimable amount to $2,000 per annum. The Treasurer justified this by saying:

Without a cap on the amount that can be claimed under this deduction, it's possible to make large claims for expenses such as first class airfares, five star accommodation and expensive courses.

The Treasurer basically claimed that the system was being rorted, yet no evidence was produced to support these claims. It reminds me of the Minister for Immigration, who claimed the 457 visas were being rorted. When he was challenged on the basis on which he made his claims, he said, 'Well, I just made it up'. I suppose the Treasurer has done much the same.

Clearly, he has not consulted anybody who actually has to make these claims when he said that a typical claim is usually around $905, and therefore falls very much below the cap. Anyone in the medical profession would tell you otherwise. The Royal Australasian College of Surgeons Early Management of Severe Trauma course costs $2,735. It is a mandatory course taken by all surgeons, and exceeds the cap in one hit. On top of this, many courses are only available overseas. I will read into the Hansard a letter from one very concerned doctor, who said this to me:

The Medical Board of Australia and medical colleges require doctors to maintain their skills through continuing professional development, while hospitals have in place credentialing systems as part of quality assurance arrangements. The cost of the education and training required to comply with these regimens are significant and generally well above $2000 per annum. For example, the Australian and New Zealand Surgical Skills Education and Training (ASSET) program cost is $3280, the Care of the Critically Ill Surgical Patient course cost is $2735, while a GP attending the Clinical Emergency Management Program (CEMP) workshops can face combined costs of over $3000. These types of courses equip doctors with essential skills in caring for patients, yet from the government's approach, they appear to be regarded as excessive. Doctors must also travel both within Australia and overseas to learn about the latest medical research and innovations, innovative surgery techniques, and advances in overall patient care.

Rural doctors are often unable to access this type of training locally and would seem to be particularly penalised by the government's policy change. The government's policy will hit junior doctors, salaried doctors, GPs and other specialists alike and is simply not in the public interest. It will create a huge disincentive for doctors to pursue specialised education that could help save lives and improve the quality of life for many Australians.

So there you have it. Another recently qualified haematologist wrote:

This initiative is mean-spirited, short-sighted and deeply disturbing. This policy is the antithesis of supporting a 'knowledge nation'. No profession better exemplifies lifelong education, teaching and learning than ours,—

That is, the medical profession—

and this proposed budget cut sends the message loud and clear that the Labor Government does not value education.

And it certainly does not. It has written more than $2.8 billion out of education. So much for the education revolution.

Why does the government need this money? The government needs this money because it has substantially mismanaged the economy. It has definitely got its priorities wrong. It promised a surplus more than 500 times and has delivered deficit after deficit. That is why this government is going after $500 million of education expenses. (Time expired)