news, federal-politics

Treasurer Joe Hockey says it's "completely incorrect" his first budget was too ideological or unfair, but promised fairness will be central to political debate about tax and federation reform in 2015. Mr Hockey has also hinted strongly that a support package for families that includes greater support for families with kids in childcare and a revised paid parental leave scheme will form the centrepiece of his second budget. In an exclusive interview at the end of a bruising year that has seen the Treasurer's popularity plummet in opinion polls and his standing as the heir apparent slip in the Coalition party room, Mr Hockey said the end of 2014 had been "a bit ratty" for the Abbott government. But he insisted he was still the same person as "Sunrise Joe", that he did not "spend time wallowing in my own self pity" and that he was "frankly sick of people asking me about my feelings this year, its not about me, it's about my country". "We are going to give it [economic reform] a red hot go in 2015," he said. "I think it is hugely important that Australians participate in a conversation about what we want our nation to be over the next 30 to 40 years and the intergenerational report, which we will release in February, gives us a national platform. "The taxation discussion with the Australian people next year will not be about increasing the revenue take for the Commonwealth, it needs to be how we can have a taxation system that makes us a more efficient and productive nation, and is fairer for all Australians. "I think the Australian people are tired of politics and I think our nation needs a good holiday," he said, pointing to the "searing" events of Martin Place in his home town of Sydney and that "as my mum has always said to me, the sky is always darkest before the dawn". "2015 will be a better year for Australia, I have no doubt about that." He highlighted the government's achievements in repealing the carbon price, the rollout of infrastructure projects, signing three free trade agreements and repealing the mining tax as well as linked payments such as the schoolkids bonus "which had created an environment of entitlement in Australia". The families package would be "focused on facilitating growth and helping people to cope with the pressures of work whilst at the same time raising a family. More flexible and affordable childcare, a fairer paid parental leave scheme, these things are going to help to drive greater workforce participation, which is absolutely essential given we have such an ageing demographic." Asked if this package would form the budget centrepiece, Mr Hockey said "well, wait and see". Reflecting on the 2014 budget - which Treasury modelling released to Fairfax Media in August showed was inequitable with respect to where cuts were made - Mr Hockey admitted regret over the budget sales job "We spent more time focusing on outcomes than we did on messaging, and I regret that," he said. But he said it was "completely incorrect" to say the budget was unfair and that "there are numerous initiatives that have helped people in Australia who are facing adversity". He highlighted a "Restart" program to help people aged over 55 back into work and $20,000 trade support loans for apprentices as examples. The Treasurer has also suggested GST changes were increasingly unlikely - at least in the short term - because of the cost to federal coffers and squabbling between state governments.

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