Mathias Cormann (WA, Liberal Party, Minister for Finance) Share this | Hansard source

I thank Senator Xenophon for those further questions. It is true that these bills contribute to budget repair, but it is also true that increasing the price of cigarettes via taxation has proven to be one of the most effective ways of reducing tobacco consumption and preventing the uptake of smoking. Each year smoking kills an estimated 15,000 Australians. It costs Australia about $31.5 billion in social and economic costs. While smoking rates have been decreasing, about 2.6 million Australians still smoke. We do require further action to decrease smoking rates and to consolidate the gains that have been made.

As I indicated earlier, the government recognises that quitting smoking is difficult, and there are a range of programs provided by the government, including the Quitline telephone information and counselling service for people who want to quit smoking, and subsidies for nicotine replacement therapies. The government is also addressing high smoking rates in Aboriginal and Torres Strait Islander communities through the Tackling Indigenous Smoking program. In the 2016-17 to 2017-18 years, up to $81.5 million has been allocated to achieve a variety of tobacco reduction outcomes. These bills are important pieces of legislation that contribute to the overall effort to reduce the rate of smoking in Australia and also help to repair the budget.