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Speaker 1: Hello, Katie Wolf and three point sixty online at Mix

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Speaker 1: one O four nine dot com.

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Speaker 2: You.

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Speaker 1: Well, what a busy morning it's been so far. And

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Speaker 1: we know the federal budget was handed down overnight and

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Speaker 1: it seems theys something for everyone. It certainly looks like

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Speaker 1: a pre election budget. But what's in at for the

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Speaker 1: Northern territory. Well, joining us on the line is the

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Speaker 1: Federal Finance Minister, Simon Birmingham. Good morning to.

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Speaker 3: You, Good morning Katie, break you with you.

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Speaker 4: Minister, Thanks so much for your time.

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Speaker 1: When we look at this, firstly, the figures are eyewatering

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Speaker 1: net debt seven hundred and twenty nine billion, our deficit

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Speaker 1: for twenty twenty one one hundred and six point six billion.

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Speaker 1: The Treasurer unveiled tens of billion dollars in new spending.

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Speaker 4: Minister. It's the kind of debt.

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Speaker 1: That the Coalition would call reckless if labor were doing

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Speaker 1: the spending. Why is this level of spending required at

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Speaker 1: this point in time?

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Speaker 3: So we're dealing with very different times right now.

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Speaker 2: The global economic crisis induced by COVID nineteen has been

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Speaker 2: the biggest shock to the world economy since World War Two,

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Speaker 2: and obviously that's necessitated huge investment in spending in keeping

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Speaker 2: Australian safety and secure, and this budget is our next

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Speaker 2: stage in our plan to continue the economic recovery while

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Speaker 2: continuing to keep Australian safe and secure from COVID nineteen. Now,

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Speaker 2: what we've been able to do is frame a budget

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Speaker 2: where in fact, those net debt predictions that you spoke

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Speaker 2: about will actually be lower in each of the next

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Speaker 2: ten years compared with what was forecast in last year's budget.

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Speaker 2: So because of the strength of our economic recovery, because

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Speaker 2: we're getting more Australians back into work, we're able to

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Speaker 2: invest in central services like aged care, like disability support

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Speaker 2: or mental health, but do so in a way where

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Speaker 2: those debt projections are lower both in absolute terms and

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Speaker 2: the share of the size of our economy compared with

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Speaker 2: what was forecast just back in last year's budget.

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Speaker 1: Now, Minister, we know around one hundred thousand territories are

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Speaker 1: expected to benefit from tax cuts. It's going to be

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Speaker 1: eligible and who exactly will this help.

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Speaker 2: So these tax cuts are going to going to provide

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Speaker 2: real boost to territories, providing up to one thousand and

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Speaker 2: eighty dollars for low and middle income families in the

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Speaker 2: territory for individuals up to one hundred and sixty dollars

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Speaker 2: for duel income families in low and middle income categories.

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Speaker 3: They spied really two purposes.

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Speaker 2: One is, in part there bridge through to some of

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Speaker 2: the permanent tax reforms that we are implementing in a

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Speaker 2: staged way that will see most Australians pay no more

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Speaker 2: than thirty cents in.

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Speaker 3: The dollar income tax rate.

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Speaker 2: But they're also an important part of our COVID recovery

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Speaker 2: plan by providing additional support over the next year. And

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Speaker 2: they provide a support for individuals and families that sits

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Speaker 2: alongside some of the investment incentives that we've put in

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Speaker 2: place for Australian businesses that are all about getting business

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Speaker 2: to bring forward growth plans they might have had, investment

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Speaker 2: plans they might have had so that we get more

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Speaker 2: activity now and greater productivity and capacity in our businesses

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Speaker 2: for jobs growth over the years to come.

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Speaker 1: If you are you know, let's say there's territories listening

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Speaker 1: right now wondering if they are eligible for some of

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Speaker 1: these tax cuts, and businesses wondering how they might be

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Speaker 1: able to access some of what is available. Where are

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Speaker 1: they going to be able to get that information.

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Speaker 3: From the budget.

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Speaker 2: Dot Dog is a source of all sorts of information

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Speaker 2: for people with links off to some of the different

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Speaker 2: programs or departmental sites where they can find more info.

