New Greens leader Christine Milne says Opposition Leader Tony Abbott is to blame for creating an environment where Labor feels it is locked into delivering a budget surplus in the May budget even though economic circumstances have changed.
The Greens believe the Gillard government shouldn’t be rushing to bring the budget back to surplus if it means tough spending cuts and delaying reforms such as the introduction of a universal dental care scheme.
“Everyone in Australia knows if the prime minister hadn’t come out and made an emphatic statement in 2009 saying the budget would return to surplus this year on the basis of Treasury modelling about the extent of the growth that was predicted we wouldn’t be in the position we are,” Senator Milne told Network Ten on Sunday.
“But it’s actually Tony Abbott and the Ju-liar community who are responsible for this because it’s a political imperative.”
Senator Milne said Prime Minister Julia Gillard believed the government couldn’t change its position.
“That’s the tragedy of the actual political debate around the economy at the moment,” she said.
“We need to be creating the space for people to change their minds and be able to nuance a position according to what’s going on in the world.”
Ms Gillard on Friday said she hoped Senator Milne would work “responsibly and reasonably” with the government to achieve big changes for Australia “including bringing the budget to surplus”.
The new Greens leader, who replaced Bob Brown, said on Sunday the PM was trying to dissuade the minor party from arguing the government shouldn’t be returning the budget to surplus in 2012-13.
“We are always reasonable and responsible and we will be so in relation to the budget,” she said.
“However we are not going to change our view on that and no doubt there’ll be a few robust discussions.”
Senator Milne said Ms Gillard was wrong to suggest a return to surplus now was an economic imperative.
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