18 May 2024

Joint press conference, Helensvale, Queensland

Note

Joint press conference with
Senator the Hon Murray Watt
Minister for Agriculture, Fisheries and Forestry
Minister for Emergency Management

Subjects: Budget 2024–25, Queensland infrastructure investments, Coomera Connector, cost of living, energy bill relief, wages, support for small businesses, housing, Payne Haas

JIM CHALMERS:

Well, it’s a magic morning here in the middle of Magic Round. And it’s a very proud day a very pleasing day to be here with Meaghan Scanlon and Cameron Dick and Murray Watt to announce another big commitment to the Coomera Connector. Another $432 million commitment to this really important piece of infrastructure, which will be so important to the people of the Gold Coast and Logan and Brisbane. This is all about getting people from A to B quicker and more safely. Get them home to their families. It’s about saving time and it’s about making sure that the great people of South East Queensland get the infrastructure that they need and deserve. And this is a real feature of the 2024 Budget that we handed down on Tuesday night.

This Budget builds the future and backs Queenslanders. It builds the future and a Future Made in Australia at the same time as we back the working people and families and pensioners of Queensland. And so what you saw in the Budget was a tax cut for every Queensland taxpayer, more energy bill relief for every Queensland household, and big investments in the industries and jobs which will power of the future, and big investments in road and rail as well. And the Albanese Labor government is very, very proud to work very closely with the Miles government and in my case, with Treasurer and Deputy Premier Cameron Dick, to make sure that we are making the billions of dollars of investments that this great state needs to prosper into the future. Whether it be health or housing or road or rail or easing cost‑of‑living pressures on Queensland. Queenslanders were front and centre as we put the finishing touches on the Budget. They are absolutely central to a Future Made in Australia and the Budget reflects that. I’ll throw to Cameron and then a couple others and then we’ll take your questions.

CAMERON DICK:

Thanks, Jim. Our government’s committed to doing what matters for Queensland and that includes delivering the big road projects that our growing state deserves. That’s why I’m so delighted to be here today with federal Treasurer Jim Chalmers to welcome this commitment by the Australian Government of another $432 million to make sure the Coomera Connector is delivered. The Gold Coast, of course, is one of the fastest growing regions in Australia and it’s just so important that we can continue to invest in infrastructure. Not just invest, but deliver. And you can see behind us today the project coming out of the ground here in Helensvale. You know, people want to spend more time with their loved ones and less time in traffic. They want to get to work and not get worked up while they’re in traffic. And so that’s what this project is designed to do. And so we very much welcome this additional investment from the Australian Government.

As Jim said, the federal Budget delivered this week is a budget that was designed by a Queenslander for Queenslanders and is delivering the investment in housing, in cost‑of‑living relief and in infrastructure that our state deserves. Our big build is a record, almost $100 billion over 4 years. We’ve never seen that sort of investment and an investment in transport and main roads and rail projects that our state has never seen before either. But this is a great partnership with the Australian Government, one that has delivered great benefits for Queensland and will continue to deliver benefits in the future. So, we’re cracking on with delivering this project. And I’m very pleased to announce today that early works on Stage 1 South, that package will start in July. We announced yesterday that Winslow Infrastructure has received that contract. So, we will crack on with more work here on the Coomera Connector to make sure this project is delivered for the Gold Coast. They deserve this investment, and we will continue to deliver great outcomes, which is what Queenslanders deserve. I’ll now ask Meaghan Scanlon, Minister for Housing and also the member for Gaven, to say a few words. And then Minister Murray Watt, who we welcome here today as well.

MEAGHAN SCANLON:

Look, incredibly grateful that the Albanese government has committed this additional money to make sure that we can deliver the Second M1. You know, the federal Labor government doesn’t hold any House of Representatives seats here on the Gold Coast. But despite that, they are spending money on this project because they know it is the right thing to do]. And it shows that it is only Labor governments that deliver the infrastructure that Gold Coasters need. The Second M1 is all about getting tradies home sooner and families home faster. We committed to delivering this project and we are getting on with the job. Whether it’s the Second M1, M1 upgrades, the light rail, heavy rail, better bus services, it is Labor governments that deliver for the Gold Coast. No doubt the LNP will get up and make some comments today. And I want to remind everyone of their history on this project. David Crisafulli and the LNP axed this project when they were in government. At the last election, David Crisafulli and the LNP announced what media reported at the time as a road to nowhere. It was shorter and had less lanes and it was described by city leaders as making no sense. This is all at risk under the LNP. Only Labor can be trusted to deliver the second M1, the light rail, all of the critical infrastructure the Gold Coast needs as a growing city.

