Catryna Bilyk (Tasmania, Australian Labor Party) Share this | Hansard source

While Mr Abbott and those opposite would like to pretend that it never happened, the global financial crisis was the most difficult global economic period since the Great Depression, and its effects are still being felt. There continues to be uncertainty in the global economy and, recently, the unusual combination of a persistently high dollar in the face of lower commodity prices has hit Australian company profits, which means the government is receiving less in taxation revenue than expected. In fact, over the last five years, government revenues have been written down by $160 billion. Revenue for 2012-13 alone has been written down by a staggering $20 billion. These dramatic falls in revenue put significant pressure on the federal budget. However, the government has a strong track record of making savings to reprioritise spending and maintain our budget position. In the mid-year review, we made $16.4 billion in savings, on top of over $130 billion in savings made over our last five budgets. We also have a strong record when it comes to making structural saves that have contributed to the long-term health of the budget position.

Indeed, if you look at the mid-year review we released last year, it took stock of these and other changes and reported that, without these savings, net debt would be $250 billion worse in 2020-21. Unlike the opposition's claim in this motion, we are spending less and making responsible savings. One of the most effective ways to assess government spending is to look at it as a proportion of GDP. Spending is at or below 24 per cent of GDP over the budget period, which is the longest sustained period of spending at this low level in over 30 years. In contrast, the Howard government was the highest taxing and most wasteful government in Australia's history. Research by the IMF shows that this government has made responsible spending decisions, while the Howard government clearly missed opportunities to effectively use the mining boom and strong global economic conditions to invest in Australia's future. The report again debunks the myth frequently repeated by Mr Abbott, Mr Hockey and those opposite that the Howard government exercised spending restraint.

This government's tough decisions have led to positive results for the Australian economy. Unlike the rest of the developed world, we avoided recession and saved hundreds of thousands of jobs. Our economy is now 13 per cent larger than it was when Labor came to office, while other advanced economies are still clawing back lost output. More than 800,000 jobs have been created since Labor came to office, while 28 million have been lost worldwide. The only jobs strategy the Liberal Party has is the slashing of jobs, straight out of the Campbell Newman and Barry O'Farrell playbook. We have strong public finances and low debt, with net debt expected to peak at one-tenth of that across major advanced economies. We are one of only seven countries that have a AAA credit rating, with a stable outlook, from all three ratings agencies. This was never, ever, achieved under the coalition.

The opposition talk about 'living within your means', and it is fine for the opposition to talk about fiscal responsibility. We welcome discussions like the one we are having today about fiscal responsibility. That is why we have given those opposite full and complete access to the Parliamentary Budget Office. Because the Australian people know that, while the braggart down the pub will tell you they climbed Everest, hit a century for Australia and knocked out Muhammed Ali, unless they show you the photos you know that they are, to put it politely, full of hollow boasts. Those opposite are full of hollow boasts. We have repeatedly called upon them to cost their policies using the expertise of the Parliamentary Budget Office. They have refused.

Those opposite have said they will release their costings before the election. Unlike those opposite who appear not to trust anyone or anything, I do trust that they will release their costings before the election, although I suspect it will be on 13 September. It is irresponsible for those opposite to make promises of more spending, lower taxes and higher surpluses without detailing how they are going to pay for it. It is meaningless to announce policies without providing credible costings. Costings are only credible if they have been verified by Finance and Treasury or the independent Parliamentary Budget Office and released publicly. Costings are not credible when they have been prepared by a private firm acting in the interests of their client rather than in the public interest.

It is imperative that those opposite release their costings and release all their policies, because there is great fear in Tasmania, my home state, about what will happen were those opposite to get into government. There is growing outrage at Mr Abbott's plans to strip $700 million in GST revenue from Tassie's budget to boost the coffers of his Western Australian state Liberal mates, and there is growing fear about Mr Abbott's leaked 'Vision 2030'—