Jan McLucas (Queensland, Australian Labor Party, Shadow Minister for Mental Health) Share this | Link to this | Hansard source

My question is to the Assistant Minister for Health, Senator Nash. I refer to the minister's answer in question time yesterday, when she said:

… there have been no cuts to the flexible funds as announced in the budget.

I also refer to the minister to page 110 of Budget Paper No. 2, which states:

The Government will achieve savings … over five years from 2014-15 by rationalising and streamlining funding … including:

• the Health Portfolio Flexible Funds …

Will the minister now correct the record?

Fiona Nash (NSW, National Party, Assistant Minister for Health) Share this | Link to this | Hansard source

I assume I would be correct in taking the senator's comment as referring to my saying 'It is not a cut to the flexible funds.' I was indeed referring to the CO-OPS program that the senator did raise yesterday. It was a direct reference. The senator asked me specifically about the CO-OPS program—

Penny Wong (SA, Australian Labor Party, Leader of the Opposition in the Senate) Share this | Link to this | Hansard source

Mr President, I rise on a point of order. I think the minister is misstating what she said yesterday. She said, 'It is not a cut to the flexible funds.'

Stephen Parry (President) Share this | Link to this | Hansard source

That is a debating point, Senator Wong. The minister is in order.

Fiona Nash (NSW, National Party, Assistant Minister for Health) Share this | Link to this | Hansard source

I am a little confused because the senator clearly asked me yesterday about the co-ops program. The Hansard, which I indeed have in front of me, says, as Senator Wong, the Leader of the Opposition in the Senate has just quoted herself, 'It is not a cut to the flexible funds.' I was referring to the CO-OPS program.

Jan McLucas (Queensland, Australian Labor Party, Shadow Minister for Mental Health) Share this | Link to this | Hansard source

Mr President, I ask a supplementary question. I again refer to the minister's answer in question time yesterday, which stated that the figure of an $800 million cut to the flexible funds is incorrect. Given that evidence from her department at the recent budget estimates confirmed a $596 million cut from the health flexible funds in this year's budget, as well as a $197 million cut in the 2014 budget, will the minister now correct the record? (Time expired)

Fiona Nash (NSW, National Party, Assistant Minister for Health) Share this | Link to this | Hansard source

My comment yesterday about the $590 million was relating to this year's budget. If that was not clear in Hansard, that was indeed my intent. I was looking at the context of this year's budget; I was not referring to last year's budget. It is very clear that we have said there will be some cuts to the flexible funds as a result of this year's budget—the $590 million. Can I add that it is of funds to the value of $12 billion—it is a 2.8 per cent increase over the next three years that will determine those cuts. It is very important that we focus on the facts.

Jan McLucas (Queensland, Australian Labor Party, Shadow Minister for Mental Health) Share this | Link to this | Hansard source

Mr President, I ask a further supplementary question. I ask again, as I did yesterday: will the minister guarantee that all organisations funded through the flexible funds will have their funding extended?

Fiona Nash (NSW, National Party, Assistant Minister for Health) Share this | Link to this | Hansard source

As I said yesterday, there have been no decisions taken yet about any changes to the funding arrangements for the flexible funds. I was very clear about that. The government has also been very clear that we do need to fix the economic mess that the previous Labor government left us. Even the shadow foreign minister, Catherine King, said:

… the opposition would be kidding itself if it didn't recognise there were challenges in the budget and that savings needed to be found … There is no area that is going to be exempt …

Claire Moore (Queensland, Australian Labor Party, Shadow Minister for Women) Share this | Link to this | Hansard source

Mr President, I rise on a point of order on relevance. It was a very clear question about continuing funding extensions for all organisations under the flexible funds. I ask you to direct the minister to that question.

Stephen Parry (President) Share this | Link to this | Hansard source

I did hear the minister say that no decision had yet been made and I took that to be directly relevant to the question.

Fiona Nash (NSW, National Party, Assistant Minister for Health) Share this | Link to this | Hansard source

As I was saying, Catherine King, the shadow minister, said:

There is no area that is going to be exempt … We have to look across the board.

The question is, what would Labor be cutting?