Subjects: Ryan by-election; Pension tax cuts.
E&OE................................
JOURNALIST:
What's Cabinet going to do about the by-election this morning?
PRIME MINISTER:
Well I don't think we can do anything about it. The by-election is in the hands of the voters. I don't think any of us will be going over to the electoral office to act as scrutineers, although I've had a lot of experience with that over time. Will we be discussing it? Yes of course we will. We will talk about the by-election; we will also transact some business and I'll be wanting to get the views of my colleagues on the implications of the by-election and the reasons for the swing against the Government and perhaps during the day we might find out who the new member for Ryan is. It's still, according to my best advice, hanging in the balance, although Labor was 179 in front overnight. In these things being in front, even by one, is better than being behind.
JOURNALIST:
Mr Howard, ACOSS is saying that if your are listening to the messages that come out of Ryan you'll give pensioners some relief on the issue of alleged clawback.
PRIME MINISTER:
Well there's been no clawback.
JOURNALIST:
I understand that.
PRIME MINISTER:
Well I'm glad you do.
JOURNALIST:
The pensioners have a view.
PRIME MINISTER:
Well that view has been misinformed by the scare tactics of the Labor Party and some unfair demands being made by the chairman of ACOSS. We have not diddled pensioners. If I owe you a $100 in July, Glenn, and I pay it to you now, is it reasonable of you to ask me to pay it to you again in July? I mean that is really what is involved here and people should understand that. And the other point I make is that the original compensation package was on the basis of food being subject to the GST, and it's not. And on top of that the compensation package and the deal with the Democrats was further increased. So the claims that we have unfairly treated pensioners are not right and the Labor Party's just scared older people by running this campaign.
JOURNALIST:
(Inaudible)
PRIME MINISTER:
I think Ryan shows that we have a lot of communications challenges, yes. When you've had a result like this you're an unrealistic person if you don't make allowance for the fact that you may have had some communications failures. And I made that clear yesterday. I don't think Ryan says that we must change our fundamental direction and we don't intend to, but it does tell us that we need to explain things better and we need, where we can, to cushion the impact of economic change which has a generally beneficial effect, cushion that impact on particular groups. Now these are difficult challenges for any Government that is in its fifth year of office, now sixth year of office. But we'll be responding to them with great vigour and great determination, because we are determined to win the next election. There's a lot of fight in this Government and there's a lot of determination and energy in this Prime Minister. And I will be working very hard, spending every waking hour I have between now and the election to talk about what we have done and achieved and outlined what we have in plan for the future.
JOURNALIST:
Mr Howard, tax reform doesn't seem to be as popular in the electorate now as it was six months ago. What are you going to do to turn that eroding figure, or apparently eroding figure, around?
PRIME MINISTER:
I think you have to just go back to the earlier answer I gave. Thank you.
JOURNALIST:
Mr Howard, are you concerned about Billiton taking over BHP?
PRIME MINISTER:
It's not a takeover, it's a merger. (inaudible) to be based in Melbourne. And the BHP management, Mr Argus and Mr Anderson came to see me on Friday evening to brief me of the takeover. This is a great resource opportunity for Australia. You are going to have centred in Melbourne the largest resource company in the world. This is throwing in the face of concern about the branch office character of Australia a marvellous merger that is going to make Australia the centre of activity. It's not a takeover of BHP. It's a merger. And the chairman of the company and the managing director of the company are going to be the existing chairman and the existing managing director of BHP. So it is good for Australia and I was delighted when I was briefed about it by Mr Argus and Mr Anderson on Friday.
[ends]