Category Archives: Speeches

Senator Dean Smith – Shadow Assistant Minister for Competition, Charities and Treasury – Address – National Press Club

SENATOR DEAN SMITH SHADOW ASSISTANT MINISTER FOR COMPETITION, CHARITIES AND TREASURY LIBERAL SENATOR FOR WESTERN AUSTRALIA ADDRESS – CHARITIES AND NOT-FOR-PROFITS PRE-ELECTION FORUM – NATIONAL PRESS CLUB 23 April 2025 ***CHECK AGAINST DELIVERY*** INTRODUCTION Thank you, Julie – and thank you to both our sponsors and all of you from across the Australian charity and not-for-profit sector joining us today. I am grateful for the opportunity to continue this vital conversation with you. Since becoming Opposition charities spokesman, my door has been wide open to the sector – listening to your challenges and sharing your hopes for the future. And I have been out in the community, starting with visits in late 2022 and early 2023 to Adelaide, Moree and WA’s Kimberley region, to name just a few locations. The challenges organisations faced were real and the need for practical solutions was, and continues to be, urgent. Three years have now passed under the Albanese Labor Government. I have been visiting many charities again recently – in Queensland, Western Sydney, the Mornington Peninsula – especially those with a focus on food relief. Their situation has not improved. After three years of this Government, it is more desperate than ever. Labor policies heralded three years ago have been allowed to lag, practical initiatives are nowhere to be seen, and process has been dressed up as outcomes. The sector has been left to feed, clothe, house and counsel record numbers of Australians – many of them for the first time – through the Government’s cost of living crisis. Our charities and not-for-profits are, in many cases, literally keeping people and communities alive. And while the Albanese Government remains in power, they are doing it alone. FOOD RELIEF CHARITY FUNDING That is why I was in Brisbane’s south last week with Opposition Leader Peter Dutton, announcing $19.5 million from an elected Liberal Government to build a new Foodbank Queensland distribution centre. It is part of a $69.5 million commitment to the food relief sector over four years from the 1st of July this year. The $50 million announced in the Budget in Reply will be made up of: $20 million over one year – $10 million to the three nationally funded food relief charities of Foodbank, OzHarvest and SecondBite and $10m for other charities also providing these services around the country – for the new freezer or delivery truck they desperately need; and $10 million annually for three years from 1 July 2026 for Foodbank, OzHarvest and SecondBite. The Coalition believes it is significant, immediate initiatives such as these that will changed the lived experiences of local charities, volunteers and those in need. THE SECTOR AND ECONOMY UNDER LABOR I don’t need to tell you that the sector and its clients are doing it tough – you are living it. But look at the numbers. Real household disposable income has collapsed by 8 percent under the Albanese Government and ABS statistics reveals basic foodstuffs, including bread, breakfast cereals, fruit, eggs, cheese and cooking oils all jumped in price by more 20 percent. Nearly 2 million households experienced severe food insecurity in the past 12 months, more than half with at least one person in paid work. And RBA data confirms the number of Australian mortgage holders running at least three months late on their repayments has increased in every state and the ACT during the past couple of years. MISSED OPPORTUNITIES There has been opportunity alongside the challenges – opportunity for genuine reform, to improve giving, to build a stronger sector by making it easier, rather than harder, for charities and not-for-profits to operate. These are goals we all support. Frustratingly, these opportunities have largely been lost. Great expectation surrounded the Productivity Commission’s efforts and the ambition of doubling philanthropic giving by 2030, but the Report was underwhelming. At best, it represents refinement over transformation – but its work is not completely lost. Many of you will be interested in how to progress the proposed DGR system reforms and the Coalition will listen intently to your position. But it is also important to recognise that the Report expressed some caution, noting that “making assessments about which classes of charitable activities should be within the scope of the DGR system is challenging, subjective and contestable”. Key policy makers, including the Government and Opposition, have rejected commendations affecting the DGR status of school building funds. And, importantly, the Report also observed that “the effects on the overall level of giving are expected to be relatively modest” – adding there would be a net fiscal cost to the Budget. DGR reform is still very much a work in progress, but the real opportunity for transformation is not with the DGR but through philanthropic giving. The Coalition has a strong record of tangible policies to support philanthropy, including: introduction of prescribed private funds by the Howard Government; and provision of DGR status to 28 entities associated with community foundations by the Morrison Government. It is to the philanthropic part of the giving equation that the political effort must be applied if we are to realise a genuinely new world of giving in this country. The Coalition’s first step will be to engage with the Fundraising Institute and Philanthropy Australia on a clear, agreed plan to uplift giving. The ‘Not-for-Profit Sector Development Blueprint’ will also be top of mind for many in the room. Let me tell you that the Coalition understands: the need for a plan that looks to the medium and longer term; the importance of strengthening relationships between government and the not-for-profit sector; that effectiveness depends on an enabling environment; and the centrality of decisions around funding and procurement. I commit that an elected Coalition Government will engage in comprehensive consultation with the sector on the Blueprint across all its 18 key initiatives. But more than this, I announce today that a Coalition Government would escalate our consultation with the sector by convening two Ministerial-level round-table discussions within the first six months of being elected. The…

