Chris Bowen (McMahon, Australian Labor Party, Shadow Treasurer) Share this | Link to this | Hansard source

My question is to the Treasurer. On Neil Mitchell's program last year, the Treasurer described leadership rumblings as, 'a bit of political bed-wetting by some'. A source in today's Financial Review, on the front page, describes coalition MPs who oppose a rise in the GST as 'bed-wetters'. Treasurer, is this a coincidence? When will the Treasurer finally come clean with the Australian people and his own colleagues about his plan to increase the price of everything, with a 15 per cent GST?

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

Before I call the Treasurer, I do not believe the first part of the question is within the standing orders. The very last part of the question, relating to tax, is. The Treasurer can address the issue of tax.

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

I thank the member for the question. I thought the shadow Treasurer might want to ask me something about the economy, the transition that is taking place or the issues that are happening in global markets—something like that—but he wants to focus on trivia.

Mr Dreyfus interjecting—

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

The member for Isaacs will cease interjecting!

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

I will give him some advice. I will give him some advice in relation to the last part of the question. I will quote someone else who was on radio today. In fact, the former Prime Minister and Treasurer, Paul Keating, was talking to Alan Jones this morning. Here is a bit of advice: 'When Commonwealth revenue has been so affected'—this is what Paul Keating said to Alan Jones—'the penny ought to drop that what we should be doing is cutting spending.' That is what the former Treasurer, Paul Keating—he was referring to me—said and has said for some weeks now. On this point, he is actually right.

What we are doing on this side of the House is reducing government spending as a share of the economy from 25.9 per cent down to 25.3 per cent. If we had done nothing over the last several years, it would have hit 26.5 per cent of GDP under the high-spending, high-taxing policies of those who previously occupied these benches. On this side of the House, we are absolutely committed to getting the fiscal consolidation plans implemented, because, at times like this, when we know of the volatility that is occurring globally and we have Australians looking at what could be happening to their savings and their investments and all of these things, they will look at these things with some uncertainty. That is why the government has to focus on strengthening our financial position and not engage in the reckless tax-and-spend approach which left this government with the reckless fiscal position those opposite bequeathed to us. As a government, we are focused on the task of strengthening our budget and strengthening our finances, and the former Treasurer, Paul Keating, says we have that right.