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Labor links budget with upcoming election

AAP

AAP

Labor says the federal budget to be delivered on Tuesday will be aimed at papering over the mistakes of the past three years ahead of the election.

Treasurer Scott Morrison’s first budget comes just days before Prime Minister Malcolm Turnbull will visit the Governor-General to seek a July 2 double dissolution election.

Mr Turnbull can’t make the trip to Yarralumla until budget supply bills, introduced on Monday, are passed by both houses.

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Mr Morrison says it won’t be a typical budget but rather deliver an economic plan, backing in Australians who want to achieve more for themselves and their nation.

However, Shadow Treasurer Chris Bowen says Mr Turnbull – who seized the leadership from Tony Abbott in September – and Mr Morrison will attempt to convince voters the past three years did not happen.

The Abbott government’s first budget included a controversial scaling back of $80 billion in funding for schools and hospitals, while the second budget was better received with its focus on small business but continued spending cuts.

“The budget will be an election document, not an economic document,” Mr Bowen told reporters in Canberra on Monday.

Scott Morrison

Scott Morrison gears up for his first budget. Photo: AAP

Labor used question time to grill the government on why the budget would include a tax cuts for companies and the dropping of the levy on high income earners ahead of support for low- and middle-income earners and schools and hospitals.

One Labor MP, Victoria’s Clare O’Neil, was booted from the chamber for waving a misleading 2013 Coalition poster which read: “Liberals will match Labor school funding dollar for dollar”.

The government plans to raise federal funding of schools from $16.2 billion this year to $20.1 billion in 2020.

“We have been spending more and more on education but the outcomes have not been improving,” Mr Turnbull told parliament.

“The answer to that is ensuring that the taxpayers’ dollars are better deployed so that we get the better outcomes.”

Labor leader Bill Shorten said the government’s priorities were wrong when it put tax cuts for multinationals ahead of proper funding of schools in line with the Gonski report.

NSW Liberal premier Mike Baird said the federal government’s funding commitment was welcome.

“But we will continue to argue for the full funding that was part of the original agreement,” Mr Baird said.

He also argued health funding beyond 2020 remained a “challenge” for the states, despite the promise of $2.9 billion extra from federal coffers.

Victorian Treasurer Tim Pallas was wary of promises in the federal budget on road and rail funding.

“To parade it out as a new commitment by the federal government to infrastructure spending is just nonsense,” he said.

Mr Morrison said the budget would contain “affordable commitments with real money” – not unfunded promises as Labor had made when in government.

-AAP

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