Coalition to slash billions from budget

The federal coalition says it would slash spending by at least $46.7 billion if
voted into power this year, ending the "reckless spending" of the Rudd government.
Gone would be the recently announced increased superannuation guarantee, company tax
cuts, a tax discount on savings and the controversial 40 per cent super-profits
mining tax.
Among other government initiatives that would end up on the scrapheap is the
National Broadband Network (NBN).
"The reckless spending has to stop," opposition finance spokesman Andrew Robb told
reporters in Canberra on Wednesday.
"The reason we need to cut Labor's reckless spending is because it is putting
extraordinary pressure on interest rates."
Mr Robb released what he said was the first tranche of his cuts in the run-up to the
election - 39 different measures totalling $24.7 billion - along with the planned $4
billion sale of Medibank Private and an $18 billion capital savings from the
cancellation of the NBN program.
Opposition treasury spokesman Joe Hockey was expected to give detailed savings in
his speech to the National Press Club.
Instead, the 30-minute speech canvassed values but was short on specifics about
economic policy of a Tony Abbott-led coalition government.
The nitty-gritty was left to Mr Robb to explain an hour later.
Treasurer Wayne Swan called the opposition's response "a joke".
"I think what you are seeing is a Liberal Party that is simply out of control," Mr
Swan told reporters in Sydney.
"They've had days to get their act together. Mr Abbott said they'd do it with Mr
Hockey today. Mr Hockey today has hand-passed it to Mr Robb."
Mr Hockey did confirm the coalition would undertake a major review of the Trade
Practices Act, aimed at boosting the nation's productivity.
A coalition government would also undertake a national audit of capital stock, with
a particular focus on upgrading existing infrastructure rather than building new
facilities.
"I believe we can significantly improve the productivity of existing capital stock
without the need to build everything new for ribbon-cutting ceremonies by
politicians," Mr Hockey said.
Details of these reviews would be released at some time in the future.
The coalition's savings over the next four years, released to reporters after Mr
Hockey's address, included a $3.8 billion saving from a temporary freeze on public
servant recruitment.
Mr Abbott had already announced he would not go ahead with the Resource Super
Profits Tax that came out of the Henry tax review released earlier this month.
This also means that measures funded by the new tax also go, and they have been
classed as savings.
Mr Robb said scrapping the government's plan to cut the company tax rate to 28 per
cent, from 30 per cent, would save $2.3 billion.
Not only would small business not get the company tax cut, the instant $5000
write-off goes, saving $1.03 billion.
An end to the planned rise in the superannuation guarantee from nine per cent to an
eventual 12 per cent will save an initial $240 million, while scrapping super perks
for older workers will save $1.345 billion.
The 50 per cent tax discount on income from savings that was announced in the budget
also bites the dust, saving $950 million.
"We need to adopt an approach that makes a statement to people out there that we
have got control of the finances of this country," Mr Robb said.