
Tony Abbott has declared the buck stops with him as he backflipped on Defence allowances and admitted to breaking promises not to cut ABC funding or hike taxes.
A 45-minute media conference in the prime minister’s courtyard this morning was intended as a reset after a week in which coalition was trounced at the Victorian state election and federal MPs had a “ragged” week in parliament.
“The buck stops with me, so I take full responsibility,” Abbott said of the government’s performance.
He said the restoration of $17 million in allowances for Defence personnel was a response to his own MPs in seats with large proportions of military families, rather than targeted at winning over Senate crossbenchers such as independent Jacqui Lambie.
“I’d be the first to admit that last week was a bit of a ragged week for the government,” Abbott said, adding that he wanted to take criticism of the government “head on”.
Marking five years as Liberal leader on Monday, Abbott said it had been a year of “considerable achievement” for the government.
“(We’ve) demonstrated guts, commitment and strength of character.”
He said Labor was doing its best to sabotage the government’s agenda in trying to bring the budget back to surplus, but he would stay the course.
Asked whether federal factors played a part in the Victorian election loss, he said his government had made two strong contributions to Victoria – $3 billion for the the East West Link road project and the royal commission into union corruption.
“Whatever faults this government has, no-one can accuse us of lacking courage … of not having a distinctive position, whether it’s on the boats, whether it’s on security, whether it’s on budget repair, environmental policy.”
However, he acknowledged that policy changes could be ahead.
“If plan A is in trouble, obviously you contemplate a potential plan B,” he said.
“But as far as I’m concerned, I want Plan A implemented because that is the right plan, that is the best plan.”
He said cuts to the ABC were an example of “sensible efficiencies” which were needed to address the debt and deficit legacy left by Labor and declining revenues.
“I accept what we are doing with the ABC is at odds with what I said immediately prior to the election but things have moved on, circumstances are different,” Abbott said.
He also admitted that hiking tax on the highest income earners was also “not in compliance” with Coalition pre-election promises, but was a reasonable and fair thing to do.
The government remained “totally committed” to the GP co-payment, despite reports it had been shelved.
This commitment would continue “until we decide that there is an alternative way forward which, under all of the circumstances, makes sense”, Abbott said.
The prime minister said he was contemplating further tweaks to his paid parental leave scheme in the light of “internal and external” criticism.
Meanwhile, Education Minister Christopher Pyne has ditched plans to hike interest rates for university students.
Pyne is also actively considering other crossbench demands on his higher education overhaul.
Pyne is dropping plans to charge real interest on student debts and charge no interest at all for five years for those graduates who take time out of work to raise children.
These are the first concessions Pyne has given during the three months the changes have been before the Senate.
If the government can convince the crossbench to support its reforms it could get a significant victory in the Senate before the end of the week.
Plans to charge real interest rates on HELP debts have been widely condemned as the most unfair part of the government’s proposals.
Critics include university vice-chancellors, most of whom support overall fee deregulation, and senate crossbenchers, including Family First’s Bob Day and independent John Madigan.
“I do hope that the crossbenchers, all of them, are listening long and hard to the vice-chancellors of Australia,” Abbott told reporters.
Madigan also wants interest on debts for new mothers and fathers halted.
Pyne is considering a special fund to help regional universities adjust to the changes, setting the consumer watchdog to monitor fees and more targeted scholarships for rural and regional students.
The government’s package includes deregulating university fees, expanding commonwealth funding to private providers and degrees below bachelor level, and cutting the per student funding level.
Legislation has been stalled in the Senate as Labor and the Greens staunchly oppose it.
It is due for debate on Monday.
“I don’t presume to know what the final outcome will be but we are determined to deal with this matter one way or another in this final sitting week of the year,” Abbott said.
– with AAP
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