MURRAY WATT:

Thanks very much, Meaghan. Well, great pleasure to be here for another important milestone on a really important project for not just the Gold Coast, but South East Queensland as a whole. And as Jim said, Queensland and Queensland’s needs were front and centre when this government put together our Budget over the last few weeks and the last few months. It makes a big difference having a Treasurer from Queensland and that’s why we’ve seen such big investments right across Queensland through this federal Budget. And well done to Jim on making Queensland such a priority in framing this Budget this year. In fact, you could go as far as saying that this Budget was basically written in maroon. There was so much in it to benefit Queensland; of course, addressing the cost‑of‑living needs of Queenslanders, the energy rebates, the tax cuts that will go to every single Queensland taxpayer, but also addressing some of those infrastructure needs that we have here in a growing state. This project here on the northern Gold Coast, Sunshine Coast Rail being committed to for the first time by any federal government. Of course, investments in the Bruce Highway and the big Future Made in Australia projects that we’ve seen in Gladstone, in Brisbane and many other parts of the country as well. So, well done to Jim. A great budget for Queensland. Looking forward to getting on this road before long and driving it myself.

JOURNALIST:

On the Budget, what’s your response to business groups using your Budget’s energy and rent relief measures to push to limit the wage increase?

CHALMERS:

Our cost‑of‑living relief is on top of decent wages, not instead of decent wages. You know, all of the billions of dollars that we are providing to take some of the edge off these cost‑of‑living pressures – these measures are designed to supplement, not supplant, decent wages. One of the defining priorities of this government is to ensure that people earn more and keep more of what they earn. We want decent wages for people and the tax cuts for every taxpayer are about keeping more of what they earn as well. I say to the business groups making these points, Australians are doing it tough. The Commonwealth government is doing its bit. We need business to do its bit as well. We want to see fair and decent wages for Australian workers on top of cost‑of‑living relief, not instead of it.

JOURNALIST:

Small businesses say rising costs in wages and energy are forcing them to let staff go and even some shutting down. They’ve criticised the Budget’s energy and asset write off measures. What more can your government do to help?

CHALMERS:

The Budget has a particular focus on small business. We are extending the instant asset write off for small businesses to ensure that when they make investments in the sorts of capital that they need to be successful, that the Commonwealth government is there to help them. And this is an important reminder that on Thursday night, when Peter Dutton was giving a speech about extending the instant asset write off, his senators within that same hour were voting against it in the Senate. And this is a reminder of what a shambolic, nasty, negative, policy‑free, credibility‑free Budget reply Peter Dutton gave. There’s only one side of the Parliament who voted. Only one of the big parties in the Senate voted for help for small business on Thursday night. The Budget’s got a focus on small business. We know that people are doing it tough and that’s why so much of what we handed down on Tuesday night is about supporting small businesses and people doing it tough – the Energy Bill rebate, the instant asset write off, all of that is about recognising the central role of small business in our economy and the tough times that they’re going through.

JOURNALIST:

And how will the Opposition’s plan to change the definition of casual workers so they can’t become permanent after 6 months hurt Australian families?

CHALMERS:

This is all about a common sense way of recognising that some people would prefer to be permanent part time than casual because that in many instances is a more secure way to work. It’s a common sense proposal. It relies on a number of mechanisms which already exist. And once again, Peter Dutton’s Budget reply speech should send a shiver down the spine of every Australian worker, and particularly every casual. Peter Dutton wants to wind back the progress that we’ve made on wages growth and job security in the 2 years that we’ve been in office. When we came to office, real wages were falling 3.4 per cent. They’re now growing again for the first time in years. And that’s no accident. That’s because we have a federal government and state governments on the side of the good working people of this country. We had stagnant wages for the best part of a decade. We have turned that around and you can’t risk Peter Dutton winding back the gains that we have made.

JOURNALIST:

Treasurer, are you concerned about the prospect of Gregor Haas potentially facing the death penalty if he’s got taken back to Indonesia?