Shadow Assistant Minister for Competition, Charities and Treasury – Opposition Reply in the Senate, Ministerial Statement on the Economy – 20 November 2024

Senator Dean Smith Shadow Assistant Minister for Competition, Charities and Treasury Liberal Senator for Western Australia OPPOSITION REPLY IN THE SENATE, MINISTERIAL STATEMENT ON THE ECONOMY  20 November 2024  ***Check against delivery*** Introduction The Australian people were asked to put their trust – and their future – in the hands of Prime Minister Anthony Albanese and his Labor Government. A future where – in his words – “no-one is held back and no-one is left behind”. This was to be based on a strong economy, where Australians could comfortably afford the cost of living. There would be “cheaper electricity, cheaper childcare, cheaper mortgages” – because Labor had “real, lasting plans” to deliver them. Australians were told to do more than simply vote for a party; they were implored to “Vote for Hope”. What has become of this “better future”? What has become of this hope? Instead, Australians are struggling to weather a cost of living crisis, characterised in many cases by record-breaking struggle and suffering. It is the greatest of many broken promises. The Treasurer, Dr Chalmers, stands before us to paint an optimistic picture of the economy, but the lived experiences of Australian households and businesses tell a very different story. The statistics do not lie, the hardship is there for all to see, and the time for spin is over – this Labor Government must confront the reality of its own failures. State of the Economy The Treasurer’s attempted to project his usual calm and confidence today, pointing to global economic pressures as the root of our challenges. He speaks of a “strong recovery” and “record low unemployment,” but I must ask, Dr Chalmers: Where is this recovery being felt? Certainly not in the homes of everyday Australians, as they grapple with the highest inflation in a generation and stagnant wages. The evidence is clear: Australians are worse off now than they were two and a half years ago. Disposable incomes fell by 8.7% per capita between March 2022 and June 2024 – the steepest drop across all OECD nations. Nearly 94% of Australians surveyed in a recent committee study experienced cost of living pressures. More than 90% were forced to re-prioritise their spending or go without essentials. These are not just statistics – they are proof of an ongoing struggle. While the Treasurer praises the Government’s actions, the truth is Labor’s fiscal policies have actively worsened the inflation crisis. Higher spending outlined in the 2022–23 October Budget, the 2023–24 Budget, and subsequent fiscal projections, have intensified inflationary pressures. This mismanagement has left the Reserve Bank of Australia to keep interest rates higher for longer, compounding the pain for mortgage holders. Meanwhile, other developed nations – including the United States, the United Kingdom, and New Zealand – have already begun cutting interest rates. Labor policy has left Australia in an 18-month per capita recession, with annual economic growth stagnating at just 1.5% – which, apart from the pandemic, is the weakest since the early 1990s. Inflation may have eased slightly, but rental prices have surged by 6.7% annually, and food prices remain high at 3.3%. Even the Government’s much-touted Energy Bill Relief Fund has proven to be nothing more than a band-aid, offering temporary relief but failing to address the underlying situation. Electricity prices may have decreased by 17.3% in the September quarter, but Australians know that subsidies won’t last forever. The IMF predicts Australia’s headline inflation will still be at 3.6% in 2025—nearly a full percentage point above the next highest country in the developed world. And the RBA has forecast that underlying inflation won’t return to its target range until late 2025, with the midpoint not expected until 2026. Officials reconfirmed this to me during Senate Estimates just a couple of weeks ago. The WA Experience I focus briefly on the economic experience of Western Australians as a case study – not only because I am a Senator for that state, but because it has set records for all the wrong reasons under Labor. Last financial year, one thousand WA businesses failed, unable to weather the Government’s twin cost of living and cost of doing business crises. That is double the number of insolvencies recorded during the 2008 Global Financial Crisis. Western Australians are spending an extra 1 billion a year on mortgage repayments – money which, at best, cannot be spent to support the wider economy and, at worst, is forcing families make decisions like skipping meals. That, of course, is if they can make their repayments at all. WA has the second highest rate of mortgage arrears in the nation at 0.62%, according to data I obtained from the Reserve Bank – although the number of people falling behind has also surged nationally. These are also higher rates on larger loans, with the ABS confirming the average loan in Western Australia jumped 36% – or $146,800 – since the low-interest rate environment at the beginning of the pandemic. When I started tracking ABS figures on this mid-year, I found the average home loan in WA was now the highest since published ABS data began, having jumped over $62,000 in just eight months. And the largest rises are in the more affordable areas of Perth, where first homebuyers, newly arrived Australians, and those poorly equipped to deal with cost increases are looking to settle. Renters in the West face similar challenges, struggling to find a home in what has become the most restrictive rental vacancy rate in Australia. Housing I’ll return to the Coalition’s vision for Australia’s economy in a moment, but here it is worth mentioning our plan to resolve this housing crisis. That includes restoring the dream of home ownership by unlocking up to 500,000 homes through investment in infrastructure, ensuring faster delivery. And, because unmodeled and record immigration is a key component of this challenge, we will reduce migration numbers and ban foreign investors buying existing homes. Economic Alternative This reality of what Australia is experiencing highlights a key structural problem:…

