Interview with Michael Rowland, ABC News Breakfast
3 April 2019
MICHAEL ROWLAND: Prime Minister Scott Morrison, good morning to you.
PRIME MINISTER: G'day, Michael.
ROWLAND: Isn't this the most nakedly political budget in Australian history?
PRIME MINISTER: Michael, this is our economic plan to ensure that our economy is built strong over the next decade and that Australians have the opportunities that they're seeking for themselves, because this is a Budget that is backing hardworking Australians. It's a fair go for those who have a go, that's what underpins this Budget. As Australians continue to do the hard work, then they'll get the rewards for their hard work. That's what the Liberal and National Parties have always done and that's what has enabled us to bring the Budget back to a surplus budget for next year. That's the first time we have seen that in a decade.
We're going to invest that surplus in infrastructure and services. $461 million to combat youth suicide in this country, that's what a budget surplus and a stronger economy can do to tackle what I think is one of the biggest social and health challenges we have in this country.
ROWLAND: It's a promise of a surplus of $7 billion next financial year, but how robust is that promise given as we saw in the Budget documents last night, very considerable risks from overseas and risks here care of those falling house prices. How confident are you that you'll actually hit that Budget surplus next year and for that matter the years afterwards?
PRIME MINISTER: I’m very confident because that has been our form. I mean, last year when I delivered the Budget, what we’ve seen over the course of this year is that we’ve ended up $10 billion better and it was the same the year before. So we’ve always had these headwinds but we’ve always budgeted in a very conservative way and we have bettered the performance in the Budget consistently.
That's the difference between the Liberal and National Parties when we budget - we do it sensibly - and when the Labor Party did it, you know, they just ran up huge deficits while promising surpluses. Now, that's the big difference between the Labor Party and ourselves; we do these things carefully and responsibly. We balance reward, responsibility and reality when we put our budgets together and that's why we have seen the improvement in the performance of the Budget that we have. But that budget surplus is all about, now, investing to pay down debt and deliver the essential services in health and education. I mean, health and education funding over the last five and a half years, has increased over 60 per cent for state schools and for hospitals. That’s what we have been delivering. A 27 per cent increase in Medicare funding since we’ve come to government. This is what we have been delivering and our Budget that we handed down last night continues that investment, based on a strong economy.
ROWLAND: How much of this Budget, though, is aimed at neutralising Labor politically? I ask that question because the Labor Party has already vowed to match the first round of tax cuts announced last night?
PRIME MINISTER: Well, Labor makes all sorts of promises when it comes to the economy but their record speaks for itself. What this is about is our plan for the decade that we're going to live in. The decade that people are going to run businesses in, that people are going to find work in. 80,000 apprentices funded to support our growing economy and help people get into work and build the big infrastructure projects that we have got rolling out. $100 billion of important investments in infrastructure, whether it's the $500 million that we're putting into the Princes Highway, that notorious stretch of road down on the south coast of New South Wales, or the funds we're funding in Fast Rail from Melbourne to Geelong, $2 billion, which is going to ease population pressures in our big cities.
This is what our plan is doing; it's about growing our economy, taking the tax burden, taking the tax monkey off people's backs - not just for some as Labor promise and they only promise it - but for all. See, the Labor Party always wants to say they’ve got to bring some people down to lift people up. We don't in believe in that. We believe that the Australian economy performs better when all Australians are rewarded for doing better. Labor wants to punish some and we’re not that in business. We're in the business of rewarding and supporting all Australians.
ROWLAND: Let's talk about lifting the poorest people up. In a Budget boasting $45 billion worth of surpluses Prime Minister over four years, why was there no scope at all to raise the Newstart Allowance?
PRIME MINISTER: Well, what we're doing for people who are looking for jobs is getting them into work. The difference about Newstart Allowance is that people on Newstart aren't intended to be there for a long period of time and they also have access to a range of other income support payments. The Newstart Allowance is indexed twice a year, just like all other welfare payments, it's not frozen. It goes up actually twice a year and that's what is built into the Budget going forward.
ROWLAND: It is a measly figure, $277 a week. Even Arthur Sinodinos, your colleague on Q&A on Monday was saying it needs to go up.
PRIME MINISTER: He didn't say now, I stress, he did not say it needed to go up now. He said that's something you consider down the track, but what we're doing is getting those people in record numbers who are on Newstart, into jobs. That's the best form of welfare, Michael. Actually to get people into a job and under our Government, that's what has been happening in record numbers, particularly for young people.
Under our Government, we had the biggest year of employment growth for 15 to 24-year-olds. That changes lives. We have had 1.2 million jobs created since we have come to government and our pledge for a further 1.25 million jobs over the next five years, is backed in by the economic plan that we outlined and we handed down last night.
A Budget back into surplus for the first time in 12 years that now is invested in paying down debt and investing in things like youth mental health, investing in supporting carers to get respite, in record funding for hospitals and for schools. These are the things that make the difference in people's lives.
ROWLAND: Okay, just about out of time. Finally, Prime Minister, we're clearly about to go into election campaign mode. Once election day rolls around, isn't the only surplus Australian voters will be concerned about is the surplus of Liberal prime ministers over the last six years?
PRIME MINISTER: I think that's what the bubble worries about. But what Australians are going to decide at the next election –
ROWLAND: You don't think voters will look back and discount you for all the… for the muppet show, your words, we saw last year?
PRIME MINISTER: I think what they're going to do at the next election is decide who they want to continue to lead the country over the next three years. We changed the rules when I became Prime Minister, we changed the rules in our Party. So at this election, be very sure about this, there's a choice; myself as the leader of the Liberal Party together with the Nationals to lead the country for another three years and keep our economy strong and secure our future. Or, you can have Bill Shorten and the Labor Party with their higher taxes.
You vote for Bill Shorten, you are guaranteed Bill Shorten. You vote for me, Scott Morrison as Prime Minister, you are guaranteed me. So the choice is about the future. The choice is always about the future in an election and our future, the economy that we will continue to lead, is one where Australians will have better opportunities, higher wages, more growth, more employment, a better future and stronger services.
ROWLAND: Prime Minister, really appreciate your time, thank you so much for joining News Breakfast.
PRIME MINISTER: Thanks a lot, Michael.
