Senate crossbench rejects omnibus bill
The Coalition’s omnibus bill to force $4 billion in savings through Parliament with increases to childcare subsidies, and cuts to family tax benefits and paid parental leave, has been blocked in the Senate by the Nick Xenophon team.
The South Australian’s team of three senators and a Lower House MP reportedly support increases to childcare subsidies but not at the expense of family tax benefits and paid parental leave, suggesting instead a rise in the Medicare Levy and a cut to the Government’s $24 billion defence spending budget as an alternative.
In response, Treasurer Scott Morrison extended an olive branch in the form of $3 billion of funding to the National Disability Insurance Scheme if the legislation passed.
But this offer was slammed by Xenophon, who said, “As a negotiating tactic, this is as subtle as a sledgehammer. Pitting battling Australians against Australians needing disability support services is dumb policy and even dumber politics.”
In an interview with ABC Radio, Social Services Minister Christian Porter said the Government would commence further discussions with Senator Xenophon.
Porter said, "I think the fundamental difficulty is the one that Nick has raised, which is that he does not consider it's a mechanism that he can support to find savings inside the family tax benefit system to pay for childcare.”
The Government could seek crossbench support from Labour and the Greens, but it looks unlikely with Labour’s social services spokeswoman, Jenny Macklin, saying, “This is a disgraceful political game of brinkmanship."
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