Budget hits the poorest hardest

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The Federal Government has come under fire after Fairfax Media received documents under the freedom-of-information legislation, which show the Abbott government knew its 2014 budgets spending cuts would hit poorer households the hardest.

Fairfax Media is still seeking two further documents which are being withheld from the freedom-of-information request, a 56-page and 21-page document which are said to model the difference in disposable income between wealthier and poorer households.

“The Abbott government clearly shows what the welfare changes would mean, with 10 pages of material contained in the budget papers. This is significantly more than has been included in most previous budgets,” said a spokeswoman for Treasurer Joe Hockey.

Shadow treasurer Chris Bowen said yesterday that the Treasurer should be “acknowledging [the] Treasury figures show the fundamental unfairness of the budget,” and “These are Treasury figures. These aren’t Sydney Morning Herald’s figures, not the Labor Party’s figures these are Treasury figures, which have been released under FOI.”

Find out more from the Sydney Morning Herald.

Opinion: Should we be surprised?

While we all knew what we were signing up for when we elected this Coalition Government, I’m not sure anybody was expecting the harsh reality which was Budget 2014.

The media and public seem to be shocked that this Coalition Government delivered a budget which has favoured the wealthy rather than the less well off, when one of its signature election promises was the Paid Parental Leave Scheme.

It became clear when this Coalition government took the hard-line on not admitting that it was introducing any new taxes, when in-fact it was implementing a few, that we would be in for a long four years of denial. Joe Hockey came out yesterday like a rampaging bull attacking Fairfax Media for releasing “deliberately misleading” information, but it’s hard to argue with Treasury figures which paint the picture in black and white.

Joe Hockey will have a hard time convincing the majority that his 2014 budget was fair for all the nation it seems with 94 per cent of 17,326 people who answered a poll on the Sydney Morning Herald website saying that Joe Hockey’s budget hit the poorest the hardest.

What do you think? Is Joe Hockey lying to the public about the impacts of his budget or does he really believe it is fair for the wealthiest and poorest households?

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238 Comments

Total Comments: 238
  1. 0
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    Really , what did anyone expect from these snakes in the grass?
    Joe, leaned for 6 yrs at uni and probably has never been a lifter, why would you even trust him with the biscuit tin?

    • 0
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      Yes that biscuit tin obviously got a workout!!
      And just as Joe rapidly shed the kilo’s via gastric surgery, he has taken the same Invasive measures to his Budget. Given most of us have to Cut the Fat the hard way, thru sheer determination, diet & exercise, Joe does not appear to have any self control either for himself or his drastic budget that targets the vulnerable.

    • 0
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      The Howard government failed to get its ‘Work Choices’ in so this is the back door. Work Choices was sold as a cure for an ailment invented by big business and the rich to subjegate the workforce and get an even greater amount of money into their own bank accounts. It failed.
      It comes as no surprise that the leaked information details who is under attack. I have been saying this since the Budget and now we are seeing the proof. The end game: keep the bottom end of society poor, pay it nothing and force it to beg for crumbs and feel grateful that they have a job. It is so despicable. I understand how the French Revolution came about as the behaviour of those who have so much is a case of history repeating itself.
      “We want an election” Tony.

    • 0
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      Waytoopoortobeme, why do you find it necessary to be so rude as to make personal comments about someone and put them on a public forum?

      Criticise the policy if you will, but leave the personal insults about a person’s health issues out of it.

  2. 0
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    Does HE believe it’s fair for all? Of course HE does. The real question is, does anyone else?
    I don’t think the budget ever had anything to do with ‘fairness’. This was all about favoring people “of Calibre”, to use Abbott’s expression. For the other 99%, tough luck.

  3. 0
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    Joe Hockey would have a hard time convincing me of anything the idiot can only count when it comes to his wages, not that he should be getting them as it ios under false pretenses that he gets paid at all.

  4. 0
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    no surprise because the liberals are all for the bigger end of town NOT the lower or even middle classes.

    it is in their dna to say “ugh the peasants”

    what does surprise me is all those who voted for this mob.

    your reward for voting for them?

    treated with disdain.

