Opposition Leader Peter Dutton’s Budget in Reply 2023-24

For a second time as Leader of the Opposition, the Hon Peter Dutton MP has tonight handed down his Budget in Reply Address. As the Coalition nears the first anniversary year of its time in opposition, Mr Dutton used his speech to highlight ongoing cost of living pressures, a ‘safer and better society’, migration, energy and taxation.

“We will restore economic responsibility – by balancing the budget; getting debt, deficit and inflation down; and doing much needed structural reform.”

Nexus APAC have developed an overview of the key themes of this evening’s Budget in Reply.

Cost-of-living and inflation

Earlier today, Shadow Treasurer, the Hon Angus Taylor MP described the Albanese Government’s Budget as, ‘a missed opportunity to ensure that there’s downward pressure on inflation and interest rates.’

Mr Dutton strongly echoed this sentiment, citing mounting costs, mortgage repayments, gas and electricity bills, supermarket and petrol station receipts, and insurance premiums as evidence during his speech to the Australian people.

He argued that ‘inflation is coming from Canberra’, denying the notion that the war in Ukraine is a primary contributor to Australia’s 6.6% core inflation, a figure higher than every other G7 nation.

Of the Government’s $14.6 billion cost-of-living package, Mr Dutton said, ‘It’s a band-aid now, but much more pain later.’

Migration and Housing

In his address, Mr Dutton outlined the Coalition’s intention to ‘sensibly manage migration…in conjunction with proper infrastructure planning.’

Echoing sentiments raised in October 2022’s Budget in Reply Address, Mr Dutton also used his speech to reaffirm the Coalition’s policy commitment to allow Australians to use superannuation when buying a first home. He described home ownership as the best way to empower Australians, and ‘make them masters of their fate.’

Energy

Mr Dutton also acknowledged Mr Andrew Mitchell, Chief Executive Officer of Safcol. In particular, citing his business’ increased energy bill for the impact on jobs, money, and industries due to the energy crisis.

Highlighting the Government’s plans for nuclear technology to power submarines, Mr Dutton called for the consideration of small modular nuclear as part of Australia’s energy mix. He described next- generation small nuclear technologies as safe, reliable, cost-effective, and able to be integrated into existing grid infrastructure.

Finally, Mr Dutton also committed a Coalition Government to supplying more gas into the domestic energy system.

Taxation

In response to Labor’s approach to taxation, Mr Dutton first called on the Government to reintroduce the Coalition’s self-imposed 23.9 % limit on the tax-to-GDP ratio.

Mr Dutton also reaffirmed his commitment that, if elected, the Coalition would reverse Labor’s decision to lift from 15 % to 30 % the tax on earnings on the component of superannuation funds above $3 million.

In response to the biosecurity levy on farmers, fishers and foresters, Mr Dutton said farmers would be forced ‘to unfairly pay for the risks of international exporters,’ which would be ‘passed onto Australians in the form of higher prices at the supermarkets.’

Instead, he committed to a replacement measure – an importer container levy – as recommended by the independent Craik Biosecurity Review.

Health

In a show of bipartisanship, Mr Dutton supported the Albanese Government’s decision to fund new medicines and general practice in Tuesday night’s Federal Budget. He then also engaged with the policy areas of mental health and women’s health to outline targeted Coalition spending that would include:

• An increase in the number of Medicare-subsidised psychological sessions from 10 to 20, as well as their subsidy on a permanent basis;
• An investment of $4 million to Ovarian Cancer Australia; and
• An allocation of $5 million to review women-specific health items on the Medicare Benefits Schedule and corresponding treatment on the Pharmaceutical Benefits Scheme.

Mr Dutton referenced women’s quality of life and economic and social participation to support better access to quality care for women-specific pain conditions.

‘A safer and better society’

Mr Dutton utilised his Budget in Reply speech not only to critique Labor’s Federal Budget, but also to make commitments, specifically regarding community safety.

Those commitments included funding the Safer Communities Fund, doubling the size of the Coalition-established Australian Centre to Counter Child Exploitation, and imposing ‘more onerous obligations’ on large digital companies to prevent scamming and fraud. Additionally, Mr Dutton re-affirmed the Coalition’s commitment to re-instating Cashless Welfare Cards.

Of note, Mr Dutton announced that a Coalition Government will move to ban sports betting advertising during the broadcasting of games. Advertisements would be banned for an hour on each side of a sporting game.

If you wish to know more or would like a briefing on how the Budget and Budget in Reply will impact your business, do not hesitate to contact the Nexus APAC team.