Treasurer Joe Hockey wanted heavier budget cuts, book reveals; Abbott responsible for more cautious approach

Updated

Federal Treasurer Joe Hockey says his predecessors Peter Costello and Paul Keating have produced tougher budgets than the one he delivered in May, revealing he would have gone further if not held back by colleagues.

A biography of Mr Hockey, written by Fairfax Media columnist and former ABC broadcaster Madonna King, reveals that although there were heavy cuts to health, education, welfare and foreign aid in the budget, it was much softer than the Treasurer wanted.

The book, written with Mr Hockey's cooperation, reveals Prime Minister Tony Abbott was responsible for a more cautious approach.

It says the Treasurer wanted the "changes to pensions made earlier, and the deficit levy to net more taxpayers", but Mr Abbott was concerned about the reaction from voters.

The Government is struggling to win support for a number of controversial budget changes, including plans for a co-payment on doctor visits and moves to increase fuel excise.

If the measures are not passed, the Government faces a multi-billion-dollar hole in its budget bottom line.

"We had a mandate to fix the budget," Mr Hockey told Macquarie Radio, defending the need to make tough cuts.

"The quicker we can start living within our means, the better the quality of life.

"In economic terms, [the May budget had] half the savings that Paul Keating had in a number of his budgets, and half the savings that Peter Costello had in his first budget."

Mr Hockey says the Opposition and Senate crossbenchers must pass the budget.

"We are dealing with a group of people in the Opposition, and Bill Shorten is responsible for this, and Christine Milne and Clive Palmer or anyone else.

"They have got to understand that their actions are going to have a negative impact on the economy, not just the budget."

Bowen says Hockey 'out of touch'

Labor's treasury spokesman, Chris Bowen, says Mr Hockey's wish for an even tougher budget may still come true.

"As long as he is Treasurer of Australia, before the next election and if they win after the next election, Joe Hockey will want to make further cuts in any budget they he brings down," he said.

Mr Bowen says the book's portrayal of Mr Abbott urging restraint from his Treasurer does not paint the Prime Minister in a better light.

"It's a remarkable thing to be recorded that the Treasurer of Australia thinks his budget should have gone further and he was over-ruled by the Prime Minister, who said the cuts shouldn't go further, not for fairness reasons, not for policy reasons, not for concern for the Australian people, but for political reasons, that further cuts would not be palatable," Mr Bowen said.

"The Treasurer is completely out of touch with the needs of the Australian people and the Government is at its core dysfunctional and divided."

Pyne predicts future budgets will be kinder

Education Minister Christopher Pyne says he has not seen a copy of the book but backs the measures in the budget.

"The budget as presented by the Government is one that all the Government supports," he said.

"It contains individual measures that not everyone in the public personally likes, but I think everyone in the public understands the job that the Government is attempting to bring about, which is to live within our means and ensure we have a growing economy, lowering unemployment and lowering inflation."

Mr Pyne predicts future budgets will be kinder.

"I think we will get most of our budget through the Senate. And if the Senate, in its infinite wisdom, supports the Government's budget, then over time we will able to be more generous rather than living tightly as we have this year."

Succession talk hosed down

Mr Pyne has also hosed down leadership speculation, after the Prime Minister's chief of staff Peta Credlin named the Treasurer as Mr Abbott's most likely successor.

"Joe's absolutely a contender and he probably has his head above every other contender," Ms Credlin is quoted as saying.

"But I think we are a long way from saying he's an heir apparent - and he'd say that too."

Mr Pyne says Mr Hockey is doing a marvellous job and he hopes Mr Abbott remains Prime Minister for a long time.

"We have a great Prime Minister. His name is Tony Abbott ... and I, for one, hope and expect that he will be Prime Minister for another decade.

"Beyond that, it is a matter for the party room and no-one else."

In the book, Mr Hockey states that if the Abbott Government is voted out of office, he will not spend another term in Opposition.

Topics: budget, federal-government, government-and-politics, federal-parliament, parliament, biography, books-literature, australia

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