Hello, and welcome to the Daily OS. It's Wednesday, the twenty sixth of March, and I'm Billy. Now. Usually in the afternoon we would be publishing our afternoon headlines, but today we have a very special edition for you. As you would have been able to tell from the title. On this episode, you will hear an interview with Prime
Minister Anthony Albanesi. Last night, the Labor government delivered its pre election budget, where it committed to tax cuts and energy bill relief, but the documents also show Australia is plunging further into deficit, which is likely to be shouldered by future generations. This morning, TDA political journalist Harry Sekulich caught up with Prime Minister Anthony Albanesi in his Parliamentary office courtyard to ask him about how the budget will
address issues that matter to young people. Here is that interview, Prime Minister, Thank you so much for time.
So the Daily Oss audience tell us consistently that mental health, supports and renting are the top concerns for them. But based on this budget, not much appears to be changing in those areas. So what is in the budget for young people?
Well, there's an enormous amount in the budget for young people. Firstly, of course the cutting of further cutting of hex decks twenty percent wiped out if we're elected to office and that will kick in in July.
It comes on top of the three billion.
Dollars we've already reduced Shouldn't debt by on mental health. We have increased support as well. What we're doing is having these Medicare mental health centers where people can go in get that mental health support that they need for free.
They just need their Medicare card.
We're funded in excess of sixty there's more than thirty of those centers are open right around Australia as well, providing that support. And in addition to that, of course, we've had a forty five percent increase in rental assistance. That has made a substantial difference and for young Australians who are at school and the future young Australians to come.
I think the agreement that was signed right here in this space this week with Couensine, which now brings every state and territory into the better and Fairer schools funding agreement that was identified more than a decade ago. But what this will do is an additional sixteen and a half billion dollars from the Comwealth, as well as additional funding from state and territory governments to make sure that every student in every public school gets the funding that they deserve and they need.
I just want to focus on some of the other cost of living measures that was in this budget. So that includes the tax cuts for all taxpayers, and also the energy bill relief which will be for all households, including those who might be on hir incomes. Do you think you should have focused on prioritizing those who are doing it toughest at the moment, Well, that's and targeting that support of cost living.
Well, that's precisely what you do when you have universality. So that if you look at the tax cuts they aimed at, people on that lower rate in particular will benefit in terms of the proportion the average tax that they pay by lowering that first rate that kicks in once you get past the tax free threshold up to forty five thousand dollars from sixteen cents to fifteen and then to fourteen. That will particularly benefit low income earners.
It will benefit part time workers, people who are students working their way through university or TAFE. It will make a difference for them. You can't when you're changing the tax scales. You can't change the first marginal tax rate and then change it at the top end or not
see that flow through. But we deliberately have targeted those lower middle income earners, which will mean that for average Australians will benefit because it's a top up from the tax cuts that began this year to the tune of two and a half thousand dollars extra dollars in people's pockets.
You could change those tax brackets though, so they could increase according to a measure like inflation or the wage price index. Would you consider adjusting the tax brackets.
Well, we are adjusting in the weedge, we're adjust We're adjusting them down, is what we're doing. What we did through our tax changes was take four and a half thousand dollars of legislative tax cuts that I was going to receive less and redistributed that to low middle income earners. And they're the changes that we put through. The opposition screen blue murder those changes, said that they'd oppose them,
said they'd roll them back. Then they said we should have an election well, they did what they said they wouldn't do, and eventually they passed the parliament because they had support from the crossbenches as well, and in the end they went through unanimously.
I just want to zoom out on the budget more broadly. We're heading into a twenty seven billion dollar deficit this year and the deficits are growing, and compared to last year's budget, they're actually estimated to be even deeper down the track. Who's going to be paying off this government debt?
Well, what we have done is produced, of course, two budget surpass, the first time that that has happened in decades. We inherited a seventy eight billion dollar deficit when we came to office. We turned that into a twenty two billion dollar surpace and then followed it up with another fifteen billion dollar surpas. The deficit which we announced last night, twenty seven billion, is half of what was anticipated just
three years ago under the coalition. So what we have done is we've made over almost one hundred billion dollars of savings, we have reduced debt by around about one hundred and eighty billion dollars, and going forward, the budget bottom line is two hundred and seven billion dollars better than the one that we inherited.
