Fiona Scott (Lindsay, Liberal Party) Share this | Link to this | Hansard source

My question is to the Treasurer. Will the Treasurer advise the House of the importance of a stronger budget at this delicate time for our transitioning economy? Is the Treasurer aware of any alternative approaches that would discourage innovation, investment and growth?

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

I thank the member for Lindsay for her question. She is right—this is a very critical time for our economy as we continue on this successful transition from the mining construction boom to a more diversified economy where all of our sectors can move forward. We say that at the same time as recognising that in many parts of the country that transition is being felt with more difficulty than in others—particularly with the member for Herbert, most recently, and the members for Dawson and other places in North Queensland, we understand that transition is hard felt. But as we look across the economy, we are making way in what is a very tough economy. Our economy is growing overall—some three per cent last year. Jobs are growing—some 440,000 since the last election and, most importantly, more than 50,000 jobs for young people in the last 18 months, seeing that youth unemployment rate fall down below the rate it was at the last election.

This budget that will come down on 3 May this year will be that economic plan that sets us up, that meets the challenges that we face as we continue to manage this very successful transition. We will do that by clearing the way for jobs and growth in a stronger and new economy. We will do that by supporting investment, by supporting innovation, by supporting the infrastructure and the procurement practices that drive jobs and growth, particularly in our shipbuilding industry where those important announcements have been made already this week. We will do it through better targeting of our tax system to make sure that it is sustainable to meet the challenges ahead, to ensure that it is fairer and to ensure that it is doing its job and that we do not put the $100 billion tax burden—which those opposite would propose to do—on our economy over the next 10 years. We will ensure that the government continues to live within its means because we know householders are doing it, we know businesses are doing it, and we know the government has to do it.

But there are alternative approaches. The Leader of the Opposition today gave what you would call—what he thought was—his election starting address. I am happy to table it for the House. In his election address, not once is there a reference to the economy or budget—not once, not one reference to the economy or budget. That is not surprising, because they would have to then explain why they want to put a $100 billion tax burden on the Australian economy over the next 10 years and why they want to put a tax on investment in this country, a 50 per cent increase in capital gains tax, and abolish negative gearing, which would mean a hit to mum-and-dad investors, to police officers, to nurses. I note that the Leader of the Opposition has not been saying much about negative gearing for a while. Maybe he knows, maybe he has worked out, that the shadow Treasurer has led him down a very, very bad path. (Time expired)