House debates

Tuesday, 29 May 2018

Bills

Appropriation Bill (No. 1) 2018-2019, Appropriation Bill (No. 2) 2018-2019, Appropriation (Parliamentary Departments) Bill (No. 1) 2018-2019, Appropriation Bill (No. 5) 2017-2018, Appropriation Bill (No. 6) 2017-2018; Second Reading

12:45 pm

Photo of Ben MortonBen Morton (Tangney, Liberal Party) Share this | Hansard source

As I've said in my maiden speech and in many contributions to this house since them, I'm in parliament to support those hardworking Australians that want to apply their effort and succeed. That's because I want to help build an Australia that empowers people, an Australia that rewards individual and community effort. I'm proud to be part of this government making sure that it manages taxpayers' money in a very disciplined way. This government has kept a tight rein on spending, which is forecast to grow by only 1.9 per cent, the lowest level of spending growth of any government in the last 50 years and half of the four per cent we inherited from Labor. The underlying catch balance is the best position we've seen since the Howard government's final budget. The deficit has halved in the past two years. The budget returns to balance in 2019-20, and since the 2016 election this government has legislated over $41 billion of budget repair measures.

With the financial leadership of the Prime Minister, Treasurer and Minister for Finance, the Australian economy continues to strengthen. Jobs are being created and investment is rising. Responsible economic management also has retained Australia's AAA credit rating. For the first time in a decade, the government is not borrowing to pay for essential services. The essentials Australians rely on, like Medicare, PBS medicines, the NDIS, school funding and hospital funding are all being funded sustainably. The government is funding priority nation-building infrastructure that busts congestion and makes our roads and communities safer. I'll have some more to say in relation to those important projects that affect my own electorate of Tangney.

But a balanced budget enables a government to provide responsible tax relief that backs businesses to invest and create jobs. The government has already legislated tax relief for Australian businesses with a turnover of under $50 million, taking their rates from 30 per cent to 27.5 per cent and eventually to 25 per cent. That's relief for around 3.3 million small and medium businesses, employing about 6.8 million Australians. We, the government, remain absolutely committed to extending tax relief to all businesses.

Small businesses in my electorate and around the nation have also benefited from the extension of the $20,000 instant asset write-off. Simpler BAS reporting is saving around 2.7 million small businesses an average of $590 a year. This government is backing businesses to invest and to create jobs.

But a balanced budget also enables the government to provide responsible tax relief to encourage hardworking Australians. There can be no doubt that this government believes in lower taxes: lower taxes for businesses and lower taxes for individuals who work hard do provide for themselves and their families. Taxpayers always know how to in spend their own money better than the big government. Australians need to feel confident that they can take on additional work, work extra hours and seek promotion knowing that their extra work will be rewarded in extra income and doesn't just go to the government in higher taxes.

The affordable plan of income tax relief passed by the House just a few days ago is proof that this government is backing those hardworking Australians. This is a plan that makes sure we give people immediate tax relief, that addresses bracket creep so people don't move into higher tax brackets and that makes our tax system fairer and simpler by removing altogether the 37 per cent marginal rate of tax. Importantly, this government's personal income tax plan will mean that 94 per cent of Australians will never pay more than 32.5 per cent as a marginal tax rate. Australians will know they can take on those extra hours, accept a promotion or start a business and do better for themselves, and be rewarded for that effort. This plan for income tax relief will fairly leave more of Australians' hard-earned income in their own pockets.

The alternative under Labor is always higher taxes. Labor describe lower taxes as a 'handout' or a 'giveaway' and quite shamelessly committed to $220 billion of higher taxes, not to mention Labor's $5 billion-a-year assault on the savings of self-funded retirees and older Australians. Labor are refusing to agree to all three stages and the full tax relief of $143.95 billion that is set out in this government's income tax plan. Labor's message to Australia is they want more of your hard-earned money to bank bracket creep and higher taxes because they can spend it better than you. Liberal governments will always look for ways to reduce the burden of tax on workers, families and businesses. Labor will always do the opposite.

Some of the best news around the budget is the creation of full-time jobs. One million jobs have been created since the coalition government was elected in 2013. One of the positive things about record jobs growth is the number of people who are getting off welfare and starting to earn a wage. Strengthening the economy along with the government's action to ensure welfare is well targeted have resulted in welfare dependency for working-age Australians falling to its lowest level in 25 years. In the three years to June 2017, the numbers of working-age Australians on income support fell by 140,000 people to 2.4 million. This represents a reduction of around $23 billion in future lifetime costs to the welfare system and the taxpayers that fund it.

However, welfare is still the largest component of government spending, with $176 billion estimated to be spent in the 2018-19 year. I'm the first to say that it's important that we have a strong safety net to support all Australians. The system must support our most vulnerable and those who are genuine in their need. But working-age welfare should not be taken for granted. As chair of the government's social services policy committee, I was pleased to work with Minister Porter and Minister Tudge, the former social services and human services ministers, and now Minister Tehan and Minister Keenan in these ministerial roles. They are dynamic ministers who are willing to trying new initiatives to get more Australians off welfare and into work, like the Cashless Debit Card. I remind members that this card doesn't change the amount of Centrelink a person receives but restricts their ability to purchase alcohol, drugs or use that money for gambling. This card makes lives better, and we are finding that in the trial communities. I personally visited Kununurra and Wyndham to see the results for myself and to talk with the individuals in those communities. The Goldfields in WA, Ceduna in South Australia and, hopefully, soon Bundaberg and Hervey Bay will benefit from this card.

Another initiative, the two-year trial of drug-testing for recipients of Newstart and youth allowance, is compassionate and will make sure that people who have drug problems and need support get the treatment they need to beat their drug addiction, because there will be additional support services funded with these trials. The new jobseeker payment will replace seven existing payments making our complex welfare system simpler. It will make clear what this payment is for, and assistance will always be there to help people into work. I always look for the best ways to support people on welfare, particularly where welfare dependency exists alongside harm relating to drug and alcohol abuse. This budget strengthens the government's commitment to jobseekers and people supported by the safety net as well as the taxpayers who make sure Australia is able to provide our generous welfare system.

While supporting taxpayers and jobseekers, the budget also delivers important local infrastructure and sport programs in my community. I was very pleased to see greater investment in sporting club infrastructure because participation in sport is vital for health and wellbeing and something that I'm very passionate about. Eighty-one per cent of Australian children are not meeting the recommended level of activity to stay healthy. One-quarter of children are overweight or obese. Encouraging young Australians to get more active is critical. This budget delivers $29.7 million for the sports infrastructure grants program. Local sporting clubs will share in grants of up to $500,000 for small- to medium-scale building projects or for improvements to existing and ageing facilities. This funding is the opportunity for clubs to kickstart their new builds or renovations and consider projects that they might not otherwise have been able to afford.

Our young athletes train so hard. Mums and dads volunteer a lot of their time managing teams, coaching, refereeing, doing rosters and running the canteen. But they need help with the big construction costs of courts, clubrooms, changerooms, new toilets and associated infrastructure. Smaller, Stronger Communities infrastructure grants are already having a huge impact in my community. With a team effort between federal grants, contributions from the clubs and local fundraising, we have upgraded clubrooms, renovated toilets and change rooms, purchased equipment for junior sporting clubs, and installed lighting, scoreboards, fences, new goals and even starting blocks for a pool. I'm glad to see the Stronger Communities program continue in this budget, because Stronger Communities and local sports infrastructure grants will kickstart many more builds and renovations in the electorate of Tangney and will help our clubs get more kids out there on the ovals and on the courts playing weekly team sport, as we hope they should.

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