Hockey tells govt to cool spending

The Reserve Bank's decision to leave the cash rate unchanged is welcome but
government spending continues to put upward pressure on rates, opposition treasury
spokesman Joe Hockey says.
Mr Hockey said the central bank's decision to leave the cash rate at 4.5 per cent
would be welcome relief for anyone with a mortgage, credit card or small business
loan.
"However, the Gillard government is still putting massive upward pressure on
interest rates by continuing to spend and borrow at an alarming rate," Mr Hockey
said in a statement.
He said the government was still borrowing almost $100 million a day "in direct
competition with home borrowers and small business", some of whom were struggling to
find affordable funds.
"The Gillard government is already raising and introducing new taxes to pay for its
reckless and wasteful spending and I have no doubt there will be more to come," he
said.
He again called on the government to pull back on its "reckless and wasteful
spending" so that the Reserve Bank isn't forced to do the "heavy lifting" in the
future.