Senate

Answer from Penny Wong

The minister stated that five thousand social and affordable homes had been completed through Commonwealth programs, with a further 25,000 in construction or planning, including over 18,000 via the Housing Australia Future Fund. She noted that 21,000 more homes would be commissioned this year. Regarding the borrowing cap, she declined to provide specific projections, stating such details would be addressed in estimates. She rejected the premise of government failure, asserting that the opposition consistently opposed housing supply measures and did not believe government should play a role in increasing supply.

Answer from Katy Gallagher

The minister highlighted that the December MYEFO showed improved bottom lines and reduced debt in all forward estimate years, citing a $233.5 billion nominal budget improvement and $114 billion in savings since 2022. She noted gross debt was $176 billion lower than inherited levels, avoiding over $60 billion in interest payments. She reported an unemployment rate of 4.1 per cent in December, with 65,000 new jobs bringing total employment to a record 14,684,000. She stated the government would continue to manage the budget, find savings, and support households through tax cuts and measures like the Parental Leave Pay increase.

Answer from Katy Gallagher

The minister stated that the cost impact depended on various factors and declined to provide a specific figure. She argued that the Reserve Bank identified private demand, not government spending, as the primary driver of inflationary pressure. She listed government cost-of-living measures including tax cuts, bulk-billing incentives, cheaper medicines, and a 20 per cent reduction in HECS debt. She refused to apologize, asserting that the opposition had consistently voted against these support measures.

Answer from Katy Gallagher

The minister stated that the government's tax policies on housing had not changed and that the focus remained on increasing supply through initiatives like the Housing Australia Future Fund. She noted that tax reform work was underway, including instant deductions, superannuation changes, and tax cuts, but confirmed that positions on housing tax and fuel tax credits remained unchanged. She emphasized that the government was delivering on election commitments rather than introducing new tax cuts for investors.

Answer from Tim Ayres

The minister explained that high-purity alumina is critical for AI data centre cooling, semiconductors, and battery supply chains. He stated the investment would crowd in $225 million, creating 420 construction jobs and 120 permanent jobs, with 80 based in Gladstone. He emphasized the importance of the National Reconstruction Fund and Future Made in Australia program for delivering blue-collar jobs and rebuilding manufacturing, contrasting this with the opposition's record of exporting jobs.

Answer from Katy Gallagher

The minister stated that she had been working with Services Australia and the policy department to consolidate areas of legal and policy compliance concern. She noted that some issues were addressed in legislation passed in December, with further amendments expected. She confirmed that Services Australia was implementing all Ombudsman recommendations by the end of January. She stated that she could only answer for her time in the portfolio but affirmed that agencies were being held responsible and that over 144 areas of concern were being prioritized.

Answer from Katy Gallagher

The minister rejected the claim that government spending was the cause of inflation, citing the Reserve Bank's statement that private demand was the primary driver. She highlighted that the government had found $114 billion in savings and delivered two budget surpluses. She stated the government would continue responsible budget management and cost-of-living support, noting that unemployment remained low and business investment was rebounding.

Answer from Tim Ayres

The minister defended the scheme as a life-changing intervention that had helped 220,000 Australians access the housing market with a lower deposit. He argued it provided opportunities for young people to enter the market and accrue capital gains. Regarding the modelling, he stated the government had produced 3,995 pages of documents in response to orders, including briefing notes and emails, and asserted that the government had complied with more document production orders than any previous administration.

Answer from Jenny McAllister

The minister stated that from 1 January, the maximum PBS copayment was reduced to $25, a 20 per cent cut, saving Australians over $200 million annually. She noted that costs for pensioners and concession cardholders were frozen at $7.70 until 2030. She highlighted the introduction of free 24/7 nurse advice via 1800MEDICARE and the expansion of 122 Medicare Urgent Care Clinics. She cited an $812 billion investment in Medicare and an increase in bulk-billing practices to 3,300 nationwide.

Answer from Penny Wong

The minister stated that inflation was lower than the peak inherited by the government but remained higher than desired. She attributed current pressures to a mix of temporary factors and persistent housing costs, noting that the Reserve Bank cited private demand, not government spending, as the driver. She rejected the claim that Australians were poorer, highlighting government cost-of-living measures. She refused to apologize, asserting that the opposition had consistently voted against these support measures.