CHALMERS:

Can I say 2 things about that. First of all, obviously there is a legal process underway and we will provide all of the consular assistance that he needs at this time. The Commonwealth government has the ability to provide that kind of assistance and that will be provided in full. The second thing I wanted to say is about Payne Haas. And I think like a lot of, not just rugby league fans, not just Queenslanders, but I think a lot of Australians would have appreciated the way that Kevvie Walters backed in Payne Haas last night. It was not a surprise, but it was very heartening to hear the way that the boys have gotten around Payne Haas and the organisation has gotten around Payne Haas. It’s no secret that he has had his fair share of challenges in his life. And I am supremely confident that I speak on behalf of the whole broader Broncos family when I say that we are with you, big fella. We appreciate you. Our hearts go out to you. This must be an incredibly difficult time and I think, like a lot of people, we wrap our arms around Payne at this really hard time for him and for his family.

JOURNALIST:

Is there any way the government could oppose the extradition given the potential he could face the death penalty.

CHALMERS:

I think you know, from previous cases of this nature. First of all, that we can’t get into the details of the case and secondly, that we do what we can. Primarily, that is in the first instance, the role for the Attorney‑General and the Prime Minister, and I’ll be speaking with them, of course, about that, in the course of the coming days and weeks. We will do what we can. In the first instance, that means consular support and we’re thinking of his loved ones as in what must be a really harrowing time.

JOURNALIST:

You obviously oppose the death penalty, though?

CHALMERS:

Of course I do.

JOURNALIST:

Treasurer, can you tell me does the government still want minimum wage rise to keep pace with inflation?

CHALMERS:

Absolutely. To use the words of our Prime Minister, absolutely. We want to see the Fair Work Commission determine wages that keep up with the cost of living. Our reason for being as the party of working people is to make sure that they get decent wages and we are there for them as well with cost‑of‑living help. We’ve seen inflation come down. It had a 6 in front of it when we came to office. It now has a 3 in front of it, but it’s not mission accomplished because people are still doing it tough. That’s why our government and our Budget is so focused on easing cost‑of‑living pressures and making sure people can earn more and keep more of what they earn. An important part of that is supporting enthusiastically the legitimate claims of working people, especially in this instance, people on the minimum wage who shouldn’t be going backwards at a time when these cost‑of‑living pressures are doing such damage to household budgets.

JOURNALIST:

Treasurer, would it be fair to say that the stage 4 of the light rail is looking increasingly unlikely with –

CHALMERS:

With which Treasurer did you mean?

JOURNALIST:

Both if you want to answer. They’re looking increasingly unlikely with projected cost blowouts of $7.6 billion.

CHALMERS:

Look, I think it’s a reality of the times, a sign of the times, that some of these projects end up costing a little more than they originally costed. And I think governments at all levels are trying to work out the best way to accommodate those pressures. Part of the reason why we are kicking in more money for Queensland infrastructure is to recognise it costs a bit more to build than it may have a few years ago. And so we do our best to calibrate the infrastructure pipeline to build the infrastructure that Queenslanders need and deserve. And to do that in partnership with the Miles government.

JOURNALIST:

$7.6 billion is obviously a lot more than what was originally budgeted.

DICK:

I might just add something, if I can, to that. I might just put this in context. And the context of the LNP review, of course, is the commitment David Crisafulli and the LNP have made to build a rail line on the Sunshine Coast. No ifs, no buts, no maybes. They are the words of David Crisafulli. But of course, that is a $6.6 billion black hole he has, to deliver that project to Maroochydore by the Olympics. Now, it’s no wonder that they’re doing a review of light rail here on the Gold Coast. So, why does the Gold Coast get a review, but the Sunshine Coast gets a brand new rail line? That’s because they’re going to cut this project. That’s exactly what they’re seeking to do. He does not have the money to deliver this project. And this is exactly the same playbook Campbell Newman and the LNP had prior to the 2012 election.

They said they’re going to reduce debt, exactly what David Crisafulli is saying now. They said they’re going to cut taxes, exactly what David Crisafulli is saying now. And then they are loading up expenditure and the only way you can fill that black hole is through cuts and we take a different approach. Everyone on the Gold Coast knows you can trust Labor when it comes to the big infrastructure projects. Light rail, stages one, 2 and 3, backed in by Queensland Labor and Australian Labor. All of the big infrastructure projects, heavy rail, the road projects, all of that funded by our government. But we take a different approach. We look at the business case first, the detailed business case. We’ll examine all of the costs for that project and then we make investment decisions after that. Of course, we have to wait for the business case. That’s the first thing we’ll look at. But we did exactly that on the Sunshine coast rail line. A terrific decision by Jim Chalmers and the federal Labor government to provide that additional funding to put a real railway in place to Caloundra as quickly as possible. That’s how we work, delivering what matters for Queensland, not cuts, which is all I’ll get from the LNP. Anything else?

