Mr SWAN (2:57 PM) —My question without notice is directed to the Prime Minister and relates to the government's failure to ease the impact of family benefit debt. Does the Prime Minister recall telling the House on 16 February:

Will the Prime Minister confirm that in July 2003 he intervened personally to delay cabinet consideration of the measures that could ease the impact of family benefit debt?

Mr HOWARD (Prime Minister) —I do remember saying in this House something to the effect that there had been no deliberate delay in relation to this matter. The truth is that from time to time any government determines priorities so far as taxation reductions and expenditure are concerned. As I indicated last year, we gave $10 billion of personal tax cuts. When those tax cuts were presented to the parliament, I do not recall the Australian Labor Party voting against them; I recall the Australian Labor Party voting in favour of those tax cuts. I also remind those who sit opposite that we are talking here about the adjustment on an annual basis of people's entitlements to a benefit that is infinitely more generous than any benefit provided by the Australian Labor Party.

The member for Lilley talks as if the adjustment of entitlements at the end of the year is the imposition of some kind of new taxation. We are talking here of the adjustment at the end of the year of people's entitlements. My understanding is that something in the order of 66 per cent of people's entitlements do not require any adjustment or, if they do, they attract a top-up. The others involve an adjustment because, through a combination of circumstances, there has been an overpayment of that benefit. Surely the Australian Labor Party is not suggesting that in relation to that 34 per cent of cases we should simply waive the requirement for some adjustment. There is no system that any government can sustain which simply says that, irrespective of the estimates that are made, whatever is paid cannot be the subject of any adjustment.

The Labor Party is being completely disingenuous on this issue. If it believed in helping families, it would get out of the way and pass that legislation in the Senate. There are 35,000 Australian families who could benefit tomorrow if the Labor Party got out of the way and acted today to pass that legislation and ensure there would be additional benefit for those 35,000 Australian families.