Daryl Melham (Banks, Australian Labor Party) Share this | Link to this | Hansard source

My question is to the Minister for Health and Ageing. Will the minister explain to the House the importance of passing the government’s proposed changes to the Medicare levy surcharge?

Nicola Roxon (Gellibrand, Australian Labor Party, Minister for Health and Ageing) Share this | Link to this | Hansard source

I thank the member for Banks for his question. Of course, Banks electorate is absolutely full of Australians who stand to benefit from this measure, if the Liberal Party would just direct its senators to vote for it later today in the Senate. Our economic security package will benefit many of the constituents in Banks—pensioners, veterans, families, carers—but we would like to help more people in the electorate of Banks and in every other electorate by providing tax relief to 330,000 Australians. We were always convinced of the benefit of this measure when it was announced in the budget, but events of the last few weeks give us even more reason to be arguing for the Liberal Party to support this measure in the Senate.

There are three important reasons for passing this measure—in addition to the many which have already been aired in this place and elsewhere over the last few months. Firstly, we know when families are struggling that they are already making tough choices on the way they spend their money. We think it is unimaginable that the Liberal Party would want to direct how they spend that tight, remaining budget. The Leader of the Opposition wants to give working families earning less than the average wage a choice between paying for private health insurance that they cannot afford and paying a tax that they cannot afford. We do not think that is fair, we do not think that is just and we think the Liberal Party should support this measure in the Senate.

Secondly, the opposition are depriving the economy of another source of stimulus at this time of difficulty. We could be putting money back into the pockets of Australians but the Liberal Party is standing in the way, stopping this money going to thousands of families and singles across the country. Thirdly, this measure also helps to bolster the surplus at a time when the importance of the surplus is starkly apparent. In other words, this is not only good policy, as we have been arguing for many weeks but it will restore choice in our health system, something those opposite pretend they stand for. It will deliver tax cuts to working families after 10 years of inaction and it is the economically responsible thing to do.

On Monday, the Leader of the Opposition said, ‘At a time when you want to stimulate the economy, raising taxes is not a very good idea.’ Here is a chance to lower taxes. I ask the Leader of the Opposition whether he will direct his Liberal Party colleagues in the Senate to vote for this measure. For a couple earning $60,000 each a year, this tax cut could deliver them $1,200 just like that if the Leader of the Opposition would walk across to the Senate and ask his senators to vote for this measure. The Liberal Party have to decide whether or not they stand for tax relief. If they are for tax relief, they should be voting for this measure in the Senate.