Child care money over ‘cash splash’ relief

Dominic Giannini | October 31, 2022

Anthony Albanese is defending his decision to pump money into long-term investments rather than handouts for struggling families.

The prime minister said short-term rebates and cash injections would hurt Australians in the long run with rising interest rates and inflation. 

The government is instead focusing on its plan for cheaper childcare and increase in paid parental leave.

“What our commitment does is take that pressure off,” he told reporters in Melbourne on Monday.

Mr Albanese said cheaper child care would help both parents and the economy by offering cost of living relief for working families.

“That’s why our measures were to pick childcare, cheaper medicines, more affordable housing, getting wages lifted,” he said.

“These are all good policies to make a difference without putting pressure on inflation.”

Treasurer Jim Chalmers said the budget was “family-friendly” by taking pressure off parents.

“Cheaper child care is cost of living relief with an economic dividend,” he said at a childcare centre in Brisbane. 

“This is all about mums and dads being able to work more and earn more and it’s all about businesses being able to find those workers they need to.”

Dr Chalmers said a “cash splash” would have been easy.

“But that wouldn’t have been right or responsible,” he said.

“We’ve done what we can in the budget to provide cost of living relief in the most responsible way that doesn’t push up inflation.”

Dr Chalmers said more work was being done on lowering energy prices.

Opposition Leader Peter Dutton attacked the government for outlining higher energy prices in the budget despite its pre-election promise to lower bills by $275.

“They should have detailed that plan in the budget,” he said.

The government is also doubling down on tax dodgers.

Assistant Treasurer Stephen Jones said the government was chasing an annual shortfall of more than $33 billion in unpaid tax.

“The vast majority of taxpayers do the right thing but cheating on your taxes is not a victimless crime,” he said.

“It directly impacts funding for vital service, from equipping our defence force personnel to caring for our aged.”

The regulations are expected to claw back $5.7 billion.