Peter Debnam MP
NSW Liberal Leader
NSW Liberal Leader and Shadow Treasurer Peter Debnam said today first analysis of Morris Iemma's election year Budget shows the Labor Government is still in denial about the rundown of the NSW economy.
"Courtesy of Morris Iemma, NSW will be heading into serious deficit in the next year and will borrow $7.6 billion prior to the election," Mr Debnam said.
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"The Budget papers show the 2005/06 result has been bailed out by Morris Iemma's $700 million in tax increases since he became Premier and playing the stockmarket through superannuation investment funds," he said.
"It seems the only growth in NSW has been in the Premier's Department where the re-elect Morris Iemma campaign unit is booming.
"The Premier's Department Budget will increase by 9%; the Cabinet Office will rise by 12.7% and for all portfolios under the Premier the budget has increased by $88.3 million to $538.2 million while preschools get only $8 million.
"Symbolically, the only office in the Premier's Department to shed bureaucrats is the Office of Performance Development.
"This Budget will see Morris Iemma continue as the highest taxing Premier in Australia – with the Labor Government raking in a record tax take.
"The story of the NSW Budget is one of denial, deficit and debt.
"It's clear the Iemma Labor Government is in denial about the extent of NSW economic woes.
"Today's Sensis Small Business Survey shows business confidence in NSW at 'rock bottom'.
"And it's putting yesterday's problems on our grandchildren's credit card through $7.6 billion of borrowing before the Election," Mr Debnam said.
NSW Liberal Leader and Shadow Treasurer Peter Debnam said today comments by Treasurer Michael Costa show the Iemma Labor Government is still in denial about the rundown of the NSW economy.
Here's the transcript of Michael Costa with Steve Price on Radio 2UE this afternoon:
Price: "I'm not exaggerating, I'm just dealing with the facts, we have the highest unemployment rate, the lowest growth rate and we're the highest taxed state in the Commonwealth, they're all facts aren't they."
Costa: "They are facts that have little significance. They have little significance in economic terms."
"The story of the NSW budget today - delivered on D-Day - is one of denial, deficit and debt," Mr Debnam said.
"Michael Costa's dismissal of the fact NSW has the highest taxes in Australia; has the highest mainland unemployment and lowest growth rate in Australia arrogantly demonstrates the problem within the Iemma Labor Government," he said.
"Well, Michael Costa should tell that to the families struggling with mortgages; tell that to the small business owners crumbing under the weight of payroll tax; and tell that to those people who have lost their jobs as businesses flee interstate to cities with more competitive taxes and investment regimes than NSW.
"Morris Iemma and Michael Costa's only interest seems to be pushing out as many promises as possible a few months before the election," Mr Debnam said.
Brad Hazzard MP
Shadow Minister for School Education, Shadow Minister for Aboriginal Affairs
Today’s budget once again leaves teachers wanting, students desperate and public education lacking support in critical areas.
“The crisis in public education will continue as today’s dud budget has done little beyond play catch up – and poorly at that,” Shadow Minister for School Education, Brad Hazzard said today.
“The maintenance in schools is so far backlogged that the Vinson inquiry highlighted the need for an additional $90 million per year over two years to start to catch up.”
“This stingy budget has allocated just $30 million additional per year (for four years) to maintenance which will make no real impact.”
“Fencing in schools is a huge issue as just one act of vandalism can cost anywhere from thousands to tens of millions of dollars.”
“Today’s budget tells us that 35 schools will get fencing in the next year – but even this is old and insufficient news.”
“In 2003 the Government announced it would fence 200 schools over the next four years – that is an average of 50 per year.”
“This year, the Iemma Labor Government won’t even deliver on that average.”
“School counsellors are in desperately short supply as highlighted by the Vinson inquiry.”[*1]
“Nowhere in this budget is there any additional funding for counsellors despite the creation of eight more behavioural schools and seven tutorial schools for students with major issues.”
“English as a Second Language (ESL) teachers will remain in short supply despite previous highlighting of the desperate need for such teachers”[*2]
“Labor’s response to the pressures on public education has been to ignore it again in this budget.”
*1 for every 1000 students - Second report: Inquiry into the provision of public education in NSW (Professor Tony Vinson), page 58
*2 Teachers call for a fair go in the state budget – NSW Teachers Federation media release 15th May 2006
Peter Debnam MP
NSW Liberal Leader
NSW Liberal Leader Peter Debnam today announced a Liberal/Nationals Government would abolish the Cabinet Office and downsize the Premier’s Department, freeing up millions of dollars for essential frontline services.
