Julia Gillard (Lalor, Australian Labor Party, Deputy Prime Minister) Share this | Hansard source

I thank the member for his very clear question. In responding to the member’s very clear question, I know that he has a very deep concern for the circumstances of working families in his electorate and particularly providing assistance to working families with the cost of child care. As we have had cause to discuss in this House in the past, the government is determined to build future prosperity by investing in lifting productivity. There is much that needs to be done to lift the productivity performance of our nation. Today’s productivity growth is tomorrow’s prosperity. This productivity agenda is built on a solid foundation. That foundation is sound economic management and a surplus of $22 billion that fights inflation and puts downward pressure on interest rates. Within the budget measures there is the Family Assistance Legislation Amendment (Child Care Budget and Other Measures) Bill and it is an important part of the government’s productivity and participation measures.

The clock is ticking. The members of the Liberal Party have until the end of this month—to the end of June—to choose between responsible economic management and cheap, short-term politics. If they choose to oppose or delay the childcare bill, then they will be putting up in neon lights that they are wreckers of our productivity and participation agenda and they are people who would seek to deny a benefit to working families. What we are looking to deliver on 1 July through this legislation is an increase in the child care tax rebate from 30 per cent to 50 per cent, up to $7,500 of assistance per child per year. Importantly, this measure will be paid quarterly so families get timely assistance. We want to deliver that measure on 1 July. We know it will provide substantial relief for working families. Last night in speaking in the debate on this bill the shadow minister, the member for Warringah, said:

The fact that most people will be better off is beside the point.

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