Louise Markus (Macquarie, Liberal Party) Share this | Link to this | Hansard source

My question is to the Treasurer. Will the Treasurer update the House on efforts to modernise Australia's economy and increase economic growth and jobs through competition reform? How do competition and productivity encourage innovation and efficiency to provide greater choice and improved services?

Scott Morrison (Cook, Liberal Party, Treasurer) Share this | Link to this | Hansard source

I thank the member for Macquarie for her question. As members may be aware, today the government outlined our response to the Harper review of competition policy. The government have accepted, wholly or in part, 44 of the 56 recommendations and have rejected none, because we know that, if you want to grow the economy and grow jobs, you need to have greater choice for consumers and you need to deliver better services.

That is why our response to the Harper review, which was released just before question time, comes together with and forms part of the broader platform for growth and jobs in our economy, whether it is by freeing up new markets, whether it is through our $50 billion national infrastructure plan that is being rolled out or whether it is through having a tax system that ensures that we can remove the impediments that have held back Australian businesses and Australians who are out there working and saving and investing every day.

What we have announced today is part of a competition and productivity agenda, because we as a government know that over the next 10 years we will not have the situation that, in particular, those opposite had, where commodity prices and the terms of trade could paper over their inability to deal with productivity challenges, and we know—

Ms Ryan interjecting—

Tony Smith (Speaker) Share this | Link to this | Hansard source

The member for Lalor is warned!

Scott Morrison (Cook, Liberal Party, Treasurer) Share this | Link to this | Hansard source

that right across the economy, at every level of government, you need to pursue the micro-economic reforms that are going to shore up and improve the living standards of Australians so that they can earn more and so that, as a result, the government can raise more and we can not only be in a position to fix the budget but also ensure that Australians are better off. Our response today to the Harper review is about better services, it is about greater choice and it is about a stronger economy.

We know that the previous reforms under the Hilmer process, which was started by those opposite and embraced by those on this side of the House, ensured an increase in GDP of 2½ per cent. What we have said through our response to the Harper review today is: 'We want to go with Hilmer mark 2.' We want to put in place a system of competition payments and of productivity payments, and work with the states and territories to ensure that they can focus on reforms in areas like planning and zoning, retail trading hours, road financing and infrastructure funding. Those are the areas that we know will grow the economy and grow jobs.

We are going to work consultatively and collectively with the states and territories to drive those reforms at a micro level, which will ensure jobs for future generations of Australians and ensure that we can deal with the growth in our services economy, particularly social and human services, because that is where the growth is. Young people who are coming out of school today or at training colleges and universities are going to find jobs in the health services sector and the human services sector, and Australia will be a leading provider of these services to the rest of the world. Our response today to the Harper review ensures that we have a clear plan for realising that opportunity.