THE HON ANGUS TAYLOR MP 
SHADOW TREASURER 

TRANSCRIPT 
PRESS CONFERENCE, CANBERRA
Tuesday 25th October 2022 

Topics: Federal Budget

E&OE 

ANGUS TAYLOR: Today's budget is Labor's first big test as a government. A budget is a test of a government’s true intentions. And this particular budget will be a test of whether Labor consolidates on the strength of the economy and the budget that they inherited when they came into Government. It's also a test of whether they deal with the challenges that Australian households and businesses are facing. Challenges with rising cost of living and rising the cost of doing businesses. It's also a test of whether or not they create a platform for longer term growth for the economy, a fast-growing prosperous economy where there's opportunities. Now, Labor made a lot of promises at the last election. A lot of promises at the last election. And this budget is a test of whether they have a clear and comprehensive plan to deliver on those promises, and to deliver on the challenges that Australians are facing right here and right now. So far, I have to say, what we've seen has been disappointing. So far, what we've seen is that in the budget, there will be a deteriorating jobs market, a deteriorating economy, a deteriorating deficit, no material gains in real wages in this term of government. And we know Labor is walking away from their promise to reduce electricity bills. All Australians want to see a clear and comprehensive plan to deal with those pressures they're facing and to consolidate the position that Labor inherited. We want to see a successful budget, but ultimately, the test for Labor is whether they have that clear and comprehensive plan to deal with those pressures Australians are facing.

Happy to take questions.

QUESTION: We see this morning the idea of a housing plan talked about, 4 million new houses. How important is that? How early should that be rolled out?

ANGUS TAYLOR: Look there’s no question, we all want to see more housing across Australia. There has been a shortage of housing and we want to see more and much of this lies with state governments, but there's a role that the federal governments can play, and we certainly want to see it. I know, in my own electorate, we want to continue to see housing growth, that's been an important source of jobs and opportunity for Australians, but it's also important for young Australians to be able to get access to a home. What we don't want to see is people's superannuation being used for pet projects, that we don't want to see. Superannuation is there for people's retirement, a nest egg that they can rely on so that they can have a prosperous retirement and we don't want to see governments using that money as though it is theirs for their projects.

QUESTION: So, the deficit’s halved, it looks like. Who’s responsible for that turnaround?

ANGUS TAYLOR: Well, we should look at what we saw today on the deficit, now we'll see more tonight. So, I don't want to pre-empt all the numbers we're going to see, but Labor inherited a budget deficit for the last financial year, which was substantially lower, just around $50 billion lower than was expected at about $32 billion. What they're saying today is it's going to be higher this year, and higher again in future years. We want to see a clear and comprehensive plan that includes improvement in the budget position, we’re now beyond Covid, it is time to consolidate the budget. It is time for a responsible budget. We don't want to see a bigger taxing budget. We don't want to see a bigger tax tape and higher tax rates. We want to see a budget that ensures that Australians are paying their fair share, but no more than their fair share and having the vast majority of Australians keeping 70 cents in the dollar. That is a way forward for a prosperous, active economy where people are investing in their jobs, their careers, their businesses, that's what we want to see.

QUESTION: The Government is set to commit to another $40 billion of borrowing. Is that economically rational over time, interest rates are going up and the cost of servicing that will become more expensive?

ANGUS TAYLOR: Well, what’s economically rational now is to have a responsible budget. A budget that's not increasing tax rates, a budget that is not spending more spending at a faster rate than than the economy is growing. We want to see economic growth stronger than spending growth. Now that way, you continue to improve your budget position every year. That's what we want to see. That's what Australians deserve. That's the plan that will take Australia from a very strong position relative to other countries around the world, consolidate that and strengthen that in the years to come.

QUESTION: You mentioned that it's the first big test for the Government. It's probably the first big test for you as an Opposition, as well. So, do you have any thoughts on the approach that you'll take when you're offering criticisms? Can we expect to hear alternatives from the Opposition?

ANGUS TAYLOR: Yeah, we've laid out very clearly what we think a strong budget and a clear and comprehensive plan looks like. It's a plan that does build on our strengths. It's a plan that deals with those cost-of-living challenges that Australians are facing with a responsible budget. We're getting more labour supply into the market, more pensioners working. We've laid out how important it is to have a platform for longer term growth, lower taxes. So, if Labor has a plan, that can meet those tests, we'll back it in. There's no question about it. I mean, everyone in Australia is barracking for a stronger, more prosperous Australia and a budget that's going to deliver a stronger and more prosperous Australia is one we will back every day of the week. So, this is not about partisanship, this is about the nation. And you know, one of the real tests in his budget is - will Labor put Australians first and have a plan a clear and comprehensive plan that delivers that prosperity and opportunity for all Australians over the long term. That's what we need right now. 

All good. Thank you very much.