ADDRESS TO THE PHILANTHROPY AUSTRALIA ‘PHILANTHROPY MEETS PARLIAMENT’ SUMMIT

SENATOR DEAN SMITH SHADOW ASSISTANT MINISTER FOR COMPETITION, CHARITIES AND TREASURY LIBERAL SENATOR FOR WESTERN AUSTRALIA ADDRESS TO THE PHILANTHROPY AUSTRALIA ‘PHILANTHROPY MEETS PARLIAMENT’ SUMMIT Parliament House, Canberra 24 October 2023 Opening remarks Good morning, I begin by acknowledging Philanthropy Australia co-chairs Amanda Miller and Lisa George, and CEO Jack Heath – and, of course, the representatives of Australia’s remarkable, resilient charities who are present here at Parliament House in Canberra today. It is a privilege for me to join you in my role as Opposition charities spokesman. But it is regrettable that I do so at a time when so many face record hardship and challenges. Every statistic released confirms what we all know from our work in communities around the country. People are doing it tough and seeking urgent help, many of them for the first time. The mission to double philanthropic giving by 2030 – to build community strength, to cement a culture of giving and to reward generosity – is now more important than ever. Record demand on charities From round tables here in the capital with the Australian Red Cross and St Vincent de Paul, to local branches of Meals on Wheels in Narrabri in northern New South Wales. From free supermarkets on the Gold Coast, to an op-shop dressing the homeless in Melbourne’s outer suburbs. These are among the inspiring organisations I have visited across five states in 2023. With a few exceptions, caused by isolation or unique community circumstances, their concerns have been the same: A surge in demand, combined with falling donations and rising overheads. Added to this perfect storm are dwindling volunteer bases, many of which have never fully rebuilt post-pandemic. As I noted when I began, the shared experiences of these charities are reflected in the statistics – and brutally so. The latest Foodbank Hunger Report revealed that 3.7 million households experienced food insecurity in the last year, an increase of 383,000 from 2022. And The Salvation Army’s Red Shield Report found 95% of family households who responded found it difficult to meet essential living expenses – up 8% on last year. The economic reality This spiking demand for charity services is almost wholly due to the cost of living crisis Australians are living though. Food, fuel, utilities…very few items are immune. Nearly 80% of those households I mentioned experiencing food insecurity said rising cost of living was the main contributing factor. There have been 11 interest rate increases under the current Government. These are result of the central bank being left to pull the only lever available to address inflation – because nobody else is. And the effects cannot be understated. In my home state of WA, for example, more than 40,000 low-income mortgage holders are spending over 30% of their household budget on loan repayments. The Salvation Army’s Doorways Emergency Relief Survey reported that 21% of respondents from the West had been unable to make their mortgage repayments on time in the past year. Low-income renters didn’t fare any better, spending around two-thirds of their income to afford an average rental property in the state. The reality is that the best thing the Government could do to aid struggling Australians, and the charity and non-profit sector working so hard to support them, is to prioritise good economic management and taming inflation above all else – and quickly. The Productivity Commission Review Doubling giving by 2030 is, as I have said, of ever increasing importance if our charities and non-profits are to meet demand into the future – but also, I hope, to grow and thrive. We know that we still have a way to go. Australia’s giving lags behind our contemporaries, representing just 0.81% of GDP, compared with 1.84% cent in New Zealand and 2.1% in the United States. But I take the opportunity this morning to share some of the standout priorities and suggestions from submissions to the Productivity Commission’s Philanthropy Review. Among these are: superannuation bequests; the possibility of Australians returning part of their tax return to charity in a deliberate and structured way; allowing ancillary funds to distribute to other ancillary funds; and encouraging later in life and legacy giving. The latter, as most of you here will know, is aimed at a unique, once in a lifetime opportunity for the sector: An upcoming intergenerational wealth transfer estimated at more than $2.5 trillion. This is a foundational consideration – how best to encourage and reward giving by those Australians fortunate enough to have amassed significant wealth for themselves and their families. The Coalition has welcomed the Philanthropy Review and what it aims to achieve. Like the sector, we eagerly await both the final work of the Productivity Commission and, more importantly, the new legislative and regulatory landscape it creates. Likewise the sector-wide Not-for-Profit Blueprint, aimed at shaping Australian philanthropy’s future. Noting today’s theme of cooperation between philanthropy and Government, I would make one final point. Policy – even good policy – needs to be driven through Government. It cannot be left to idle through. The needs of the sector, and the millions of Australians it helps and employs, are now far too pressing. I finish by paying tribute to the commitment and selfless service of those at the coalface: Australia’s charities and all those who sustain them. Our philanthropic community continues to shape our country in the best possible image of ourselves. Thank you. ENDS

