Labor promises balanced Budget by 2021
BILL Shorten will promise a balanced Budget by 2021 — without nasty spending cuts up front — with a focus on education and infrastructure.
BILL Shorten will promise a balanced Budget by 2021 — without nasty spending cuts up front.
The Opposition Leader will today outline a 10-year economic strategy to compete with the Coalition’s “jobs and growth” blueprint, which would see the Budget rectified in the same period.
Shadow treasurer Chris Bowen said the aim was to “build over time” to fix the Budget by 2020-21.
Mr Bowen acknowledged that under the Labor schedule the deficit would worsen before improving.
“We will say, based on the government’s budgetary figures, we will get back to Budget balance in the same year as the government (has forecast), 2020-21,” Mr Bowen told ABC radio this morning.
“Both the government and the Opposition will have deficits over the forward estimates (four years), that’s true. And it’s true that we won’t have the same degree of contraction (of spending) over the four years but we will get back to Budget balance in the same year.”
The Labor blueprint also will apply an economic structure to Mr Shorten’s election promises of bigger spending on health and education and other household expense concerns.
And it frequently refers to the government’s pledge to cut corporate taxes by $48 million over 10 years.
Labor will not put figures to the plan released today until closer to the July 2 election.
“Labor believes that when middle and working class families prosper, when small businesses prosper, Australia prospers,” Mr Shorten said in a statement.
“We will invest in schools, TAFE and universities to strengthen the skills, talent and capabilities of all Australians.
“Building a strong education system that is accessible to all Australians will help create better jobs for middle and working class families, increase productivity and grow the economy.
“Labor will invest in nation building infrastructure — roads, rail and a first-rate National Broadband Network — creating more jobs, strengthening the economy and boosting future productivity.
“Our plan will drive innovation and more local jobs in advanced manufacturing, renewable energy and services.”
He is offering a plan to:
● Invest in people to improve the quality of education and training, to drive productivity and ensure Australians are prepared for the jobs of the future
● Build Australia by investing in roads, rail and the NBN, creating jobs and improving the livability and productivity of our cities and regions
● Drive investment in renewables and new industry
● Support innovation and start-ups
● Help small business through tax cuts and putting them on a more even playing field when it comes to competing in the marketplace
● Repair the Budget in a way that’s “fair”.
Major bank flags big risk in rate cut
Australia’s biggest bank says there may be some brief relief for those priced out of owning a home, but there could be a brutal side effect to cutting rates.
ASX 200 hammered on Trump tariffs
Nearly $50bn was wiped off the Australian sharemarket on Monday as fears of a trade war led by US President Donald Trump tariffs ripped through the local market.
Grim truth about Aussie rate cut
Mortgage holders need more than one rate cut to start feeling relief, with only about 53,000 Aussies likely to move away from “at risk” should the RBA cut rates in February.