House of Representatives

Answer from Anthony Albanese

The Prime Minister stated that the government was changing the tax system to assist young people in purchasing their first home. He described this as a policy change necessary to prevent a generation from missing out on homeownership. He cited a former shadow Treasurer who had previously admitted the opposition was timid in addressing challenges faced by younger Australians. The Prime Minister emphasized that the government was acting to support aspiration and housing supply, distinguishing between investing in new homes, which benefits the nation, and negative gearing on existing homes, which primarily benefits investors.

Answer from Anthony Albanese

The Prime Minister stated that the budget helps Australians with the cost of living and builds national resilience, noting that fuel supplies were higher than on 28 February. He highlighted that the government had cut taxes for 13 million Australians five times, including a top-up starting on 1 July and a further top-up the following year, alongside a $1,000 automatic tax deduction and the Working Australians Tax Offset, totaling approximately $2,800 for average workers. He mentioned measures such as cheaper medicines, permanent urgent care clinics, and free TAFE. The Prime Minister asserted that the government was giving Australians a fair chance at buying their first home, contrasting this with the opposition's stated intention to repeal these measures.

Answer from Anthony Albanese

The Prime Minister confirmed that the budget papers indicated an increase in housing supply by at least 30,000 homes. He noted that the $2 billion Local Infrastructure Fund would help deliver as many as 65,000 additional dwellings during the ten-year period, bringing the Homes for Australia plan to $47 billion. He listed measures including public housing through the Housing Australia Future Fund, build-to-rent schemes, shared-equity schemes, and changes to negative gearing to encourage investment in new supply. The Prime Minister also highlighted workforce support measures, such as free TAFE and a $10,000 incentive for construction and electrical apprentices, stating that all these initiatives aimed to boost supply.

Answer from Anthony Albanese; Madeleine King

The Prime Minister stated that the government had intervened in a bipartisan way with the Queensland government to defend the phosphate industry in Mount Isa, noting that without intervention, the situation would have been dire. The Minister for Resources added that the budget included a $7.5 billion package for fuel and fertiliser security. She noted that 90,000 tonnes of urea had been secured for Australia through Export Finance Australia, along with 250,000 tonnes from Indonesia. The Minister highlighted a $475 million federal commitment to the Perdaman urea facility in Karratha, including loans to Perdaman, the Pilbara Ports Authority, and the Water Corporation, aiming for urea independence by the middle of next year.

Answer from Clare O'Neil

The Minister stated that homeownership rates were declining, particularly for younger Australians, with low-income young couples half as likely to own a home as in 1980. She highlighted the five per cent deposit program, which had reduced the time to save a deposit from 11 years to two or three, benefiting 240,000 Australians. The Minister noted that the homeownership package would help an additional 75,000 Australians transition from renting to homeownership. She identified the risk that the Liberal Party planned to oppose and unwind these reforms at the next election, contrasting this with the government's commitment to helping first home buyers.

Answer from Jim Chalmers

The Treasurer stated that net overseas migration had decreased by 45 per cent from its peak, which was inherited from the previous government. He noted that in the last full year, migration was 30,000 fewer than the Treasury forecast. The Treasurer highlighted that dwelling commencements were up 26 per cent, building approvals up 13 per cent, and dwelling investment up 5.5 per cent, contrasting these with declines under the previous government. He mentioned an extra $2 billion investment in the budget to support 65,000 homes by funding local infrastructure such as drains, power, and roads.

Answer from Mark Butler

The Minister stated that the budget provisioned $25 billion in additional hospital funding, with Tasmania receiving almost $1 billion. He noted that Medicare urgent care clinics were made permanent, with the Devonport clinic seeing more than 40,000 people. The Minister highlighted that in Braddon, seven out of 10 general practices bulk-billed all patients, and 212 million cheaper scripts had been provided. He also mentioned investments in mental health, including a new centre in Devonport and upgrades in Burnie.

Answer from Jim Chalmers

The Treasurer stated that the tax reforms aimed to align the tax treatment of workers with those earning income from other legitimate sources, addressing distortions that made it harder for young people to buy homes. He noted that the tax package provided cuts to 13.3 million workers. The Treasurer quoted the Shadow Treasurer's past writings and speeches, which criticized the preferential treatment of capital gains and argued that the tax system favored established interests over young Australians, suggesting the Shadow Treasurer's current position was inconsistent with his previous views.

Answer from Jim Chalmers

The Treasurer stated that the tax reform package aimed to align tax treatment between workers and other income earners, level the playing field for first home buyers, and improve productivity. He noted tax cuts for more than 13 million workers and incentives for innovation and small business. The Treasurer mentioned changes to capital gains and negative gearing to address distortions introduced by the Howard-Costello government. He contrasted the government's focus on aspiration for more people with the opposition's approach, which he described as favoring a few Australians.

