18 February 1999

Thomson Shows Consumer Contempt

Kelvin Thomson has revealed his contempt for the Australian people following an outburst this afternoon where he attacked the ability of consumers to blow the whistle on GST profiteering, Joe Hockey, the Minister for Financial Services and Regulation, said.

"Kelvin Thomson has breathtaking contempt for consumers by suggesting people dont have the ability to compare prices and make informed choices," the Minister said.

"He has also revealed his grave ignorance of the workings of our pricing watchdog, the Australian Competition and Consumer Commission."

Kelvin Thomson made his outburst following Mr Hockeys introduction today of A New Tax System (Trade Practices Amendment) Bill 1998.

"The Bill gives the ACCC $27 million over three years to monitor prices following the introduction of a Goods and Services Tax. That is a 25% increase in its budget. The ACCC will work closely with Australian consumers to monitor prices.

"There are over 13 million price surveillance officers the consumers of Australia who will be monitoring prices each and every day.

"The Bill gives the ACCC the power to prosecute breaches of the prohibition on price exploitation. Companies breaking the law will face a $10 million fine, and individuals a $500,000 fine.