Shadow Treasurer Angus Taylor has hailed the figures in today’s Final Budget Outcome as a testament to the coalition’s strong economic management.
The deficit improved by over $100 billion or 5 percentage points of GDP between 2020-21 and 2021-22, revealing a remarkable turnaround in the Australia’s financial position.
There is a $48 billion reduction in the deficit, $115 billion reduction in debt compared to the March Budget and a surplus in the most recent month of June of $1.4 billion.
Mr Taylor said this was a remarkable result, especially when you consider that for the first quarter of the year, both NSW and Victoria were still in COVID lockdown.
“The Final Budget Outcome shows that when you get the economic setting right, you get a fiscal dividend,” he said.
“We have seen tax receipts up, including strong receipts from incomes tax. That is people in jobs, driving the economy and paying taxes.
Mr Taylor said that Australians should now be concerned that despite a $115 billion reduction in the debt over the last year, the Treasurer confirmed today that his only plan is to add to it and tax Australians more.
“We know that Australians are feeling acute pain from the rising cost of living at the checkout, at the fuel pump, of course when they buy furniture for their houses, and when they make mortgage payments and we know more of that is to come as we approach Christmas,” Mr Taylor said.
“What we want to see from the government, we want to see from Labor, is a coherent plan.”
Shadow Minister for Finance Jane Hume said that what we need is fiscal policy and monetary policy working together.
“The Government can’t leave it to the Reserve Bank to go it alone on inflation,” she said.
“We want the Government to succeed in this. We need the Government to succeed in this because the cost of failure is far too great for Australians.”