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

In the broad, of course, there is a range of programs available across government that do the sorts of things that Senator Xenophon is suggesting. The question for government at all times is a question of competing priorities and balancing, and making judgements on those competing priorities. In the budget that is what we have done. In the budget we have made judgements on these priorities, according to what we believe is in the best interests of the Australian economy.

Now, these are matters of judgement. We have made the judgement that Australians on average full-time wages should get this tax cut. We are very grateful that the Labor Party has made the same judgement. We are very grateful that Senator Hanson and the One Nation Party have made the same judgement. We respect the fact that you have made another judgement and that the Greens have made another judgement. That is why, ultimately, these matters get resolved by a vote in the Senate. That is the way the process works.

We believe that the level of expenditure through the industry portfolio in relation to the matters that you raised is right, according to how it is reflected in the budget. We do not believe that we ought to increase expenditure beyond what is currently budgeted, based on what we know today. Down the track, at every budget update and in every budget, obviously there is an opportunity to reassess the fiscal discipline that we impose on ourselves—of course.

If we need to spend more on a higher priority it means that we have to find a saving, a spending reduction, in another part of the budget, because our spending overall is increasing too fast. Our spending as a share of GDP is too high and we have to continue to bring that down to make it more sustainable and more affordable in the economy. But, fundamentally, I agree: these are judgements. The government has made a judgement. On this occasion, the Labor Party supports our judgement—we are grateful for that. Others, like Senator Hanson-Young, support our judgements—we are grateful for that. You will pass a different judgement, and you are entitled to do that. Sorry—that was Senator Hanson!