    • 0
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      Simply because the other mob made such a mess of things and were taking this whole country down.
      At least this mob has stopped the decline, but at what cost ?
      The answer is a little way off.

    • 0
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      Both post correct. SO VOTE FOR A GOOD INDEPENDENT AND MAKE THEM FIX UP THEIR PARTIES BEFORE YOU VOTE FOR THEM AGAIN. This is the only way out of the mess but are Australians up to the medicine as they treat political parties the same way as a football team. Get a new team!!

    • 0
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      Present political parties are a canker in the side of democracy, they force the representatives of elected peoples to toe the party line, told what legislation to vote for regardless of personal preferences. This kind of undemocratic practice ensures that those who control the leadership run the Parliament, exercising control of the people.
      The only way to dismantle this grip on democracy is to vote for a worthwhile independent who will be directly responsible and available to their voters.
      It really is time for Australian voters to think, examine, question in-depth the policies of their representatives if we are to achieve honest representation.

    • 0
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      heyyou

      ” vote for a worthwhile independent who will be directly responsible and available to their voters.”
      And just how long do you think that your annointed one will remain “independent”?

      I am sure that they will remain independent up to the point where they need the backing of another “independent” to get through their particular wish.. At the point of the “quid pro quo” arrangement they cease to be “independent” as they are beholden to another member. Extrapolate this a bit further and what do you have?…………Voila, a new party and we are back on the treadmill.

    • 0
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      A lot longer than those who now gain your vote. Are you not aware that Abbott inc. lied to you during the election and that once the ink was dry you were hung out..for the same purpose?
      There are no guarantees in life other than deat and taxes, and there are no guarantees that an Independent will not double cross you. But your insurance is NOT voting a bastard in for a second term….thereby depriving a liar of their lifetime instant superannuation.
      As I have have said many times: don’t get angry, get even. Use the ballot box how it was supposed to used rather than be a drone like most voters who treat political parties like their football team. That defies logic.

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    I do not know whether we as Seniors have been treated badly or not. There seems to be no difference in my income as a pensioner and I do not see too much difference in our outgoings. Who knows?
    What I do know is that after many years as a unionist cum labor supporter after the past years of Labor government I certainly could not support that party at that time. Who will I support next election, I do not know only time and outcomes will answer that.
    At this stage there are items which are in the budget which I feel will enhance our situation and others that may be not so good or not good at all. Only the next few years will tell.
    I will let time not futile name calling etc decide for me.

    • 0
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      Well said Dougie.

    • 0
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      Not yet. But if Abbott and Hockey get this budget and succesive budgets through there will be. Remember Hockey’s parting words: “We’re not finished yet”.
      Good luck if you think that this government is not after people on pensions. They are.

    • 0
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      dougie, THFD, what a used car salesman’s delight, don’t worry about the condition look at the slick paint job, you can trust me, I wont let you down, voted the best yard in Australia, purchase with confidence.
      Sound familiar ?

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      dougie, you are a wise man. The name calling only influences those who have low IQs.
      They feel clever by repeating the name calling but they would not have a clue. I really hope that’s not the way they discuss issues face to face?
      Good on you dougie . You too The flying doctor!

