PM, Labor make big cash pledges

Finbar O'Mallon and Maeve Bannister | April 24, 2022

The prime minister has doubled down on a promise not to introduce new taxes as Labor pledges to throw more than $500 million at Veterans’ Affairs to fix a backlog in support claims.

Visiting Alice Springs on Sunday, Scott Morrison also spruiked a $300 million package for a new hydrogen hub and multiple carbon capture storage sites in Darwin.

Mr Morrison’s tax pledge adds $100 billion to the national debt as part of a “lower tax guarantee” with no new income, superannuation, business or housing taxes if the Liberal-National coalition is re-elected.

“(Our) government has shown that it knows how to manage money and has a strong economic plan for the future. That means that (Australians) can have certainty going forward,” he told reporters in Alice Springs on Sunday. 

“We can give these sort of ironclad guarantees on no new taxes because that’s what we’ve done.” 

The coalition also upped its scare campaign, suggesting Labor would introduce new taxes despite the opposition repeatedly ruling it out. 

Labor has floated taking stronger action to curb multinational tax evasion and said more details on their plan will be announced soon.

Shadow Treasurer Jim Chalmers said the latest announcement from the Liberals was contrary to a commitment Australia had previously made. 

“There have been important global developments when it comes to multinational taxes. Scott Morrison and Josh Frydenberg have said previously that Australia should be part of them. Today, (they’re) saying that we shouldn’t,” he told reporters in Brisbane on Sunday.

“(Morrison) can’t have it both ways. He can’t give a commitment to no new taxes at the same time as he’s given a commitment to the global community to do something meaningful about multinationals.”

Mr Morrison said his tax guarantee will mean Australians will be $100 billion better off but there are questions over whether this figure represents already legislated cuts.

Anti-fracking protesters loudly chanted throughout the prime minister’s press conference in the NT but he said they were “entitled to their views” on his hydrogen hub commitment for the territory. 

“We’re investing heavily in ensuring that the Northern Territory has a strong industrial future,” he said.

“And there are some loud voices out there today, but there are many, many quiet voices all around this country which want to ensure that we have a strong economy on the basis of balanced and sensible economic policy.”

Meanwhile, Opposition Leader Anthony Albanese – who remains in isolation with COVID – has dubbed the crisis in Veterans’ Affairs a “national disgrace”, saying there are 60,000 unresolved claims for help.

“For so many of our veterans, the war does not end when they leave the battlefield. Just as they stepped up for us, we must step up for them,” Mr Albanese said.

Labor’s announcement of more than $500 million for Veterans’ Affairs, on the eve of Anzac Day, aims to cut waiting times, build new support hubs, increase veteran home ownership and boost pension and employment programs.

On Friday, the prime minister announced a re-elected coalition government would establish 14 new Veteran Wellbeing Centres providing access to health and wellbeing support, at a cost of $70 million.

Mr Morrison will head to Darwin later on Sunday for an Anzac dawn service on Monday, with Labor deputy Richard Marles to attend in Mr Albanese’s stead.

Meanwhile, Deputy Prime Minister Barnaby Joyce appears to be walking back previous comments where he compared the Solomon Islands’ security deal with China to the Cuban missile crisis. 

Mr Joyce said he believed the assurances from the Solomon Islands’ government that a Chinese naval base would not be established in the country. 

“I just hope that China does not get the capacity to set up a naval base because it’s obviously an intimidating tactic to Australia,” he told ABC’s Insiders.