Chris Bowen (McMahon, Australian Labor Party, Shadow Treasurer) Share this | Link to this | Hansard source

My question is to the Treasurer. I refer to the Treasurer's statements yesterday in question time about the importance of reducing government spending. Is government spending this financial year expected to be higher or lower than the level of spending forecast for the same year at the time of the last election?

Scott Morrison (Cook, Liberal Party, Treasurer) Share this | Link to this | Hansard source

I thank the member for the question. Expenditure as a percentage of GDP in this year's budget is forecast to be at 25.9 per cent, which is higher than at the time of the last election. It is—

Opposition Members:

Opposition members interjecting—

Tony Smith (Speaker) Share this | Link to this | Hansard source

Members on my left will desist. The Treasurer will resume his seat.

Mr Albanese interjecting—

The member for Grayndler will cease interjecting. The Treasurer is no more than about 20 seconds into his answer. The member for McMahon has asked a question. Members on my left will cease interjecting—there is a wall of noise. The Treasurer is entitled to answer the question.

Scott Morrison (Cook, Liberal Party, Treasurer) Share this | Link to this | Hansard source

Unlike those opposite, we have a plan to control expenditure over the budget and forward estimates, and I can report to the House that this year it is estimated to be 25.9 per cent; next year it will fall to 25.5 per cent and the year after that to 25.3 per cent. We have a plan to control expenditure over the budgets and forward estimates. Those opposite have $57 billion of outstanding commitments and calls on the government purse to restore expenditure that this government has been able to get under control. I find it somewhat passing strange that those opposite are raising the issue of expenditure in this place when they left this country in the mess that they did with their fiscal recklessness.

Just before the last election there was a PEFO—you will remember it, Mr Speaker—that contained many assumptions. One of those assumptions was that some thousands of people would continue to arrive by boat, yet they did not account for $1.2 billion worth of expenditure that was necessary to ensure that we could deal with the recklessness that those opposite left behind.

Opposition members interjecting—

Mr Brendan O'Connor interjecting—

Tony Smith (Speaker) Share this | Link to this | Hansard source

Members on my left! The member for Gorton will cease interjecting.

Scott Morrison (Cook, Liberal Party, Treasurer) Share this | Link to this | Hansard source

In addition to that it assumed there would be a carbon tax. It also assumed there would be a mining tax and, more than that, it assumed the mining tax would actually raise revenue. When we look at the record of those opposite, what we know is that we on this side are a government that wants to help people work, save and invest. On that side they want to spend, they want to tax and they want to borrow.