ADDRESS TO THE CONEXUS INSTITUTE RETIREMENT FORUM

Senator Dean Smith Shadow Assistant Minister for Competition, Charities and Treasury Tuesday 8 August 2023 Old Parliament House, Canberra Opening remarks I begin by acknowledging the traditional custodians of the land on which we meet today, the Ngunnawal people, and pay my respects to elders past, present and emerging. And I extend the Coalition’s appreciation to David Bell and Colin Tate from Conexus for the opportunity to share these remarks. I am delighted to represent Shadow Treasurer Angus Taylor.   Introduction In 2009, the Henry Review observed that “The retirement income system is facing challenges that will test it as the 21st century unfolds. These challenges include the ageing of the population, longer life expectancies and more people interacting with the system.” Fourteen years later, with each of these challenges magnified and in the middle of a cost of living crisis, the Review’s findings are now urgently real. It is key to the wellbeing of Australian retirees, and the national economy, that we have a secure and trusted superannuation system, reinforced by a more accessible financial services sector. The remark by one industry participant that “the hard work in translating super into better retirement outcomes is only just beginning” is evidently very true.   Economic context Many Australians’ economic circumstances have changed dramatically since the last Federal election. The cost of living and the cumulative effect of 11 interest rate rises mean many households are grappling with financial challenges they have never experienced before. The latest data makes it clear. The ABS Selected Living Cost Indexes, released last week, rose by between 0.8% and 1.5% in the June 2023 quarter. Annually, the same Living Cost Indexes rose by up to 9.6%. Working households experienced the highest annual rise in expenses on record. This was based largely on blow-outs in mortgage interest charges, which grew 91.6% – and represented another record increase. It is unsurprising that Roy Morgan research found that, in the three months to June, 1.43 million Australians were at risk of mortgage stress. Looking again at the ABS data, most relevant here today is that insurance and financial services were a major component of these cost of living increases. For self-funded retirees, insurance and financial services costs rose by 17.0%. It was 25.7% for pensioner and beneficiary recipients and 51.8% for working Australians. Meanwhile, the most recent HILDA survey found around 8.5 million adult Australians were financially illiterate. And it’s suggested that almost 90% of Australians are prohibited from accessing financial advice due to cost. This is the current reality. But these circumstances also represent a rare opportunity for the financial services sector – which is something I will return to.   The Coalition and superannuation Current position Australia’s superannuation system succeeds when people feel it delivers stability and certainty in planning for their retirement. It is a balancing act of recalibrating to ensure it is fit for purpose while maintaining the certainly expected of any long-term investment. Future changes must be measured and respond to genuine requirements only. Superannuation must not become an unwilling participant in political culture wars or be viewed as a piggy bank for Governments to dip into when the Budget needs supplementing. It is Australians’ money, intended to provide them with a secure retirement income. That is why the Coalition believes future priorities for superannuation should be guided by supporting retirement outcomes for Australians. These include: Improving superannuation awareness among Australians; Balancing broader benefits without compromising the preservation principle; Addressing the balance gap to assist women, primary caregivers and low-income earners grow their superannuation; and Reducing red tape across the financial services sector and economy, driving investment and making it easier to deliver returns.   The Levy Review Too many Australians have been cut out of access to financial advice for too long. The Coalition commissioned the Quality of Advice Review – commonly known as the Levy Review – with a view to changing this. Labor’s announcement in June this year that it would adopt some of the Review’s recommendations seemed an encouraging start. But, viewed from any angle, the staggered approach being taken by the Albanese Government is disappointing considering the pressing need for reform. So is the decision to accept just 14 of the 22 recommendations, especially given the Review’s author has stressed this will “change very little” for the accessibility and affordability of advice. Crucially, the need for a fifth round of consultations indicates Labor still lacks a clear vision on the future of financial services in this country. As a result, we now see media coverage of the negative impact of the Albanese Government’s inaction on older Australians – some left with expensive and unnecessary life insurance policies and others with no cover at all. Younger Australians are also reported to be stranded without the financial advice they need. Given the current economic climate, it is particularly concerning that Australians of all ages experience these issues while Labor attempts to find its way to reform. This inaction is causing real life, real time hardship to consumers. Having commissioned the Levy Review, the Coalition’s priority is to see its findings reflected in necessary and timely change.   Australian Financial Services Law Review In four months, we will see the final report of the Australian Law Reform Commission inquiry into simplifying financial services regulations. Also commissioned by the Coalition, the inquiry is intended to create an achievable pathway towards a regime that is more adaptable, efficient and easier to navigate. The inquiry’s most recent interim report found the complexity and poor structure of the current legislation makes it difficult to work with and understand, increasing the time, resources and costs needed to comply with it. Successful compliance is, unsurprisingly, less likely as a result. Importantly, the complicated nature of the existing legislation seriously reduces its potential as a vehicle for future policy reform. The interim report found the sooner reforms are made to existing regulations, the simpler they will be to implement and delays and expense associated with remaining with…