JOURNALIST:

The increasing cost here is $800 million in a $3 billion stage one. That’s almost 30 per cent. Doesn’t that put other projects further down the infrastructure list at risk if you have to keep [inaudible] these increases?

DICK:

Well, I made clear in the budget last year that we would continue to invest in infrastructure projects and not cut them. We know that a growing state deserves the infrastructure projects to deliver for the communities around Queensland and I made that very clear in our Budget. That’s why we’ve got a record investment in infrastructure. It’s why we are backed in by record investment from the federal Labor government as well. That’s a decision we’ve made subject to very significant criticism by the LNP. They’ve already identified $10 billion in projects they want to cut across Queensland. That should send a shiver up the spine of every Queenslander because they saw this movie before. And as Meaghan made very clear, they did not fund this project. In fact, they cut $1.6 billion from the transport and main roads project when David Crisafulli was a Cabinet Minister. They sacked 700 people from RoadTek and they cut the workforce in the Department of Transport and Main Roads by 20 per cent. That’s how they fill the black hole and that’s exactly what they’ll do again if they are elected in October. Anything else?

JOURNALIST:

So, Jim’s put $430 million in this Budget, I presume the state’s 430 will be in the State Budget?

DICK:

No, we’ve already announced that.

JOURNALIST:

Previously?

DICK:

Yes.

JOURNALIST:

So, Treasurer, what about business groups. So, Innes Willox and the Australian Industry Group were talking about minimum wage shouldn’t be too high given what was announced in the federal Budget. What do you make of that?

CHALMERS:

Well, the cost‑of‑living relief in the Budget is on top of not instead of decent pay for working people. And we’ve made that really clear. We made that clear in the last Budget and in earlier rounds of these minimum wage cases. We want to see people earn more and keep more of what they earn. Our cost‑of‑living relief in the Budget is substantial and responsible and additional to decent pay and conditions.

JOURNALIST:

And why do Australians deserve a rise in the minimum wage?

CHALMERS:

Well, because people on minimum wages are experiencing extreme cost‑of‑living pressures and that’s why the government has stepped in, both governments have stepped in to help people with their bills, whether it be their energy bills, whether it be rent assistance, whether it be a tax cut for every taxpayer. This is all about taking some of the sting out of these cost‑of‑living pressures and these are often felt more acutely by people on lower incomes. One of the things that I am proudest of when we got together and we recast the old stage 3 tax cuts is because under the plan that Peter Dutton wanted to see when he was a Cabinet Minister in the Morrison government, people earning less than $45,000 a year were going to get absolutely nothing. And we changed that so that every Australian taxpayer gets a tax cut. We made them fairer for middle Australia, we made them fairer for working people. And you see that on the Budget on Tuesday night.

JOURNALIST:

How would Peter Dutton’s proposed immigration cuts affect Queensland?

CHALMERS:

Well, he needs to make that clear. Peter Dutton pulled a few numbers out of the air on Budget reply night because he had nothing to say. And that is really clear. You know that speech that Peter Dutton gave on Thursday night, it wasn’t a Budget reply, it was an unhinged rant. It was long on nuclear negativity and short of economic credibility. And whether it’s managing the migration program, whether it’s putting downward pressure on inflation, whether it’s turning Liberal deficits into Labor surpluses, this is the methodical and considered work that is necessary that he is incapable of.

JOURNALIST:

With fewer people smoking, how much of a hit is that to the Budget?

CHALMERS:

So, one of the reasons why the tobacco excise take was about $4 billion less in Tuesday’s Budget than it was in the mid‑year update is because more people are giving it away. And I’m sure I speak for Cameron, too. As treasurers, our aspiration is for some future treasurers not to be collecting tobacco excise, because we want everyone to give it away. [Indistinct]. As people give up the smokes, we don’t want kids to pick up the vapes. And that’s why, and I commend our colleague Mark Butler for his quite extraordinary and courageous work, to try and wind back this explosion in vape use by kids.

As parents – you don’t have to be a parent – but as parents, I think a lot of people are very worried about the explosion of vapes amongst our young people in particular. And we are cracking down on that at the same time as we are encouraging people to give up the smokes. And that’s one of the reasons why the excise take is lower now than it was in the mid‑year update.