Answer from Anthony Albanese

The Prime Minister stated that the government was ensuring young people were not left behind in the housing market. He clarified that people could still negatively gear properties and apply the 50 per cent capital gains discount, but the changes would encourage investment in new homes rather than existing ones, benefiting both individual aspiration and national housing supply. He contrasted this practical approach with the opposition's focus on internal leadership disputes.

Answer from Chris Bowen

The Minister stated that the budget included a $14.8 billion package for fuel security, including a $1.1 billion fund for cleaner fuels like biofuels. He highlighted a $3.2 billion commitment for a government-owned strategic fuel reserve, which had been welcomed by rural and regional groups. The Minister criticized the opposition for opposing the government-owned reserve and noted that their proposal to increase private sector stock obligations to 60 days was mathematically incorrect, as a billion litres only equated to 37 days of supply.

Answer from Mark Butler

The Minister stated that the government was determined to get the NDIS back on track due to rapid cost growth and fraud. He announced that legislation would be introduced to implement financial controls. The Minister noted that only nine per cent of NDIS participants were registered as CALD, despite 30 per cent of the population identifying as such. He mentioned that a CALD strategy had been co-designed with over 800 people and that an expert advisory group would be expanded to include reforms relevant to the CALD community.

Answer from Richard Marles

The Minister stated that Australia had participated in a multinational military mission meeting regarding the Strait of Hormuz and had committed an E-7 Wedgetail. He highlighted a significant increase in defence spending of $141.2 billion across the forward estimates period and $53 billion across the ten-year period. The Minister noted that since coming to government, defence spending had increased by $30 billion over four years, compared to $10 billion over nine years under the previous coalition government. He emphasized that the budget aimed to provide a more capable Defence Force to keep Australians safe.

Answer from Anthony Albanese; Matt Keogh

The Prime Minister stated that the budget included significant additional investment in veterans' affairs, including $800 million in response to the royal commission into veteran suicide. He noted that the government had addressed a backlog of claims by increasing public servants. The Minister for Veterans' Affairs added that an annual monetary cap for allied health services was introduced to remove overservicing, while increasing fees paid to allied health professionals by $169 million to improve access to care.

Answer from Sam Rae

The Minister stated that the budget included a significant boost to residential aged care, building on more than $1 billion invested since 2022. She highlighted the delivery of 5,000 real beds every year. The Minister noted that Stolen Generations redress payments would no longer be counted in means assessments. She mentioned that no older Australian in the Support at Home program would incur costs for assistance with bathing, getting dressed, or managing incontinence, and that end-of-life care would be extended.

Answer from Jim Chalmers

The Treasurer acknowledged that more work and consultation were needed for the startup and venture capital sector. He stated that the budget was supportive of venture capital and that the government had been consulting privately with the sector. The Treasurer committed to continuing work on issues such as the calculation of the cost base for capital gains tax to ensure the best outcome for this important part of the economy.

Answer from Mark Butler

The Minister stated that the NDIS was growing too fast and costing too much, with costs blowing out by more than $13 billion since December. He announced that legislation would be introduced to control scheme and plan inflation. The Minister outlined four pillars: fighting fraud, slowing cost increases, clarifying eligibility, and delivering quality supports. He projected that the NDIS would cost $55 billion by the end of the decade, down from $70 billion, but would continue to grow annually.

Answer from Anne Aly

The Minister stated that the budget included $3.5 billion in new business tax relief. She highlighted that the $20,000 instant asset write-off was made permanent, saving small businesses around $32 million annually in compliance costs. The Minister noted the introduction of a permanent two-year loss carry-back and a commitment to cutting regulatory costs by over $10 billion. She also mentioned improvements to skills recognition and skilled migration systems to help small businesses access a skilled workforce.

Answer from Mark Butler

The Minister stated that the budget included approximately $500 million in new funding to increase Medical Research Future Fund disbursements to $1 billion annually by the end of the decade. He noted that a unified strategy had been delivered to the government by Rosemary Huxtable. The Minister indicated that he would wait for budget outcomes regarding MRFF disbursements and the one-stop shop for clinical trials before releasing the strategy, but would have more to say in the coming days.

Answer from Kristy McBain

The Minister highlighted a $14.8 billion plan to secure fuel and strengthen supply chains. She noted a nearly $580 million investment to keep Medicare urgent care clinics open, with 47 clinics in regional, rural, and remote areas. The Minister mentioned a $25 million investment for six new bulk-billing clinics in the Hunter region. She stated that $500 million was dedicated to local enabling infrastructure for housing in regional Australia. Additionally, an extra $750 million was committed to the Growing Regions Program and Thriving Suburbs Program, bringing total investment since 2022 to $1.7 billion.