Tuesday, May 14, 2013

Australian Treasurer Wayne Swan has today handed down his last budget before the 2013 Federal election. He announced two financial years of deficits before the budget returned to surplus in 2016/2017. The deficit for 2013/2014 is to be A$18 billion.

“This year, we’ve faced the second largest revenue write down since the Great Depression,” he said. There is to be a A$60 billion write down over four years. “Because of our deep commitment to jobs and growth, we have taken the responsible course to delay the return to surplus, and due to a savage hit to tax receipts, there will be a deficit of $18 billion in 2013/14”.

Infrastructure spending includes A$12.9 million to connect more local governments to the national broadband network, A$40 on other local government infrastructure, investment in Brisbane’s cross river rail and Melbourne’s Metro rail system.

People earning the Newstart Allowance can now earn more from paid employment before there payments from the government are cut. Mr Swan announced the so called “Baby Bonus” was to be merged into the Family Tax Benefit Part A.

“Family Payment system reshuffle leaves poorest worse off!” Australian Greens leader Christine Milne tweeted.