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Joe Hockey has farewelled Parliament standing by the budget that contributed to his downfall as Treasurer and laying out a manifesto for radical reform he says is needed to repair Australia's economy.
An emotional Mr Hockey described his first budget, which included the now-dumped GP co-payment, plans to uncap university fees and increased fuel and income taxes, as too courageous for the Parliament.
But he conceded the former Abbott government "struggled with politics", underestimated the time that would be taken up chairing the G20 and addressing national security and should have done more to woo the Senate.
"The Abbott government was good at policy but struggled with politics," he said.
Prime Minister Turnbull embraces former treasurer Joe Hockey after his valedictory speech on Wednesday.Credit: Andrew Meares
"When faced with a choice, I would always prefer to do what was right than what was popular."
But Mr Hockey said the government should have done more to win hearts and minds over to the major reform ideas included in the 2014 budget.
And he urged politicians continuing in Parliament to strike a bipartisan deal to end free education and healthcare for the rich - citing his son's broken leg as an example of wasted taxpayers' money.
"When Iggy broke his leg last Christmas, the total cost for us was just $35 to cover the cost of a water-proof leg cast, otherwise everything was deemed free.
Joe Hockey is applauded by colleagues after his speech.Credit: Alex Ellinghausen
"But in truth it wasn't free.
"We borrow billions of dollars to pay for the health and hospital system and he and his generation are going to end up paying for it."
Joe Hockey embraces by his wife Melissa Babbage after his final speech to Parliament in October.
Mr Hockey admitted he had "endeavoured but failed" to ensure the Abbott government kept a range of policy proposals and publicly backed:
- A bipartisan review into the superannuation and pensions systems
- Levying flights out of Sydney Airport to pay for a second airport at Badgerys Creek
- Cutting penalty rates which he described as "profit murder for small business"
- Increasing and broadening the GST
- Capping the top income tax rate at 40 per cent, and 20 per cent for average income earners
- Lowering the company tax rate to 20 per cent
- Cracking down on tax concessions including limiting negative gearing to new buildings
Mr Hockey, who is mooted to be posted to Washington as ambassador hailed his 'end of entitlement' speech he gave in opposition as one having an unprecedented impact.
Opposition Leader Bill Shorten approaches Mr Hockey before his speech.Credit: Andrew Meares
And in a rare show of bipartisanship he praised the Labor Party for establishing the National Broadband Network and singled out his own creation of the Medical Research Fund as his biggest single achievement.
He condemned the "revolving door" of politics and said the 24-hour media cycle had made debating policy more difficult.
"Leadership instability and ministerial turnover is the enemy of good public policy," he said.
"That's why the revolving door in Australian politics must be jammed shut. If we don't show enough respect to each other then how can we hope that the electorate will respect us?"
Mr Hockey said the turnover in ministers experienced during the Rudd-Gillard and Abbott-Turnbull years had led to bureaucrats "waiting out" their Minister rather than implementing difficult policies as asked.
He wished the new government well and said he genuinely wanted Mr Turnbull to succeed. His departure ends his 19-year career in the Parliament.