Bob Brown (Tasmania, Australian Greens) Share this | Link to this | Hansard source

My question without notice is to the Minister representing the Treasurer, Senator Conroy. I note that the tax cuts in the budget will deliver the Prime Minister and the Treasurer $116 a week in extra take-home pay within two years. Minister, why couldn’t the government afford one measly dollar extra in take-home pay for Australia’s one million pensioners, the working people of this country over the last half century?

Stephen Conroy (Victoria, Australian Labor Party, Deputy Leader of the Government in the Senate) Share this | Link to this | Hansard source

I thank the senator for that question. The budget measures announced last night put fairness and integrity back into the income support and tax system. They do this by targeting assistance to those in need and by improving payment delivery. It is now clear that those opposite suddenly believe in welfare for all.

Eric Abetz (Tasmania, Liberal Party, Deputy Leader of the Opposition in the Senate) Share this | Link to this | Hansard source

He’s on your side.

Stephen Conroy (Victoria, Australian Labor Party, Deputy Leader of the Government in the Senate) Share this | Link to this | Hansard source

I am actually referring to those opposite quite deliberately. The Rudd government believe that these measures should be targeted to those who need them the most. In last night’s budget, the government announced several reforms to improve the fairness and integrity of the tax and transfer systems. In the budget, we delivered all of our election promises.

Michael Ronaldson (Victoria, Liberal Party, Shadow Special Minister of State) Share this | Link to this | Hansard source

Mr President, I rise on a point of order. I think Senator Brown would want me to ask you to ask the minister to get back to the question as to why there was not one single cent extra in this budget for pensioners.

Alan Ferguson (President) Share this | Link to this | Hansard source

Senator O’Brien, on the same point of order?

Kerry O'Brien (Tasmania, Australian Labor Party) Share this | Link to this | Hansard source

Mr President, on the same point of order: firstly, the introductory remarks of Senator Conroy are quite in order. It is common for ministers to be allowed to include some preliminary comments in dealing with the question. Secondly, the question concerned matters relating to tax. They were the numbers, as I recall, that Senator Brown referred to, and Senator Conroy is dealing with tax. I would have thought that was entirely in order.

Alan Ferguson (President) Share this | Link to this | Hansard source

On the point of order, the minister is allowed to expand on his answer by preliminary statements. It is true that the question was asked about tax. It was also asked about the Prime Minister and the Treasurer. I would remind the senator of the question.

Stephen Conroy (Victoria, Australian Labor Party, Deputy Leader of the Government in the Senate) Share this | Link to this | Hansard source

As I was saying, this government has delivered on all its election commitments. The government understands that age pensioners are under financial pressure. The cost of the basics like food, petrol, gas and electricity just keeps going up. Food prices have risen 2.1 per cent in the last quarter and 5.7 per cent over the year—that would be the year those opposite were in government. Unlike those opposite, we understand there is an inflation problem. Unlike those opposite, who cannot quite make their minds up, we are responsible economic managers committed to fighting inflation. We understand the pressure inflation puts on seniors as they try to get by.

We understand the pressure. That is why we are delivering our election commitments and providing extra support to seniors. This includes an increased utilities allowance from $107.20 to $500 a year and an increased telephone allowance for those with an internet connection from $88 to $132 from the fortnight beginning 20 March. The first quarterly instalment of these payments was made in March and another is due in June. These increases are ongoing and are locked in for the future. Plus, we are working to deliver our commitment to index pensions for age pensioner households by whichever living cost index is higher—that is, the consumer price index or male average weekly earnings. We are also pursuing reciprocal transport concessions for state senior card holders, to be in place by 1 January 2009. These measures are a start, but more needs to be done. The recent Senate inquiry into cost of living pressures— (Time expired)

Bob Brown (Tasmania, Australian Greens) Share this | Link to this | Hansard source

Mr President, I ask a supplementary question. Of course, there is not a measly dollar. I refer to a letter I have had today from a Tasmanian pensioner saying, ‘We have to look at the groceries, not buy them,’ and: ‘No meat, I can’t afford that. No entertainment, that’s out all together.’ The letter goes on: ‘Operation on eyes—$2680. Because I couldn’t afford medical benefits I had to save for months.’ It concludes, ‘This is what you call a starvation diet.’ I ask the minister again how he can justify the tax cuts for the wealthy, including $116 for the Prime Minister and Treasurer, but not one measly dollar in income to the pensioners?

Chris Evans (WA, Australian Labor Party, Leader of the Government in the Senate) Share this | Link to this | Hansard source

That is just not true. There is a $500 utility allowance, as promised.

Stephen Conroy (Victoria, Australian Labor Party, Deputy Leader of the Government in the Senate) Share this | Link to this | Hansard source

That is right; we have delivered our election promises. Senator Brown may choose to ignore the facts, but those are the facts. As I was saying, the recent Senate inquiry into the cost of living pressures on older Australians, which was initiated by Labor last year, called for an examination of the adequacy of the age pension. The tax review the government has announced will examine how the Australian social support system provides for future economic security, including for older Australians. We have seen a health package. We have seen a package for public hospitals. All of these measures benefit age pensioners. So let us be clear: we have delivered on our commitments. We have said that this is not the end of the story. We are not going to have Senator Brown or those opposite misrepresent this government. We have delivered on our promises absolutely 100 per cent. (Time expired)