But compared to last year's predictions, last year's predictions were actually a lot rosier than what we saw last night. Prime and stuff.
Well, if you look at the midyear economic forecast, they've actually shown an improvement and that was just in December. What we've managed to do as to get inflation down to two point four percent, and unlike unlike what a whole lot of economists would say, which was to get inflation down, you've got to have unemployment rising, You've got to really put the brakes on and leave people behind. Now that's not the labor way, that's not a way
that I support. So we've managed to get inflation down whilst we're provided cost of living relief, not just tax cuts, not just energy bill relief, but cheaper medicines that have benefited Australians as well, free tape, all of these measures making a difference, cheaper childcare, two thousand and seven hundred dollars saved on childcare, whilst we've created.
One point one million jobs.
More jobs have been created since I've been Prime Minister than at any term in Australian history. Over the last one hundred and twenty five years, and our unemployment rate on average is lower than it has been. All of these measures are combining so that real wages are increasing and that has particularly benefited young Australians.
So, just on climate change, the budget showed us last night that after X tropical cyclic and OURFRED, Australia is expected to pay thirteen point five billion dollars in natural disaster repair. But we didn't see any significant investments into cutting emissions or any major climate announcements. Is there a disconnect between the government's climate priorities and spending measures.
Not at all.
We've got in place the safeguard mechanism, the capacity investment skin that a driving investment in renewables. What we are seeing with the investment that we have in renewables, and to take one measure that we had in last night's budget,
three billion dollars for green metals. If we can produce green alu medium and green steel in Australia driven by green hydrogen powered by solar and renewables, providing the green hydrogen that replaces coal in that system, then you have an enormous benefit going forward for reducing our emissions as well as supporting Australian jobs.
But those products and tax credits are going to continue into twenty thirty six. Based on the government's own official figures, you're not on track to meet the forty three percent reduction target on two thousand and five levels by twenty thirty.
You bet we are. You bet we're twenty two six, You bet we're on track.
We are very confident that what the measures that we have in place already have at forty two point six.
But what you are seeing is technology increasing.
One of the things that we will hit forty three percent by absolutely. The development of new industries like green or hydrogen mean that if we seize the opportunities which are there, not only can we drive our missions down, we can support jobs. We can support industries, including new industries which will open up.
What do you say to those people who want to see the government going further and faster on cutting emission.
That we're going as fast as we can whilst being responsible. We want to make sure that we continue to build community support.
We want to make sure we have energy security.
I see climate change as something that must go through all of our policies that we put forward and we have, of course the motor vehicle emission standards, that fuel standards that we're talked about for a long period of time. It's taken my government to get those fuel standards in place.
Just finally Prime mintersta just want you to picture a student that's heading to class today, maybe nineteen or twenty years old. He's not feeling too optimistic about the future of this country. What do you want them to know?
I want them to know that Australia has a great future if we seize the opportunities. There's no country in the world you'd rather be than Australia. Where we're located in the fastest growing region of the world in human history. That presents the opportunity for us to be a renewable energy superpower.
We need to compete in.
That region by how smart we are, which is why it's good if they're going to university or doing a TAFE course.
We need to.
Make sure that we value that our industrial relations policies are making sure that they'll be properly paid. We want an economy that works for people, not the other way around, and that was a.
Focus of our budget last night.
It's a focus of my government in our first term and it will be an even stronger focus in our second term.
Prome Minister Anthony Albineasy, thank you so much for joining the Daily Os in your courtyard.
Yeah, thanks very much.
My name is Lily Maddon and I'm a proud Arunda Bunjelung Cargotin woman from Gadigl country.
The Daily Os acknowledges that this podcast is recorded on the lands of the Gatighl people and pays respect to all Aboriginal and Torres Straight Island and nations. We pay our respects to the first peoples of these countries, both past and present,