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Speaker 2: But I mean essentially every single Australian business is basically

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Speaker 2: entitled to full expensing. Only a handful of major globals

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Speaker 2: and others with revenue and excess at five billion dollars

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Speaker 2: find themselves excluded. Otherwise, what we're doing is really backing

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Speaker 2: Australian business here to invest, to grow, and we've got

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Speaker 2: ployment already back to levels that were pre pandemic. And

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Speaker 2: in this budget, the projection is that we will create

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Speaker 2: a further two hundred and fifty thousand jobs for Australia.

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Speaker 2: We will mostly be delivered by the private sector, but

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Speaker 2: we're also supporting subsidies to drive one hundred thousand additional

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Speaker 2: apprentice opportunities around Australia, and of course, you know, fueling

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Speaker 2: additional investment in infrastructure projects like the NT National Network,

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Speaker 2: highway upgrades and access in to the b to Looo basin.

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Speaker 1: I was just going to ask, can you run us

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Speaker 1: through what's in it for the Northern territory. We did

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Speaker 1: catch up with the Deputy Prime Minister a bit earlier

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Speaker 1: in the week and have also spoken to the Energy Minister.

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Speaker 4: But what is in it for the territory.

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Speaker 2: I'm sure until the DPM took you through those infrastructure projects,

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Speaker 2: an additional four hundred and one million dollars towards key

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Speaker 2: Northern Territory infrastructure projects. Now I'm sure Angus Taylor took

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Speaker 2: you through the potential we're seeing through our commitments to

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Speaker 2: fuel storage, to our energy security and making sure that

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Speaker 2: Australia has sovereign capability.

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Speaker 3: And they're building on the.

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Speaker 2: Big manufacturing strategy that we released in last year's budget

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Speaker 2: and we're extending that in this year's budget with new

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Speaker 2: sovereign capability policies and settings across government. The territory is

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Speaker 2: also going to be in direct support flowing through GST

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Speaker 2: payments that we collect on behalf of the States and

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Speaker 2: territories are estimated to be three point three billion dollars

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Speaker 2: in twenty twenty one to twenty two. That's an increase

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Speaker 2: of five hundred million dollars over what was expected at

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Speaker 2: the time of last year's budget, so that will provide

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Speaker 2: greater capability to Michael Gunner and his team in the

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Speaker 2: Northern Territory to be able to deliver in the territory.

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Speaker 2: And in fact, overall we're seeing other Commonwealth payments to

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Speaker 2: the territory increasing as well by a further two hundred

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Speaker 2: million dollars or eleven percent increase compared with twenty twenty

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Speaker 2: one budget symits that are really supporting the territory and

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Speaker 2: the Territory government to be able to deliver as well.

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Speaker 1: Can you just very clearly again lay that out for

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Speaker 1: us the GST, because I know over the last few

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Speaker 1: years here in the Territory there's been quite a bit

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Speaker 1: of discussion about the GST. In previous years the Northern

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Speaker 1: Territory government have said that it's had a massive impact

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Speaker 1: on our budget when the GST share has gone down.

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Speaker 1: But it does, like you've said, seem as though we've

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Speaker 1: had quite the windfall when it comes to the GST

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Speaker 1: this time round.

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Speaker 3: So I mean GSD does move.

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Speaker 2: Government revenues move around depending on consumer behavior and business trends,

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Speaker 2: and we face that as a federal government in terms

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Speaker 2: of how much income tax and company tax and so

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Speaker 2: on is paid, and the state's face it in relation

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Speaker 2: to the GST that we collect for them and pass

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Speaker 2: through to them.

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Speaker 3: But because again we've got.

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Speaker 2: A stronger economy, there's more Australian during jobs than ever before.

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Speaker 2: And let's contrast that against the rest of the world.

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Speaker 2: In Europe, they're facing a recession. So you know, the

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Speaker 2: COVID problems in the rest of the world aren't just

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Speaker 2: the human tragedy.

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Speaker 3: We're seeing in India.

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Speaker 2: They're also continued economic crises in other parts of the world.

