GDP the focus as campaign approaches the halfway mark

SBS World News Radio: GDP is the focus as campaign approaches the halfway mark.

GDP the focus as campaign approaches the halfway mark

Both major parties seized on economic growth figures today, as the federal election campaign heads towards the halfway mark.

The Coalition used the latest numbers to help sell its now familiar message on the economy and employment.

But the Opposition claims the economy is struggling.

The federal government has been buoyed by the latest economic figures, showing annual economic growth has accelerated to 3.1 per cent, growing by 1.1 per cent in the March quarter.

The figures have been led by a one percentage point contribution from exports and 0.4 percentage point support from household consumption.

Treasurer Scott Morrison says the figures are no accident.

"It confirms the transition story, the transition that is occuring in our economy that the Prime Minister and I and the team have been speaking about for many many months now. The transition in our economy is what is working but it can not be taken for granted. But these national accounts numbers demonstrate that transition taking place."

But the opposition's treasury spokesman, Chris Bowen, insists there's fragility in the economy.

"This figure is driven entirely by net exports. Beneath the headline figures, we know there is an economy struggling with falling demand and falling income growth. In these figures today we see the 8th consecutive decline in nominal income, in other words, living standards. The most sustained decline in our history since record began."

The Prime Minister spent the morning in Brisbane.

Speaking to entrepreneurs at River City Labs, he pledged $15 million to give start-up businesses a boost if re-elected.

He says it's these small and medium businesses that have the backing of the government's innovation and science agenda and enterprise tax cuts.

"You're providing above all else the imagination, the idea, the dream, the courage. That's what you are providing. That particular Australian brand of imagination, of get up and go, taking that technology, building much of it yourself, that's true. But taking it from wherever then reimagining it and creating the businesses of the future."

The federal opposition's big announcement today - under a Labor government, they'll invest $98-million to start up so-called community power hubs.

Opposition leader Bill Shorten says the hubs will enable local communities to share power, generated from renewable sources.

"We want to put money into community hubs so that consumers and local communities can explore the benefits of the renewable energy revolution in technology. There's no doubt getting councils together, supporting people in social housing, ensuring that pensioners can benefit from some of the benefits of renewable energy also helps the bottom line for a lot of people."

And on a topic that seems to be plaguing the Coalition, foreign minister Julie Bishop attempted to correct her gaffe on superannuation.

Yesterday, she was unable to explain the coalition's superannuation transition-to-retirement changes.

Today, she tried again.

"This is about achieving the objective of retirement income. This is about a generous concessional tax rate of 15 per cent. It is not retrospective. Some changes take place from the 1st July 2017. 96 per cent of superannuants are either better off or not affected and that's why we are making these superannuation changes."

Bill Shorten also fielded questions from callers during an interview on the A-B-C.

Responding to a Brisbane university caller, Mr Shorten reiterated his promise that Labor will prioritise finding other countries to take people detained on Nauru and Manus Island, if it wins government.

He says he will send the immigration minister to meet with the United Nations High Commission on Refugees to make regional resettlement a reality.

And he says while there is a place for offshore processing centres, he won't let people languish in them indefinitely.

But he says he won't give way to people smugglers either.

"We are not racists and we are not islamaphobes at all. But let's also be straight here. 1200 people we know of drowned coming via people smugglers to Australia. Having a system which incentivises or puts the people smugglers back into business is a truly harmful policy and Labor won't do that."

Callers also questioned Mr Shorten on the pension age, access to the National Broadband Network and private health insurance.