Mr Abbotts Test: Will He Support or Wreck the Surplus?

03 May 2012

In five days, the Government will hand down its fifth Budget and continue its record of strong economic management.
Just like we stepped in during the global financial crisis to protect jobs, we will deliver a budget surplus next Tuesday because it is appropriate for our economic conditions.
Our economy is returning to around trend growth and we have low unemployment and contained inflation.
A budget surplus will continue to give the Reserve Bank greater flexibility to move on interest rates should it see fit, and will put us in a good position given ongoing global uncertainty.
Mr Abbotts Budget-in-reply speech next week will be a test of his commitment to a surplus.
It will be a test of whether he will support the Governments responsible savings measures, or whether he plans to wreck the surplus.
It will be a test of whether hes up to detailing real savings, or whether he only puts forward dodgy costings.
Who can forget the $10.6 billion hole in the Coalitions 2010 election costings, conducted by so-called election auditors who have since been found guilty and fined for professional misconduct?
The last time Tony Abbott put forward policy costings that had been prepared by a catering company.
Mr Abbott should also explain to Australians what $70 billion in cuts to services hed make to fill his budget black hole.
The Gillard Government will outline its plan to return the budget to surplus in 2012-13 next Tuesday.
The question for Mr Abbott is if he is capable of putting his negativity aside and support a budget surplus.