    • 0
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      Excellent summing up Dougie. I too am swinging voter these days once supported Labor when it supported working people, battlers and pensioners who are the back bone of any country and pay the largest part of the income and other taxes collected and whom without, no company can make its profits or cover its overheads.
      Labor haunt been true to its origins since Bob Hawke first took donations for th eparty’s war chest from Big Business in the 1980’s and brought in The Accord which was designed to make higher profits, and the left wing words of change started to change the way we all worked, like productivity, it was used to make workers work harder for less rewards and the employer have less workers to pay but reap more profits. Basically, it kept workers wages down right up until Howard in 1996, meanwhile, the top end of town, company execs and middle management underwent a 60% pay increase as reported by the ACCC in mi 1990’s around 94 or 95.
      So those rusted on followers here who keep it on footy team level Labor v Liberals etc are losing out – should look at what you get in your pockets and how far and quitable it is overall. In other words follow the money trail because if you do, and question evry statement on TV by those commentating or interviewers who never ask the one question do they, “Who pays your wages” but you can work it out and far too often it is taken as 100% for the public good meaning for all of us, when in reality whatever is being stated over and over again until we accept it as gospel is far too often meaning more money in the pockets of those already having more than enough to spend in one lifetime and straight out of those pockets who can least afford it. The left are in both parties in Parliament. Turnbull Hockey and others are as left wing as Shorten Plebesek and others in Labor or Milne, SBY etc in Greens on much that affects our standard of living. So personal attacks on anyone only slows down th eprocess of getting a better fairer deal for all from the bottom up and not from the top down as currently the way things stand. Not had a decent tax revue in incomes since Howard in 1970’s and a bit of a tweak he did when late Kerry Packer paid $10 a year for 3 years legally Senate enquiry found.
      None of them wh are not taxed at source, PAYE, pay their fair share because of the loop holes, trusts, off shore accounts, personally, or company wise, profit shifting which G20 is supposed to discuss and fix as all countries are missing out by this as most part of multinational groups of investing in other countries and by shifting goods with no profit ie invoicing within the companies groups avoid tax in all countries.
      Seniors are old enough t know better, when we fight each other we allow them to win. Governments use tactics like this to win called divide and rule and it works with SFR against pensioners and then single pensioners being encouraged to think married are better off. Have to be a bit thick to do so as not. And worse since Labor cut the married rate down from 167% of the single pension to be paid to a couplein 2009 and not one Labor supported on this site noticed did they? Now it is 150% of the single rate and for those whos maths are not that interesting, it means a couple are being paid 1 single pension and 1 half pension. See proof Labor is not supporting more than they have to, paying lip service to pensioners who mainly have been true believers and kept them in office over the years.
      Labor takes as much money from top end of town as Liberals.

    • 0
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      Somebody in this whole sorry story who sees it as it is, very good to see that.
      Thank you!

    • 0
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      I Agree with every word of it Val !! All they think of now is how much food left in that Trough ..OINK OINK SQUEEEEL !!

    • 0
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      Frank: Back from a cabinet meeting? More of the same rhetoric. Little discussion or reasoning though. What else is new.
      Please mount an argument based on facts, not just the slogans you have been asked to repeat.

    • 0
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      My comment was for Dougie, not Val.

    • 0
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      dougie: of course you are no better or worse off yet as far as your pension payment is concerned as it hasn’t happened. The budget regarding pensions doesn’t take effect until 2017 if it passes the Senate. However, I don’t see any difference in prices in the supermarkets considering we have no carbon tax now? Every single discounted price on the “big two’s” specials is amply taken back by the higher prices in other items (especially fruit and vegetables). If you are reliant on living wholly on the aged pension based on CPI after 2017, you will certainly soon feel the difference in this backward step as all other prices of goods and commodities keep ramping onwards and upwards and you are possibly paying the Medicare co-payments too.
      Pensions contribute 6.9% of GDP presently and are expected to be exactly the same, i.e. 6.9% of GDP in 2050 due to the increased age to 70 before eligibility as well as less pensioners needing a full age pension due to their self-funding and all this in an economy presently in the trillions. There is a lot of “scare tactics” floating around all over the place and so many people keep getting sucked in to believing the rhetoric. The people believe what they are fed until all of a sudden the broken promises keep coming one after the other. Is it ever any different?

  6. 0
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    The deficit needs to be addressed but, the best way is to improved the economy and therefore improve government revenues. I don’t see any positive actions from this government just slash costs (but not politicians expenses or perks). Let’s have a double dissolution and get rid of these idiots.

    • 0
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      This budget is about the transfer of wealth from the poor to the rich, nothing else. There is no budget emergency because this was an election weapon which has now lost any real importance. If there were a budget emergency then this government would not have removed the debt ceiling, would not have advocated a stupid Paid Parental Leave Scheme (a vote buyer) or given the rich a 1.5% tax cut. So see it for what it is.

    • 0
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      The transfer of wealth from the poor to the rich? Are you serious mick?
      Try telling that to high income earners who will be paying extra tax in the order of $6,000 plus!
      On another note welcome back. How was Tasmania?

