Labor keeps spending, but shakes off some timidity

If, as Finance Minister Jim Chalmers insists, this is a “responsible”, “reformist” budget, or even an “ambitious” budget, this is a very Albanian-era interpretation of these objectives. In fact, it looks a lot like Labour’s standard political business model, where some welcome but limited tax reforms have been introduced.

This is still consistently the biggest spending government in Australian history. Despite the additional tax revenues that are now standard compared to previous estimates, projected budget deficits remain high, although forward-looking forecasts are slightly better than in last December’s Mid-Year Economic and Fiscal Outlook (MYEFO).