Mathias Cormann (WA, Liberal Party, Vice-President of the Executive Council) Share this | Hansard source

Thank you very much. I probably should quit while I'm ahead—when I've got consensus across the chamber, which is unique! Let me just place on the record my great appreciation in particular for the way Senator Gallagher as the shadow minister for finance has worked with me through those issues.

We are living in unbelievable times. I don't think that any of us would have expected to be dealing with legislation of this nature and with an Advance to the Minister of Finance of this size. These bills are necessary to ensure the proper functioning of government services and the continuation of vital programs in an environment of global economic uncertainty resulting from the coronavirus pandemic. This economic uncertainty impacts the forecasts on which the federal budget depends. Consequently, we have decided to reschedule this year's federal budget for 6 October 2020, which will ensure that the 2020-21 budget can set out the path to economic recovery. However, this delay to the budget does mean that we won't be able to pass appropriation bills for 2020-21 before the end of the financial year—and of course, as a number of senators have observed, there is a high degree of uncertainty about the timing of when we will next be able to meet, which is why we have discussed with the opposition—and we appreciate the support of the entire chamber, including Senator McKim—the proposal to increase the Advance to the Minister for Finance to $40 billion.

This is designed to give us the fiscal capacity to respond to urgent and currently unforeseeable requirements in circumstances when there is uncertainty about when the parliament will next be able to meet. It ensures we have sufficient appropriations available to meet unforeseen costs, which may include responding to the need for additional, more costly medical equipment and supplies, given the high international demand and the upward pressure on prices. It gives us the capacity to provide further support to our economy and to Australians, if and as required, and support the ongoing operations of our government, but also to, if required, make additional payments to state and territory governments to support, for example, their provision of healthcare services to Australians.

In light of the significant increase in the advance to the finance minister, the government has agreed to the additional transparency measures that Senator Gallagher mentioned. I will issue a media release each Friday where one or more determinations have been made in that week to allocate funding from that advance and I will also write to the shadow finance minister to seek her concurrence, of behalf of the opposition, prior to drawing any funding from an advance to the finance minister for any given proposed expenditure greater than $1 billion. With those few words, I commend these bills to the Senate.

Question agreed to.

Bills read a second time.