Jim vs Ted
The Economic Reform Roundtable aimed for consensus. But Jim Chalmers and Ted O'Brien's stoush over spending stole the spotlight on the final day.
As the final moments of the Economic Reform Roundtable tick down, it’s telling that the biggest story so far is a bust-up between Jim Chalmers and Ted O’Brien.
Thursday was always going to be the most politically challenging of the three-day schedule, with its focus on tax reform and budget sustainability. Then came the war of the words between the treasurer, who was chairing, and the opposition treasury spokesman over the perennial issue of government spending.
Capital Brief has confirmed with a neutral participant in Thursday’s roundtable that the disagreement occurred when several participants — including former Treasury secretary Ken Henry and O’Brien — called for stronger and more formalised fiscal discipline. This included floating a tax-to-GDP ratio to limit government spending. That is in line with the guardrails promised by the Peter Dutton-led opposition ahead of the last election.
The idea prompted a heated exchange, with O’Brien accusing Chalmers of embarking on a spending spree.
