Silence of the Lambie over deal

INDEPENDENT Tasmanian Senator Jacqui Lambie says she is backing the Government tax cuts bill because low-paid Tasmanian workers need the money.

Ms Lambie told the Senate yesterday that she would rather help some people than none at all.

“These tax cuts put money back into people’s pockets — that’s what it comes down to,” she said. “It’s not perfect, it’s not a total shocker either.

“I’ve spoken to the Government and I’ve told them my concerns about this bill. I’ve told them that tax cuts don’t help people who aren’t able to find a job in the first place, and people who are sleeping in their cars or in their tents in Tasmania.”

The crossbencher has agreed to back the Government’s tax cut plan, apparently in return for favourable consideration of wiping $157 million in State Government housing debt to the Commonwealth. Senator Lambie’s key role in the hotly contested debate signals her vote will be keenly courted by the Government during the term of this parliament.

Ms Lambie made no reference to the apparent deal she has struck with the Government over Tasmania’s outstanding housing debt during her brief speech — but she said it must be forgiven.

“Tasmania has a higher proportion of historical public housing debt than anywhere else,” she said.

“And we have thousands of people who need housing. Instead of putting that money to good use we split it and send half of it straight back to Canberra. Half our social housing budget is sent back to Canberra. It’s not good enough. It’s time we called time on this debt.”

Housing Minister Roger Jaensch said the State Government would welcome a writeoff of the housing debt.

“We have a long-held position that we want to see historical housing debt retired, and the Tasmanian Government is having discussions at the highest levels of Federal Government in relation to this matter,” he said.

Deputy Opposition leader Michelle O’Byrne said it was “an absolute must” that the wiped debt didn’t lead to a reduction in grants funding for the state, and that any financial boost be used to build new homes.

Greens Senator Peter Whish-Wilson said all Ms Lambie had done was deliver tax cuts for millionaires at the expense of federal tax revenue.

“Jacqui thinks she’s a hero but she’s a bloody sell out,” he said.