Dean Smith (WA, Liberal Party, Shadow Assistant Minister for Competition, Charities and Treasury) Share this | Link to this | Hansard source

My question is to the Minister representing the Treasurer, Senator Gallagher. Will the level of government spending in the Albanese government's first budget be higher or lower than was projected in the pre-election fiscal outlook?

Katy Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | Link to this | Hansard source

You'll have to wait and see.

Hon. Senators:

Honourable senators interjecting—

The:

Order! Order! I'm going to wait for quiet on both sides. Order!

Katy Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | Link to this | Hansard source

The short answer to the question from Senator Smith—and I thank him for the question—is: you'll have to wait and see. That's what happens when you're in opposition. The budget will be published and you will be able to see.

Honourable senators interjecting—

Well, I think anybody who followed Labor's very comprehensive fiscal plan—

Sue Lines (President) Share this | Link to this | Hansard source

Senators McGrath and Hughes.

Katy Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | Link to this | Hansard source

Labor's plan for a better budget and a better future—

Honourable senators interjecting—

Sue Lines (President) Share this | Link to this | Hansard source

Minister, please resume your seat. Order! I'm aware that you're standing, Senator Smith; I'm waiting for quiet. Senator Smith?

Dean Smith (WA, Liberal Party, Shadow Assistant Minister for Competition, Charities and Treasury) Share this | Link to this | Hansard source

A point of order, Madam President: standing order two one one—I'm just wondering whether Senator Gallagher could let us know how many pages are in the plan.

Sue Lines (President) Share this | Link to this | Hansard source

That might be a supplementary question you may wish to pursue, Senator Smith. Minister, please continue.

Katy Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | Link to this | Hansard source

Senator Smith, that was tried in the campaign and it didn't go very far, I must say! It's more about the content, I think, than the number of pages. This is a very successful plan that we've outlined—very successful, as evidenced by this. That's how successful this plan was.

The budget will be released in the normal way, with the papers that accompany it. I would say, because I do respect Senator Smith: we are going through a process, which we are being quite clear about, of looking at previous budget measures from the March budget, as to which ones of those should go ahead and which ones might not need to go ahead. We're looking at savings, where they can be sensibly found; we're implementing our savings on consultants and contractors—the audit of waste and rorts, indeed, that we are looking at—and we're going through it, program by program, with a big red pen—

Honourable senators interjecting—

Well, we are going to be fiscally responsible. We are not going to be the vandals that you were, where you would just get billions of dollars and go: 'You know what? Barnaby Joyce wants some money somewhere, so here we go! We'll chuck it over there. We'll chuck it over here—Building Better Regions Fund. Oh, sorry, Barnaby; here's some more money!'

Sue Lines (President) Share this | Link to this | Hansard source

Minister!

Katy Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | Link to this | Hansard source

We're not going to do that—we're not going to do it, it's not right!

Sue Lines (President) Share this | Link to this | Hansard source

Minister, resume your seat. Senator Henderson.

Sarah Henderson (Victoria, Liberal Party, Shadow Minister for Communications) Share this | Link to this | Hansard source

Madam President, I have a point of order. I ask that the minister refer to members by their proper names.

Sue Lines (President) Share this | Link to this | Hansard source

I will draw that to the minister's attention, thank you, Senator Henderson. I remind all senators that people in this chamber and the other chamber need to be referred to by their correct titles. Minister.

Katy Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | Link to this | Hansard source

The point I was making is that we will be fiscally responsible. We want to build a budget for a better future for Australia. (Time expired)

Sue Lines (President) Share this | Link to this | Hansard source

Senator Smith, a first supplementary question.

Dean Smith (WA, Liberal Party, Shadow Assistant Minister for Competition, Charities and Treasury) Share this | Link to this | Hansard source

Will decisions of the Albanese government in its first budget add, in net terms, to government spending and debt, or reduce government spending and debt?

Katy Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | Link to this | Hansard source

As we've been clear—

Hon. Senators:

Honourable senators interjecting—

Sue Lines (President) Share this | Link to this | Hansard source

Order! Minister, resume your seat. Senator Wong and Senator Henderson: exchanges across the chamber are disorderly.

An honourable senator interjecting—

I beg your pardon if it wasn't you, but it is very hard with the level of noise to work out who is making the noise. But comments across the chamber are disorderly. Minister.

Katy Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | Link to this | Hansard source

The answer to that question is contingent on a number of decisions that are yet to be made through the budget—

An honourable senator interjecting—

Well, what do you expect? I'm being honest with you! I'm being honest—

Sue Lines (President) Share this | Link to this | Hansard source

Minister, resume your seat please. Senator Bilyk?

Catryna Bilyk (Tasmania, Australian Labor Party) Share this | Link to this | Hansard source

Madam President, I'm having huge trouble hearing Senator Gallagher's wonderful response so could you quieten people down?

Sue Lines (President) Share this | Link to this | Hansard source

Thank you, Senator Bilyk, I'm trying my very best, which is why I keep sitting the minister down, sadly.

Honourable senators interjecting—

Order! Senators Wong and Birmingham! Minister, please continue.

Katy Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | Link to this | Hansard source

The very clear answer is that the decisions that will be made—to answer his question—are going to be made during the budget process, which is underway now. But I can tell you that they will end the rorts, they will end the waste and they will make the savings we promised in reducing advertising. Remember all those advertising campaigns that were always ready to go before the actual programs were ready? They were out the door pretty quickly. The budget will be handed down on 25 October.

Sue Lines (President) Share this | Link to this | Hansard source

Senator Smith, a second supplementary question.

Dean Smith (WA, Liberal Party, Shadow Assistant Minister for Competition, Charities and Treasury) Share this | Link to this | Hansard source

If government spending will be higher—and I notice that Senator Gallagher didn't rule that out—under the Albanese government, won't this see fiscal policy work against monetary policy and mean that the Albanese government's spending will place further upward pressure on interest rates?

Opposi tion senators interjecting—

Sue Lines (President) Share this | Link to this | Hansard source

I'm not going to call the minister until there is quiet.

Honourable senators interjecting—

Senator McGrath and Senator Wong, I am waiting. Minister.

Katy Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | Link to this | Hansard source

I think they've set Senator Smith up here, because, on the one hand we've had arguments to spend $3 billion more over six months for petrol excise and, on the other hand, I'm being asked that if we're spending more whether that's going put pressure on interest rates.

Sue Lines (President) Share this | Link to this | Hansard source

Minister, please assume your seat. Senator Dean Smith, a point of order.

Dean Smith (WA, Liberal Party, Shadow Assistant Minister for Competition, Charities and Treasury) Share this | Link to this | Hansard source

Thank you, Madam President—it's on standing order 211. I was very, very specific: I wanted to know whether or not there was a risk that the government's spending would mean that its monetary policy would end up working against fiscal policy here.

Sue Lines (President) Share this | Link to this | Hansard source

Thank you, Senator Smith. I believe that the minister is being directly relevant, but let's continue with her response. Minister.

Katy Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | Link to this | Hansard source

Thank you, President. Well, the opposition's policies would be working against monetary policy, I'd have to say—or, as I understand them. I'm not sure who's got the power at the moment. But this question comes from the highest-spending, highest-borrowing government in Australia's history. That's what you guys were. My job is to try to fix that: to rebalance the budget, end the rorts, tidy up the waste, get rid of the waste, find the savings where I can find them and invest in the productive side of the economy, which is absolutely in line, hand-in-hand, with monetary policy if you are investing in the productive side of the economy and putting downward pressure on the inflation and interest rates that we inherited from you lot!