JOURNALIST:

The research also shows that illegal tobacco consumption is increasing quite strongly as well, and obviously controlled by organised crime.

CHALMERS:

That is a concern. And we work closely with Border Force and with other agencies and other ministers to make sure that we can crack down on that. It really is genuinely, the question unites the kind of 3 parts of this. We want to encourage people to give up the smokes. We want to make sure that vapes are being used in the way that they’re intended and not as a substitute with kids or a gateway for kids. And we need to make sure we’re cracking down at the border on the illegal stuff and the [inaudible]. We’re doing all 3 things of those at once. We’ve shown a real willingness and enthusiasm to act on all 3 of those fronts, and you should expect to see more of that from us.

JOURNALIST:

I’m just going to ask about New Caledonia. What support is the Australian Government offering to Australians in New Caledonia?

CHALMERS:

I mean, we’re incredibly concerned about the developments in New Caledonia and, we call for calm in that part of the world and we know that there will be Australians either in New Caledonia, or family members and loved ones here in Australia who’ll be very concerned. We encourage them to contact DFAT. DFAT has set up the relevant hotline for people who are concerned, people who are in country or who are concerned here in Australia. And I encourage people to call that hotline.

JOURNALIST:

Can I ask a question about land banking? The Budget you put down on Tuesday had a billion dollars set aside for improving road links to get lots that developers get approval to build homes on but don’t go ahead to build them so they’re effectively landlocked. How would that billion dollars work? I’m not quite sure how that would work.

CHALMERS:

So, we’ve made a $32 billion investment in housing and $6 billion of that on Tuesday night was new. And part of that was the billion dollars that you’ve referenced. We have earlier made available money for the kinds of small infrastructure that makes it possible to unlock more land and to build more homes. This is one of the ways that we work very closely with good state Labor governments, like the Miles government, to ensure that we’re building more homes for Australians and making it easier to rent and buy and build. And so there is a process that involves the states. Meaghan would know that more intimately than any of us. It involves the states and Queensland will be big beneficiaries of that. And this is us showing our bona fides. We know what the challenge is here. We know that we need to build about 1.2 million homes in Australia between July and in the following 5 years. It’s an ambitious target, but it’s achievable. It requires good state governments and we’ve got one here. It requires investment at all levels, and you saw billions of dollars of investment on Tuesday night. So, helping to unlock more land and better planning is a key part of the task, not the only part of the task, and we’re pleased to be kicking in.

JOURNALIST:

So, that money goes to the state government to redirect councils to –

CHALMERS:

It does work very closely with the states and the states work very closely with local governments to make sure. And as you intimated in your question, we spent a lot of time, the Budget’s got a big focus on housing, we spent a lot of time working out how do we build more homes for Queenslanders and build more homes for Australians. And the feedback we very regularly get is there are projects that would stack up much more quickly if we were able to get the sewerage and the curbing and all of that sort of stuff done. And so that’s what the extra billion dollars is for. We’ve already kicked in some before that. We’ve made another billion dollars available because we know how important it is.

JOURNALIST:

Meaghan, can I just have one for you, please? Some data today revealing that it’s a lot cheaper to be, you know, renting than even buying with mortgage rates. Is the Australian dream falling out of reach for more and more Queenslanders?

SCANLON:

Well, look, we know it’s really tough out there and that’s why the Miles government is investing to make sure that we can help more Queenslanders get into home ownership. We are the first state in the country to introduce the help to buy scheme which would help the federal government roll out more support for low and middle income earners to break into home ownership. But right now the Greens and the LNP are blocking that legislation from going through. David Crisafulli is full of slogans but short on detail. If he cares about home ownership, then he should get on the phone to Peter Dutton and tell him to stop blocking a fund that would help people get into home ownership.

JOURNALIST:

Can I just ask the follow [indistinct] before? Sorry. So, that that billion dollars, presumably pro rata share goes to the Queensland government. Have you got any indication of what priority areas it might be applied to? Because there’s somewhere between 30,000–60,000 lots that have been approved which could come onto the market.

SCANLON:

So, look, I’m happy to get you the detail of that particular project. More broadly, the state government needs to deliver 1 million new homes by 2046. We know there’s a lot of opportunity in underutilised areas, which is why the state government has an infill fund to try and work with developers and councils to make sure that we deliver the infrastructure needed to make those homes stack up. But I’ll get you the detail about the billion dollars.