❓ The Treasurer outlines the Commonwealth budget's impact on WA, stating it enhances the state's budget by $269 million over forward estimates, primarily through policy changes. He criticises the opposition's claims of negative impacts.
AnsweredQoN 474Legislative Assembly
QuestionView source ↗
COMMONWEALTH
BUDGET — STATE IMPACT
474. Mr S.K. L'ESTRANGE to the Treasurer:
In light of recent commonwealth budget announcements and
misinformed views held by members opposite regarding the impacts on Western
Australia, could the Treasurer please provide a summary of the actual impacts?
BUDGET — STATE IMPACT
474. Mr S.K. L'ESTRANGE to the Treasurer:
In light of recent commonwealth budget announcements and
misinformed views held by members opposite regarding the impacts on Western
Australia, could the Treasurer please provide a summary of the actual impacts?
AnswerView source ↗
I thank the member for the question. Every year, our budget
is brought down at a similar time—right before or right after—the
commonwealth budget, and the commonwealth budget often has significant impacts
on ours. When the commonwealth budget came down right before ours, a range of
discussions took place in here. Members opposite were claiming: slash horror—the
commonwealth budget has pulled hundreds of millions of dollars out of our
budget! I think the member for Victoria Park asked me what it was, and I wisely
said that I would get advice first because it is sometimes hard to identify.
But I am pleased to say that overall the commonwealth budget enhanced our
budget over the forward estimates for 2014–15 to 2018–19 by
$269 million. I will go through it in some detail. Members opposite also hinted
that the impact was largely negative because of a policy decision by the Abbott
government. The commonwealth budget affects us in two ways—in policy
decisions by the Abbott government, and parameter changes with changes in
population and changes to measures of the national health target. The policy
changes all up helped our budget by $836 million. That includes $499 million —
Mr M. McGowan : GST
deal.
Dr M.D. NAHAN : GST
deal.
Mr M. McGowan : Are
you happy with that?
Dr M.D. NAHAN :
Yes, I am very happy with it. The Leader of the Opposition had nothing to do
with it! He hid from that issue like a coward. He had nothing to do with it. He
hid; he abrogated his responsibility as a leader in Western Australia. Do not
forget about that.
Several members interjected.
Dr M.D. NAHAN :
Other policy changes across a raft of areas added $337 million to our budget.
That is a total of $800-plus million. There were parameter changes that hit us,
and the largest one was GST. Basically, the commonwealth government made a
reduction in the assumption of the growth of the GST pool—less money in
the GST pool for everybody—and it also assumed our population growth
would be lower than we think, and lower relative to other states. Therefore, we
got less GST payments over the forward estimates. All I say is that if it is
wrong and we are right, we get more money in the future; these are estimates.
We also get an additional $301 million from parameter changes for education,
but $303 million less for health because the national cost of hospital services
has gone down. Overall, the Abbott government has significantly helped the
state once more. There is $800-plus million in policy initiatives. Overall,
$269 million has been provided to help—so when the Leader of the
Opposition gets on the blower somewhere and starts decrying cuts by the Abbott
government, it is pure fiction.
is brought down at a similar time—right before or right after—the
commonwealth budget, and the commonwealth budget often has significant impacts
on ours. When the commonwealth budget came down right before ours, a range of
discussions took place in here. Members opposite were claiming: slash horror—the
commonwealth budget has pulled hundreds of millions of dollars out of our
budget! I think the member for Victoria Park asked me what it was, and I wisely
said that I would get advice first because it is sometimes hard to identify.
But I am pleased to say that overall the commonwealth budget enhanced our
budget over the forward estimates for 2014–15 to 2018–19 by
$269 million. I will go through it in some detail. Members opposite also hinted
that the impact was largely negative because of a policy decision by the Abbott
government. The commonwealth budget affects us in two ways—in policy
decisions by the Abbott government, and parameter changes with changes in
population and changes to measures of the national health target. The policy
changes all up helped our budget by $836 million. That includes $499 million —
Mr M. McGowan : GST
deal.
Dr M.D. NAHAN : GST
deal.
Mr M. McGowan : Are
you happy with that?
Dr M.D. NAHAN :
Yes, I am very happy with it. The Leader of the Opposition had nothing to do
with it! He hid from that issue like a coward. He had nothing to do with it. He
hid; he abrogated his responsibility as a leader in Western Australia. Do not
forget about that.
Several members interjected.
Dr M.D. NAHAN :
Other policy changes across a raft of areas added $337 million to our budget.
That is a total of $800-plus million. There were parameter changes that hit us,
and the largest one was GST. Basically, the commonwealth government made a
reduction in the assumption of the growth of the GST pool—less money in
the GST pool for everybody—and it also assumed our population growth
would be lower than we think, and lower relative to other states. Therefore, we
got less GST payments over the forward estimates. All I say is that if it is
wrong and we are right, we get more money in the future; these are estimates.
We also get an additional $301 million from parameter changes for education,
but $303 million less for health because the national cost of hospital services
has gone down. Overall, the Abbott government has significantly helped the
state once more. There is $800-plus million in policy initiatives. Overall,
$269 million has been provided to help—so when the Leader of the
Opposition gets on the blower somewhere and starts decrying cuts by the Abbott
government, it is pure fiction.
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