Luke Hartsuyker (Cowper, National Party, Deputy Manager of Opposition Business in the House) Share this | Hansard source

I welcome the opportunity to speak on this matter of public importance because it is indeed a very important matter. The future of small business is a very important matter not only for the entire country but also particularly for regional Australia, which does not have the large employers that the city has. So many of the jobs in the regions are generated by small business.

I believe the minister is a decent man but, unfortunately, I do not believe he understands small business. I do not think he goes and talks to the people on the street, on the high street, in the shopping centres and in the factories who are making it happen. These are the people who work 100 hours a week, who have mortgaged their houses to run a small business, who employ people and who worry day and night whether their business will survive. What is the assistance they get from this government? They get a massive new tax.

Small business has been caught in a bind for some time, with increasing costs and flat and falling revenues. What is the government's answer to that? It is a massive new tax. I was stunned, in fact, when the government proposed a carbon tax that was supported by the member for Lyne and the member for New England—two members who represent regional seats, who represent areas highly dependent on small business and who should know better. The reality is, because of this government every power point has been turned into another department of the tax office. Every time a small business uses power it is effectively paying the carbon tax. It is an untruth to try to claim that only the 500 largest companies pay this tax; every small business in this country pays this tax. Every small business is being hindered in its efforts to create employment by this tax. Every small business is being made less competitive by this tax, and this government, the member for Lyne and the member for New England should hang their heads in shame.

When I go around my electorate I hear people who are very worried. They worry whether their business is going to be able to continue. They tell me they are just hanging on. They tell me they need to get rid of this government. Consumer confidence is low and business confidence is low, and what assistance do they get? They get a great big new tax.

I was talking to Russell Greenwood, a butcher in my electorate. He is hardworking—works seven days a week—employs people and pays his way, and what does he get from this government? He gets a new tax. When I visited Russell he said: 'I've been speaking to a lot of small businesses in this town and, I suppose, as far down as Wollongong and further along the eastern seaboard, and everyone feels the same way. The carbon tax is just going put more and more costs on small business and, besides that, by and large big ones as well. It will end up and turn out really hurting people, so as far as I'm concerned it's going to put people out of jobs. It's going to put a strain on businesses—as if the costs of running a small business aren't bad enough already. I think that the backbone of this country is small business, and if this carbon tax goes ahead, well, it's going to crucify and close a lot of stores which are already closing. People are finding it very hard out there in this economy, and I think it's just going to get worse and worse if this carbon tax goes ahead.' I think Russell has pretty much summarised the thoughts of many small businesspeople.

I talked to the owner of another business, who asked not to be named, and they said: 'The increase in the cost of doing business is killing us. We're reducing our opening hours. We're trying to cut costs. The introduction of the carbon tax will probably be the final straw for us. We have no choice but to lay off staff. At the moment we are looking to cut seven jobs from our business.' How is that helping Australians? We know this carbon tax will not work. We know our emissions will rise and that the pain of small business will also rise.

The government is trying to claim that only 500 companies will pay the tax, but we heard in question time today that refrigerant R404A is going to be hit by a massive carbon tax that will increase the cost of the gas from $92.88 per kilo to $377.71 per kilo. That is a massive increase. Faircloth & Reynolds, an air-conditioning business in Coffs Harbour, which is in my electorate, has six vans and employs a combination of experienced operators and apprentices. Dave Reynolds told me that it will cost an extra $4,000 to stock each van. That is an extra cost being put on this business by this government. The government says only 500 companies will pay that, but that is about as credible as the claim, 'There will be no carbon tax under a government I lead.'

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