    • 0
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      Biblo47

      A couple of points re your post if I may!

      Just how do you suggest that we improve the economy in isolation and not cut costs?

      Your reference to politicians salaries and benefits is a typical small minded comment, repeated on these pages ad nauseum, and takes no account of just what the quantum of those represents in the National Accounts. Believe me, there would be a lot of zeroes in front of the figure as expressed as a percentage of Government expenditure.

      Finally, be careful of what you wish for in hoping for a double dissolution election. I too, wouldn’t mind seeing an election to almost certainly rid us of some of the whackos that were elected last time. The memory and obvious consequences of ill informed opinions are out there for all to see (at least from those who want to see) and I think we would wind up with a very different legislature.

    • 0
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      Frank: Much better. At least you offer a discussion. I’ll bite mate.
      You are correct that high income earners are paying a bit of extra tax. But that is FOR 2 YEARS whilst the rest of society have their tax increases forever. You also did not mention that the 2% tax was on incomes over $180 000. Also the $6000 extra tax you claimed these people would pay would mean that they earned $300 000 pa. My heart bleeds……..
      I also noticed that you did not mention that at a time when average Australians were getting taxed the rich got a 1.5% Company Tax rate CUT. Funny that.
      As usual Frank you rants are straight from Liberal HQ. Bad luck mate. People are on to you.

    • 0
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      mick, what do companies do with profit? I have never heard of a business which has a mission to decline it’s turnover and make less profit.

    • 0
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      Frank: Accountants and Solicitors run their businesses through their private companies etc. The work they perform for their daily bread is what they call WORK IN PROGRESS. And, do they work their W.I.P. and billing clients to a fine art.
      Big business has its ways of arranging tax liabilities in many ways too, defer, defer, defer. The only ones who pay up front and their fair share of what they earn are the PAYE

    • 0
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      Biblo47, you are spot on. This budget is all about cuts and removal of services. Therefore it is a recessionary budget and small business is already feeling the pinch. This will only get worse. There was nothing in the budget to grow jobs, no investment in health or education, just cut backs. How are we to grow as a nation under this bunch of dopes?

  7. 0
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    Well I did not vote for them so dont use the word “we” when you say tey were elected.They were not elected to destroy the living standards of the older australians, who worked hard all their lives to be treated like shit for their efforts.
    if it wasnt for a few good people in the senate we would all be suffering much more by now.
    There are a number of ways to bring back the deficit without affecting a single australian!…he just doesnt have the balls to do it.( the other mob prolly wouldnt either). They are all wanting to keep their lerks and perks as long as they can and in the process bleed this great country dry.

    No! it’s not fair but dont let fairness get in the way of huge payrises, golden handshakes,and all the perks …..

    • 0
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      It seems to me that we are all the same then. None will end the so called perks! Some small some big! But one thing should be clear for everyone. We should help business big or small. Because they are the ones that provide us with work. We complain about how much profit they make. But if they don’t make that and then go broke you should hear those same people complain. Life is not simple and ruling a country is the same of worse. The thing I would like to see change in this Country is that, politicians, whichever side they are should all do their best in ruling this country and make it better! But the only thing they do is say no to the ruling party, calling each other names, en behaving like spoiled brats. If they would sit round the table and discuss things what’s best instead what they are doing for years what they are doing now, maybe this Country could indeed be the lucky country!

    • 0
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      And dottie the workers are the ones who help them create their riches so they should be looked after.

    • 0
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      i’LL VOTE FOR Jurassicgeek+dottie and Wstation, when are we going to start our own party. I heard that one has been started but thats about it,and not much else!
      any updates on this would be appreciated

  8. 0
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    This budget has been deliberately aimed at the poor and less fortunate.
    Reasoning of this Liberal government is that the less well off and those in difficult financial situations, for whatever reason, have only themselves to blame and not the circumstances that they find themselves in.
    The fact that this is patently not true is an “inconvenient truth” and does not fit their agenda.
    Much more could be written on this but most of it has already been said and observed and this government refuses to acknowledge its total lack of empathy with those less fortunate than themselves.
    Any democratic government is meant to represent the “will of the people” – not rule in a draconian manner.

