The Cup Day interest rate rise, the second in the last two months and with more on the way, illustrates exactly how Labor’s irresponsible spending is increasing interest rates for every Australian with a mortgage or business.
The Opposition predicted this and the Governor of the Reserve Bank admitted it when questioned by Senators last month.
But this is only the beginning. Under the guise of the Henry Tax Review, the Government is considering a raft of tax increases.
The review is expected to propose congestion taxes for travelling around our cities. This will tax small business and tradesmen and will be a massive intrusion by government into our personal lives. Earlier this year in the Senate I outlined exactly what this would mean in practical terms:
… the state is going to try to control this most basic part of your life by controlling how and where you travel. Do we really want the government to be able to determine when and where we travel on roads that our parents and grandparents have already paid for?… In a free society, the free movement of people should be a given.
The unions are already pushing their barrow – they want an increase in the capital gains tax.
Today Wayne Swan flagged possible increases in the taxes you pay on your superannuation contributions, unwinding one of the major reforms of the Coalition Government.
Peter Costello pointed out that Labor has not ruled out new taxes on the family home, and the nanny staters want to increase taxes on wine, junk food, and soft drink.
As Liberals we know that the key to a prosperous economy is to keep taxes as low as possible.
Labor are racking up a massive debt, but they just keep on spending. Unless we stop them, we will all pay for it for decades through higher taxes.