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

I thank Senator Farrell for that question. Senator Farrell will be pleased to hear that Senator Birmingham and I are of one mind, and that is that there is nothing to fight. I should tell you that you shouldn't always believe everything that is written in the newspaper, because it does happen on occasion that newspapers cut corners and write things that are not entirely accurate.

What I said yesterday is 100 per cent true: there is no proposal right now before government. What is taking place right now—and it's a matter of public record and was announced by the Treasurer some time ago—is a Productivity Commission inquiry into horizontal fiscal equalisation to assess to what extent horizontal fiscal equalisation is impacting on national productivity and growth. That will ultimately report. So far there's been a draft report, of course, as we've also discussed. Earlier this week the Productivity Commission asked the Treasurer for a delay in the date for the delivery of the final report. When that report has been received, the government will consider it.

I confirm what I said to the Senate consistently all week: there is no proposal before government along the lines the Labor Party has suggested. I think you'll find that Senator Birmingham, who is nodding—because Hansard doesn't pick up nods—and I are 100 per cent on the same page.