Sussan Ley commits to offering income tax cuts at the election

Opposition leader Sussan Ley will commit the opposition to taking a plan to cut personal income tax to the election – despite being unable to foresee what the budgetary and economic circumstances will be by then.

In a Monday speech to the Centre for Independent Studies Ley will say the Coalition’s tax plan would “start where the pressure is greatest – low and middle income earners”.

Her firm commitment comes as the opposition has been under increasing pressure to put out policy, even though it is only a few months since the election.

She is also anxious to present a contrast to the opposition’s stance at the May election when it not only did not have a dedicated income tax package but opposed Labor’s tax cuts.

In her speech, extracts of which were released ahead of delivery, Ley says while early work on the tax plan has started “we will determine the scale and scope of our eventual package as the final budget position becomes clearer over the next two and a half years.

"But during this term when Labor wastes a dollar and people hear me and my team say we oppose that spending, I want Australians to have this pledge front of mind,” Ley says.

“I have never been more convinced, more determined and more passionate about anything I have ever done in public life than I am today in making this pledge to the Australian people.

"Every instinct in my being tells me that Australians should keep more of what they earn.”

She says the work of the shadow ministry will have two primary goals – lower personal income taxes and budget repair.

“Every time we say no to Labor’s waste, we will look first to return those savings to taxpayers or to strengthen the nation’s finances.”

Ley also flags that opposition policy will target changes Labor has made in industrial relations.

“Multi-employer bargaining laws are threatening small businesses with conditions they cannot afford,” she says.

“Labor’s push to legislate one-size-fits-all approaches across whole sectors ignores the needs of many employers and workers.

”“We will chart a different course,” she says.

But Ley does not spell out precise changes the Coalition would make, in an area where it is always at risk from a Labor scare campaign.

She says the Coalition believes in enterprise bargaining and options like flexible hours, remote work arrangements and modern award structures.

“A fair and balanced industrial relations system would create more jobs and more productivity gains. These gains, shared between workers and businesses, provide the foundations for higher living standards and economic growth.”