    • 0
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      BELLe, well your right the Liberal government is going to hit hard against the poor and less fortunate,and with his mate Joe Hockey our lives for the retired pensioners will be the hardest hit.

  9. 0
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    Joe Hockey is a very arrogant Politician and PM Abbott they dont give a damm in hell how they will effect the retired pensioners……….but……. the young families will always be looked after…….by the taxpayers of Australia with out a second thought……..pensioners have done so well with their budget but gee its tougher these days

    • 0
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      I mean budgeting

    • 0
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      mean budgeting. everyone is hit hard, not just pensioners over 65. Anyway, we deserve what we get for putting the unions in government for 2 terms.

    • 0
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      As a retired pensioner I do not see any adverse effect in the budget that will have any impact on my lifestyle.
      And remember something had to be done after the mess left by the previous government

    • 0
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      mcc200……..Another Liberal voter ??and the the Liberal never makes mistakes???take some flack??just take a good look at what going on now???? and futher stop pushing the blame of Labor……..( the Liberal party has sold off so much value properties to be in the black

    • 0
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      mcc200 reminds me of the old adage “I’m all right jack” the same attitude as the a lot off the affluent.

      Just remember that Hockey said “I’m not finished yet” Let hope that he is finished and out on his bum. Mind you I also would not like another incompetent party in place either.

    • 0
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      Wstation, Yes Joe Hockey is definately not finished???????????? Just a few months ago he kicked the pensioners out of their units over looking Sydney Harbour…..and he did not care about the elderly residents who been living their for many years?????….NO………..JOE HOCKEY………only saw the Big Dollars Signs and what he could do with the cash flows from the sale??..keep an eye out as we should know soon what it will be,

    • 0
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      mcc200: Perhaps you are well off. Good for you if you have had good luck in your life. But what you fail to see is that this government whose budget attacking the poor end of society has so far been blocked by the senate. It is after the poor not the rich.
      The ultimate aim of this government is to bring the family home into the assets test, lower both threshholds for assets and incomes tests and then ask people to sell their family home and pay for their retirements……with NO ‘refund’ for 50 years of taxes which had a pension component built into them. We all know how that one will play out.
      So get real and see that game for what it is. Your statement about no effect on YOUR RETIREMENT may yet be hollow words which come back to haunt you.

    • 0
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      Tia Maria, No Mr Hockey did not kick pensioners out of their homes overlooking Sydney Harbour. That was NSW Government who owned the properties. Please, Mr Hockey is not responsible for every perceived ill today.

    • 0
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      That right another liberal government giving in to the rich builders

    • 0
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      Industrious Little Termites they are !!

    • 0
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      tia-maria

      I do not normally take issue with the hopelessly biased contributors to these pages but I feel constrained to point out to you that the resumption of prime properties in The Rocks area of Sydney was an action of the NSW State Govt and was, whatever your view, totally justified. Perhaps you didn’t see the public housing tenant who was paying less than $100pw to occupy one of the prime spots in the city, driving away in his $100,000 Mercedes?

    • 0
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      Well thats funny Paddles. The report I read was about the NSW government changing votes for strata holders to only 75% to vote to sell all the units. Nothing to do with with public housing.

    • 0
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      Frank: You say “everyone is hit hard”. A lie. Average Australians are hit hard. The rich get tax cuts. And the rich. as a percentage of their income, will feel NO PAIN. Tell the truth…..oh yes….that is not a quality of any value from your beloved Liberal Party.

    • 0
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      Frank: Seeing you think we deserve what we now get, after putting the “Unions”??? in for two terms, it looks as if your beloved Abbott/Hockey combo think we deserve what we now get as we’ve put big business in charge to run the show for the current three year term!
      God help us all.

    • 0
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      I think that there are some on this site that if JH POO’ED in their Bed they would still think He was a Wonderful Person ??…
      Either that or there is a Big Quid in Cash for Comment ??

  10. 0
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    And number twenty of the things we didn’t know about Joe Hockey. Is the fact that we knew he is a shyster. and Joe didn’t. know that we knew.

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