Australian opposition party vows big surpluses if elected

Opposition center-left Labor Party lawmakers Chris Bowen, left, and Jim Chalmers on Friday, May 10, 2019, outline in Parliament House in Canberra, Australia, policy to reduce tax breaks for landlords and some shareholders which they argue would save 154 billion Australian dollars ($108 million) over the next decade. Australia's opposition party has promised to deliver bigger budget surpluses than the government if it wins elections next week, while the ruling coalition warns the policies would harm the economy. (AP Photo/Rod McGuirk)
Opposition center-left Labor Party lawmakers Chris Bowen, left, and Jim Chalmers on Friday, May 10, 2019, outline in Parliament House in Canberra, Australia, policy to reduce tax breaks for landlords and some shareholders which they argue would save 154 billion Australian dollars ($108 million) over the next decade. Australia's opposition party has promised to deliver bigger budget surpluses than the government if it wins elections next week, while the ruling coalition warns the policies would harm the economy. (AP Photo/Rod McGuirk)
Opposition center-left Labor Party lawmakers Chris Bowen, left, and Jim Chalmers on Friday, May 10, 2019, outline in Parliament House in Canberra, Australia, policy to reduce tax breaks for landlords and some shareholders which they argue would save 154 billion Australian dollars ($108 million) over the next decade. Australia's opposition party has promised to deliver bigger budget surpluses than the government if it wins elections next week, while the ruling coalition warns the policies would harm the economy. (AP Photo/Rod McGuirk)

CANBERRA, Australia — Australia's opposition party on Friday promised to deliver bigger budget surpluses if it wins elections next week, while the ruling coalition warned the policies would harm the economy.

Center-left Labor Party lawmakers Chris Bowen and Jim Chalmers outlined a policy to reduce tax breaks for landlords and some shareholders which they say would save 154 billion Australian dollars ($108 billion) over the next decade.

"We can deliver these bigger budget surpluses and the bigger investments of health and education," said Bowen, who would become treasurer in a Labor government.

The conservative government, which is seeking a third three-year term at elections on May 18, has condemned the policy as a high-taxing plan that would further depress a weak housing market that is weighing down economic growth.

"We are facing some downside risks in the economy after droughts, floods, which is why this is the worst possible time for Labor's high-taxing, reckless agenda," Finance Minister Mathias Cormann said.

The government in May forecast an AU$7.1 billion surplus next fiscal year. Labor forecast a bigger AU$7.4 billion surplus in the same year under its policies, with surpluses growing AU$57.9 billion larger in the following three years than the government had predicted.

But Prime Minister Scott Morrison said previous Labor governments had promised surpluses that never materialized.

"There's always something very fishy when it comes to Labor's claims about how to manage money and I think that's what we're seeing here again today," Morrison said.

Opinion polls suggest Labor will win the election.

___

This story has been corrected to show that the conversion in the second paragraph should be $108 billion instead of $108 million.

You may also interested in

Asian stock markets mixed as investors wait for Fed cue

Aug 26, 2016

Asian stock markets were mixed Friday, with investors preferring to sit on the sidelines ahead of U.S. Federal Reserve Chairman Janet Yellen's speech for cues on the timing of the next policy rate hike

Iowa at center of debate over 'shadow insurance' deals

Aug 30, 2016

Life insurance companies are setting up "shadow insurers" to take on some of their liabilities and free up some of their reserves

Global stocks rise as investors weigh future of US rates

Aug 30, 2016

Global stock markets mostly rose on Tuesday as investors weighed the possibility and timing of another U.S. interest rate increase this year

Broaden News
Search

Manage The Numbers is the world’s fastest-growing finance news website, featuring the latest money and market news, along with in-depth analysis so you can make the best decision.

Contact us: sales@managethenumbers.com

Subscribe to our newsletter!

Name

Email