LNP stumbles on “efficiency dividend” and then pledges to cut funding to Disability Services by $800m

Published Wednesday, 11 March, 2009 at 10:20 AM

Treasurer
The Honourable Andrew Fraser

Lawrence Springborg’s unexplained $1 billion per annum cut to the budget has been disowned by one of his own Shadow Ministers, Treasurer Andrew Fraser said today.

“While both Lawrence Springborg** and Tim Nicholls^^ have said that the dividend would apply across the state government, their frontbench colleague Rosemary Menkens yesterday denied the efficiency dividend would apply to disability services,” Mr Fraser said.

Ms Menkens~~ said “There will be no funds slashed” from disability services.

“Lawrence Springborg’s $1 billion efficiency dividend is a hoax – there is a no way you can cut $1 billion without cutting jobs and without cutting services.

“Lawrence Springborg knows this and Tim Nicholls knows this and Rosemary Menkens has now said it.”

“The so-called ‘efficiency dividend’ would slash $38 million from the current disability services budget. You cannot do that without cutting services and without slashing jobs.

Mr Fraser said while Mrs Menkens had set the record straight on Lawrence Springborg’s cuts, she went on later in the day to pledge to cut funding to her portfolio by $800m.

“Rosemary Menkens yesterday pledged to combine the Communities department which has an existing budget of $830m with the Disability Services department which has an existing budget of $1.25 billion.

“Then she pledged it would have a combined budget of just $1.3 billion – nearly $800m less than now.”

Mr Fraser said the double-whammy from Mrs Menkens revealed the National Party didn’t have a clue on how to manage in these tough economic times.

“But Mrs Menkens got one thing right – you can’t slash $1 billion without cutting jobs and services.

“Maybe she has unwittingly told the truth - a big $800 million cut would help Lawrence Springborg get to $1 billion.

“The Nationals have never believed in supporting vulnerable people – like those with a disability.

“It’s been one week since Lawrence Springborg said he would cut $1 billion a year from the Budget, and he still has $1 billion worth of explaining to do.

“On any analysis Mr Springborg cannot cut $1 billion without cutting jobs and without cutting services.”

FAST FACTS

Current Disability Services Queensland 08-09 budget = $1.25 billion

Current Department of Communities 08-09 budget = $830 million

Proposed combined National Party budget = $1.3 billion

Budget to be slashed by 38% or $780 million

National Party Statements

** “The 3 per cent dividend is across all of government….” .

Opposition Leader, Lawrence Springborg, LNP Media Statement, 3 March 2009

http://www.lnp.org.au/lnp-media-releases/lnp-state-media-releases/lnp-to-protect-jobs-repay-debt-and-cut-waste.html

^^ “…..we have said the dividend applies across the entire State Government.”

Shadow Treasurer, Tim Nicholls, LNP Media Statement, 4 March 2009

http://www.timnicholls.com.au/index.php?option=com_content&task=view&id=123

~~ Disability cuts “totally untrue”. “There is no way we are going to cut services ….” "There will be no funds slashed and there will be no jobs lost.

Opposition Disability Services spokeswoman, Rosemary Menkens, Brisbane Times, 10 March 2009

http://www.brisbanetimes.com.au/news/queensland/disability-cuts-totally-untrue/2009/03/09/1236447126761.html

Contact (Treasurer’s office): 3224 6361 or 3224 5982