Coalition dumps welfare cuts in Budget deal

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By Leith van Onselen

The Turnbull Government has finally come to its senses and agreed to abandon its planned cut to welfare benefits for new recipients in a bid to get its Budget omnibus bill through parliament. From The AFR:

Following backroom talks led by Finance Minister Mathias Cormann and shadow treasurer Chris Bowen, sources said the government agreed to drop the largest of the 24 spending cuts in the bill – the removal of carbon tax compensation from the payments to future welfare recipients.

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About the author
Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness. Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.