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Treasury suspends $10m ad blitz promoting economic recovery and Coalition’s job record due to poll

Controversial advertising campaign promoting economic recovery, job creation, halted as caretaker conventions kick in.

Treasurer Josh Frydenberg with Treasury Secretary Steven Kennedy ahead of the federal budget. Picture: NCA NewsWire / Gary Ramage
Treasurer Josh Frydenberg with Treasury Secretary Steven Kennedy ahead of the federal budget. Picture: NCA NewsWire / Gary Ramage

Treasury has suspended a controversial $10m advertising blitz to promote the economic recovery and the Coalition’s record on job creation, as caretaker conventions come into play during the election period.

The third phase of the Morrison government’s $45m Economic Recovery campaign began early last month and has been rolled out across television, radio, digital, social, outdoor billboards and press.

Labor claims the latest phase, “We’re taking the next step”, which highlights 260,000 more people in work than before the Covid-19 pandemic and ran in weekend newspaper print editions, is blatant political advertising. Scott Morrison called the election for May 21 on Sunday

The planned media buy for the latest phase is $10m, about one-quarter of which was spent before the March 29 budget, with another $1.4m already spent on focus groups, research and creative services. There was no additional advertising campaign launched to promote the cost of living relief measures in Josh Frydenberg’s fourth budget.

During elections, campaigns deemed too contentious by officials from the Department of Finance and Department of the Prime Minister and Cabinet are discontinued, while less controversial ads can go ahead if they secure bipartisan support.

According to testimony to the Senate last week by a Finance department official, the Morrison government had 17 advertising campaigns in the market ahead of the dissolution of the House of Representatives on Monday.

Budget provided ‘cost of living relief’ for millions of Australians

The campaigns, which have been scrutinised by officials, include measures to promote cyber security, recycling, defence recruitment, skills and training, occupational mobility and disability services.

Last financial year the Morrison government spent $145m on media placement for campaign advertising and $41m in development costs, with the largest campaigns for defence force recruiting, Covid-19 health measures and vaccines, economic stimulus and stopping domestic violence.

In the current financial year, the major advertising campaigns have been for last year’s Census, Covid-19 vaccines, and defence recruitment.

Ahead of elections, both major parties typically increase their taxpayer funded advertising. In 2015-16, the Turnbull government spent a record $232m in consolidated advertising costs, while the Gillard government spent $198m in 2012-13.

Under caretaker conventions published by PM&C in December, government information and advertising campaigns are reviewed by the departments of Finance and PM&C.

The review informs recommendations to the caretaker government about whether those campaigns should continue or be deferred.

Bipartisan agreement is then sought for campaigns that are recommended to continue.

According to the guidelines, in general, campaigns that “highlight the role of particular ministers or address issues that are a matter of contention between the political parties contesting the election are normally discontinued. The Treasury campaign falls into this category.

Campaigns which “are operational by nature, such as Australian Defence Force recruiting or public health campaigns, usually continue”.

The Finance department said consultations with PM&C under the latest caretaker guidelines had taken place.

“Bipartisan consultation is a matter for Government. Pending that process, campaigns have been withdrawn from the market,” a Finance spokesperson said.

The total cost of the first two phases of Treasury’s economic recovery campaign, which began in 2020 to promote stimulus measures associated with the Covid-19 emergency economic response and continued into the middle of last year, was $34.2m.

A spokesperson for Treasury said: “In accordance with the Department of the Prime Minister and Cabinet’s Guidance on Caretaker Conventions, the Department of Treasury has ceased all campaign advertising for the Economic Plan from 9.30am, Monday 11 April for the caretaker period”.

Blue branding criticised

Treasury’s latest campaign was criticised by Labor senators for mimicking the blue colour branding of the Liberal party.

“What possible public purpose is there in, ‘Australia’s Economic Plan — we’re

taking the next step’?” NSW Senator Tim Ayres asked Finance Minister Simon Birmingham last week during Senate estimates.

“What does, ‘We’re taking the next step’ mean, Minister? What are people supposed to do? The next one says, ‘Helping individuals take the next step.’ There’s a picture of people’s feet. What is it for? What is it asking people to do apart from vote Liberal?”

Senator Birmingham said the “use of government advertising campaigns for a range of factors is not uncommon” and the economic recovery campaign would raise awareness of programs to support investment in skills and technology and drive improved business confidence.

According to Treasury, the first phase of the Economic Recovery Plan campaign aimed to inform Australians of key economic measures in place to support individuals and businesses to recover from the Covid-19 pandemic.

Treasury said the second phase, which was branded “Our Comeback”, aimed to inform Australians of the continuation of the government’s plan for economic recovery; the additional support measures that had been made available since phase one of the campaign; and to continue to build consumer and business confidence.

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Original URL: https://www.theaustralian.com.au/nation/treasury-suspends-10m-ad-blitz-promoting-economic-recovery-and-coalitions-job-record-due-to-poll/news-story/5b42f2f756ba253a81bf15c25eb9b933