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Coalition in chaos on super policy: Swan

Treasurer Wayne Swan says the Liberals are in chaos after the opposition frontbench contradicted themselves on the planned lift to super contributions.

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2 min read

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Source: AAP


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Federal Treasurer Wayne Swan says the opposition is in chaos because of its contradictory responses to the government's planned increases to superannuation contributions.

The federal government intends to finance a three per cent increase in employer superannuation contributions through its mining resources rent tax.

The strategy includes instant asset write-offs of up to $6500 for small business and slowly raising superannuation contributions so they have a minimal effect on employers.

Mr Swan's comment was in reference to Opposition Leader Tony Abbott's agreement to leave the proposed superannuation measures in place if he wins office, which was contradicted by opposition finance spokesman Andrew Robb who said they would be repealed.

Mr Robb has since confirmed he was not consulted by Mr Abbott or by opposition treasury spokesman Joe Hockey over the decision not to rescind the government's planned lift in guaranteed superannuation payments, as he was left out of a conference call.

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He now says the superannuation changes would not be repealed.

Mr Swan told reporters in Brisbane on Saturday, "The reason why we are having a resource rent tax on the most profitable mining companies is so we can spread the opportunities of the mining boom to every corner of our country and use that revenue to provide a significant tax cut to small business.

"The $6500 instant asset write-off is going to be a great benefit to 2.7 million businesses across the country.

"Mr Abbott said he will support the increase in the super guarantee, which is phased in over a long period of time.

"It starts at increments of .25 per cent (.25 per cent) a year, so it doesn't all come in at once.

"There is a budget cost to that which Mr Abbott said he will fund, but Mr Robb said he can't.

"That just shows the chaos we have got in Liberal party policy at the moment.

"They can't agree with their leader."


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