Budget 2016: Morrison vows not to ‘sell the public a unicorn’

Scott Morrison plays down any swift budget repair and is mocked by Labor for his ‘hard line on mythical creatures’.

Scott Morrison addressing the National Press Club in Canberra yesterday. Picture: Kym Smith

Treasurer Scott Morrison has faced a cold reception following his pre-budget speech to the National Press Club, which the opposition has savaged as mere “platitudes, slogans and waffle”.

In a series of combative media interviews this morning, Mr Morrison denied GST reform was “somehow some litmus test of tax testosterone” and vowed not to “sell the public a unicorn” on the prospects for swift budget repair.

The speech has been criticised for its lack of policy substance, with the Treasurer leaving all options “on the table” other than the mooted GST rise that has dominated the economic debate for the past six months.

Mr Morrison’s speech indicated the government he was considering “modest’’ tax cuts in the May budget and stressed it would take time and patience to repair the deficit.

The Treasurer today rubbished suggestions that he’d conveyed to the public that a GST increase would fund tax cuts and relieve state and territory budgets.

“With great respect, that is absolute rubbish. I’ve created none of those expectations,” he told Sydney’s 2GB radio.

“We said we were going to work out whether it’s the right thing to do for the country, and unlike others, we did the homework to see if it was a good thing for jobs and growth.

“If you’re suggesting that we should just go and put some hairy-chested reform in because we’re looking for some medal, that’s not what we’re doing.”

Mr Morrison said the Australian economy was in transition and remained well placed to benefit from growth in Asia with “sober and modest” reforms.

“I’m realistically optimistic, but at the same time the environment for the budget is difficult, and I’m not going to be a Treasurer who tries to sell the public a unicorn on this thing. It’s going to be hard and we need to keep at it,” he told the Seven Network.

Mr Morrison said he was not yet required to detail budget proposals, telling 2GB: “Yesterday’s statement was about framing the economic and fiscal contest for the budget. That’s what you do in February; you release the budget in May.

GST and unicorns off the table: Labor

The opposition ridiculed Mr Morrison’s unicorn remark, applauding the Treasurer’s “strong anti-unicorn trafficking stance”.

“While some may find the Treasurer’s hard line on mythical creatures unusual, it is entirely consistent with this Liberal government’s fantasy approach to budgeting. After all, these are the people who promised they could deliver surplus budgets every year without cutting spending or raising new taxes,” said Andrew Leigh, the opposition assistant treasury spokesman.

“Having taken the GST and unicorns off the table, Mr Morrison must remove the government’s $80 billion in cuts to health and education, $100,000 university degrees and his $650 million cut to Medicare.

“All the talk and clumsy salesmanship can’t hide what everyone now knows: Scott Morrison’s plan for the economy is murky, elusive and probably non-existent. You might say that it’s the Loch Ness Monster of budget strategies.”

Chris Bowen, the opposition treasury spokesman, said Mr Morrison was clearly proposing only “milkshake and hamburger” tax relief funded by further deep spending cuts.

“Two and a half years in government, five months as Treasurer, and we got 46 minutes yesterday of platitudes, slogans and waffle; not a skerrick of an idea, no plan, no policy, no detail,” he told ABC Radio.

“Without a speech which was designed and booked in to sell an increase in the GST, he has nothing; nothing.”