“The Premier might prefer to keep his well-paid backroom bureaucrats but I’d prefer to put that money into frontline services,” Mr Debnam said.
“The essential functions of the Cabinet Office will be transferred to the Premier’s Department, which itself will be downsized. All savings will be transferred to frontline services,” he said.
“We want less spent on waste and bureaucrats and more invested into frontline services for the people of NSW.
“The Iemma Labor Government has increased the Cabinet Office budget by 12.7% this year - resulting in another $4.3 million of taxpayers money being spent on back room bureaucrats.
“Morris Iemma is also increasing funding for the Premier’s department to more than half a billion dollars.
“The budget reveals funding for the Premier’s Department will top $538.2 million in 2006/07 courtesy of an $88.3 million funding increase.
“Despite the predicted deficit and the need to borrow billions, this budget shows Labor has no intention of cutting waste or spending on itself. Premier Iemma – just like his mentor Graham Richardson – will do whatever it takes and promise whatever is needed to win the next election.
“It seems the only place experiencing jobs growth in NSW is in the Premier’s own Department!
“There is something particularly obscene about a government going into debt while at the same time spending more and more money on the Premier’s re-election campaign.
“In exchange for less backroom bureaucrats the people of NSW will get better hospitals and schools, better law enforcement and better public transport under a Coalition Government,” Mr Debnam said.
Chris Hartcher MP
Shadow Minister for Industrial Relations
Shadow Minister for Industrial Relations, Chris Hartcher, today ridiculed Morris Iemma for again being one step behind his Victorian counterparts
The Victorian Government today announced a further 10% reduction in workers compensation premiums for the state’s employers. It is the third 10% cut in Victorian workers compensation premiums since 2004.
By comparison, the NSW Labor Government has cut workers compensation premiums by 5% last year and 10%, which only comes into force later this year.
“Victoria now has an average workers compensation rate of 1.62% compared with NSW higher average of 2.17%.
“Morris Iemma loves to claim, and he did so again yesterday, that he’s cut NSW workers compensation premiums by 15%. This is, in fact, not true. He’s cut rates by 5% and then 10% will be cut from the subsequent remainder.
“Victoria has cut its workers comp rates in the same way but at much higher levels; 10%, then another 10% and another 10% again today.
“The Victorian Government seems to understand more than the Iemma Government about luring business toward their state.
“They understand workers compensation rates in NSW are hurting NSW businesses and driving business toward Victoria.
“Victoria is welcoming businesses with open arms by providing competitive workers compensation rates.
“The Coalition has been calling on cuts to workers compensation premiums for years. Finally the Labor Party got their act together and did something. Now it seems they well and truly missed the boat.
“The Coalition was right and the Labor Party was very, very wrong.
“The Coalition today announced the reinstatement of workers compensation exemptions for apprentices and trainees. This is a good policy, which will encourage business back to NSW.
“The NSW Government needs to immediately deflate the bloated WorkCover Authority, reduce workers compensation rates to allow NSW to compete with Victoria and implement the NSW Coalition’s policies for OH&S to make workplaces safer and fairer," Mr Hartcher said.
Andrew Humpherson MP
Shadow Minister for Emergency Services
One of the hardest working organisations in NSW, the State Emergency Service has been dealt a poor hand yet again by the State Labor Government in its budget announcement.
"The budget for the State Emergency Service has increased by just $1 million for next year," said Shadow Emergency Services Minister Andrew Humpherson.
"Accounting for inflation and an extra $2.7 million dollars to be spent on fulltime staff, the fact is there will be less money making its way out to volunteers in the rescue units next year,"Mr Humpherson added.
"The Premier has made just $800,000 available for emergency response vehicle purchases in the SES across all of NSW.
"That is $800,000 to be divided amongst more than 230 SES units and 10,000 volunteers statewide.
"This is a slap in the face to one of the most respected and necessary organisations operating in this state for more than half a century.
"There continues to be a disproportionate level of funding provided to this arm of the emergency services.
"Just about everyone will benefit either directly or indirectly from the services of the SES at sometime or other, whether it be securing a home after storm damage or being rescued at the scene of an accident.
"Yet is has again missed out on adequate funding in this state budget.
"These selfless volunteers work around the clock when needed, yet don't get the credit, or more importantly, the backing they deserve.
"These quiet achievers have once again been overlooked by the State Government," Mr Humpherson concluded.
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