Page 488 - Week 02 - Wednesday, 13 February 2013
MR GENTLEMAN: Can the Treasurer outline any threats to the economy?
MR BARR: There are indeed some threats facing the territory economy. The global economy remains volatile and the territory is not immune from this. Since the global financial crisis, households are saving more and this weaker household consumption is impacting on the GST pool. The higher exchange rate is impacting on a number of industries in the territory, particularly education and tourism but also our manufacturing sector.
In addition, structural changes in the national revenue base are continuing to impact on federal tax receipts. However, Madam Speaker, the single greatest threat to the ACT economy is the election of an Abbott government. Tony Abbott has confirmed and his representatives in the ACT, current and willing, have both confirmed that 20,000 public service jobs will be lost in this city.
Senator Humphries said, “There is a particular challenge facing the people of Canberra in the next three years.” There is a particular challenge facing Senator Humphries in the next three weeks but there is a particular challenge facing the people of Canberra in the next three years, particularly, as Mr Humphries said, if there is a change in government.
Senator Humphries said that Canberra “will be the subject of some very tough decisions by an incoming government”. The senator went on to say, “It is very clear that some of the decisions made in the process of an incoming government will be very difficult for Canberra.” So from the mouth of the current Canberra Liberals’ federal representative, tough times are coming for our economy. There is no escaping this reality that the Liberal Party are the party of recession for the ACT economy.
MADAM SPEAKER: A supplementary question. Ms Porter has the floor to ask her question without being drowned out by members of her own side or the opposition.
MS PORTER: Treasurer, what is the nature of the proposed cuts that you have just mentioned that will have an impact, and will the impact be similar from the cuts in 1996?
MADAM SPEAKER: Could you just repeat the question, please, Ms Porter?
Mr Smyth: On a point of order, is that a hypothetical—
MADAM SPEAKER: I was just asking Ms Porter to—
MS PORTER: Treasurer, what is the nature of the proposed cuts that he has just mentioned and will the impact be similar from the cuts in 1996?
MADAM SPEAKER: I would submit that the nature of proposed cuts by a future hypothetical government is not within the ministerial responsibility of the Treasurer.