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Speaker 2: But here we've got that strong economy and we've kept

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Speaker 2: people safe. We've got jobs coming back we're forecasting and

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Speaker 2: other chanlendred and fifty thousand jobs being created and all

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Speaker 2: of that is providing great consumer confidence, which is leading

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Speaker 2: to spending patterns that are driving that lift in GST

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Speaker 2: for the states and territories. And so that's a five

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Speaker 2: hundred million dollar additional bonus to the Northern Territory government

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Speaker 2: in terms of the GST revenues they will received.

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Speaker 1: Now, while that is good news, we know that Labour's

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Speaker 1: Member for Solomon Though, Luke Gosling, he's slammed the budget

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Speaker 1: saying there is nothing for the territory. He's also questioned

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Speaker 1: where two hundred and sixteen million dollars in funding for

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Speaker 1: Kakadoo has gone and slammed no funding for the Veteran

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Speaker 1: Well Being Center. What's your response to that.

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Speaker 3: Well, this is a.

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Speaker 2: Budget for all Australians and first and foremost is the

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Speaker 2: national government. It is about keeping Australian safe from COVID,

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Speaker 2: keeping the economy growing, and so the investments, the tax investments.

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Speaker 2: We've spoken of other things such as what we're creating

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Speaker 2: around what's called a patent box, which is about in

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Speaker 2: a new tax tool to help to keep innovations in

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Speaker 2: Australia and have them commercialized and manufactured and developed in Australia.

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Speaker 2: They're important about getting growth in those manufacturing sectors. But

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Speaker 2: this is also a budget firmly it is delivering for

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Speaker 2: the territory throughout COVID, and we've provided additional infrastructure funding

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Speaker 2: for projects to be delivered across Kakadu and Ularu to

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Speaker 2: be able to step up the work and investment in

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Speaker 2: those communities, particularly while visitors weren't allowed in, but to

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Speaker 2: be able to improve infrastructure facilities, and of course there

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Speaker 2: are big projects underway in relation to the restoration of

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Speaker 2: Jabbora and the potential there which we are investing in.

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Speaker 2: But that's all subject to working successfully with the local community,

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Speaker 2: territory government, federal government and of course traditional owners in

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Speaker 2: terms of delivery of those projects.

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Speaker 4: And that's what we're getting on with Minister.

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Speaker 1: We are running out of time, but tourism is indeed

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Speaker 1: a sector which has been hard hit when it comes

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Speaker 1: to COVID. The estimates from last night are based on

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Speaker 1: the assumption that those borders are not going to open

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Speaker 1: until the middle of next year.

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Speaker 4: How's the budget going.

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Speaker 1: To really assist those territory tourism operators that are impacted

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Speaker 1: by the lack of international travel.

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Speaker 2: So we've stepped up one point two billion dollars in

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Speaker 2: terms of support for the tourism industry through a program

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Speaker 2: that is driving domestic flight subsidies across the country. More

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Speaker 2: than six hundred and fifty thousand such flights have been

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Speaker 2: booked already around Australia. They're going to provide a continuing

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Speaker 2: boost in terms of visitation for some time to come.

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Speaker 2: I think we're seeing Australian too traditionally spend sixty five

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Speaker 2: billion dollars leaving the country actually now booking and traveling

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Speaker 2: across Australia and we want to make sure we keep

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Speaker 2: that going, which is why we've put those sorts of

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Speaker 2: supports for the aviation industry and for tourism and travel

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Speaker 2: bookings to occur into effect. And from what I'm hearing

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Speaker 2: from tourism operators around the country, some of them are

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Speaker 2: now seeing even better bookings than they would customarily have

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Speaker 2: seen through these times of years before.

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Speaker 1: Well, Minister, is this the coalitions last last we'll budget

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Speaker 1: before a federal election?

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Speaker 2: Well, the election is you in the first half of

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Speaker 2: next year. The budget customarily hands down in May, so

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Speaker 2: we'll be up to the PM as to when he

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Speaker 2: calls that election in the first half of next year.

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Speaker 3: But that's firmly when I expected to be.

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Speaker 4: Well. Always good to catch up with you.

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Speaker 1: In fact, I think this might be the first time

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Speaker 1: we've had you on the show Federal Finance to Simon Birmingham,

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Speaker 1: So we really appreciate your time this morning.

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Speaker 4: Thanks for having a chat with us.

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Speaker 3: Happy to do so anytime, Katie, Thanks so much.

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Speaker 4: Thank you,