National Party leader Barnaby Joyce has questioned the Rudd government’s $10.4 billion rescue package, fearing taxpayers’ money could be wasted on “poker machines or plasma TVs”.
After Prime Minister Kevin Rudd announced the plan today to help protect Australia from the aftermath of the global economic crisis, Mr Joyce questioned the decision to award lump sums to pensioners and other groups.
“Obviously we want to work towards alleviating the pressure on the Australian people,” Mr Joyce told 2GB Radio today.
“I do have a concern that if you pay people in lump sums it can end up against the wall, and we don’t want that.
“People go to work every day to pay their taxes, and they don’t like seeing it end up in poker machines or plasma TVs.”
But Deputy Prime Minister Julia Gillard said the dramatic, one-off move was necessary to help stave off a possible recession.
“I think people who have watched their TV screens over the past few weeks – and I know many Australians have been positively glued to them – know something huge has happened and a lot has changed,” she told 2GB.
“As we’ve seen the global financial meltdown play out on our TV screens, more than 25 banks around the world fail or have to be bailed out, we’ve seen the stock market crashes, people have watched all of that and it’s reinforced a clear message: we are dealing with a very different circumstance now.
“And as a result the government thought that it was very important to respond to strengthen the economy.”
Ms Gillard also defended the government’s decision to take a large chunk out of the surplus.
“You put in the hard yards for a surplus so you have a buffer for a rainy day.
“Well the rainy day is here.”