Senator Dean Smith – Speech on Constitutional Alteration (Aboriginal and Torres Strait Islander) Bill 2023

Introduction I rise to speak on the Constitution Alteration (Aboriginal and Torres Strait Islander Voice) Bill 2023. I come to this debate from a unique position. As a new Senator in 2012, I led a small group of Coalition Senators to successfully argue against the Gillard Labor Government’s proposal to recognise local government in the Constitution. And, just five years ago, I witnessed the transformative power of acknowledgement when this Parliament passed my private senators bill to extend marriage to same-sex couples. It is from this position that I have carefully considered the proposal for a constitutionally enshrined Voice to Parliament. I make myself clear from the outset, I fully support Constitutional reconciliation with Australia’s first nations people, and I now view it one of our nation’s greatest unresolved issues. In the months preceding this debate, every Australian I have encountered wants to see significantly improved outcomes for Aboriginal and Torres Strait Islander people. And, like me, they are committed to practical initiatives that work towards delivering them. We are ready for some form of Indigenous constitutional recognition – but not one that includes this Voice to the Parliament and the Executive Government. As a Constitutional conservative, I believe changing our nation’s birth certificate requires a cautious and thorough approach. And any Constitutional reform on any issue must be one that unites – rather than divides – Australians, with full consideration of consequences and disclosure of details. Unfortunately, it’s impossible to say this is happening in relation to this referendum proposal.   Problems with the Voice There are many cherished values that unite Australia as one of the world’s most successful multi-racial and multi-ethnic societies. Foremost for me are these– tolerance, fairness, egalitarianism, and democracy. Contrast four values with four concerns about the Voice, each at complete odds with the other: First, it is risky, because of its legal ramifications, including capacity to challenge Government decision making in the High Court. Second, it is unknown because Labor will not provide key details to the Australian people before they are called to make a decision. Third, it is permanent, to remain in the Constitution forever, regardless of its complications or performance. And fourth – most significantly of all – it is divisive. Something that goes against the fabric of our country.   Risky   At its core, the Constitution is a legal document, our ‘rule book’, and a primary consideration of any reform must be the legal consequences. Constitutional enshrinement, as proposed here, means authority is transferred to the High Court, away from our democratically elected Parliament. Legal experts, including the Government’s Constitutional Expert Group, have not been able to reach a consensus on the legal effects of the Voice, including whether the proposal is constitutionally sound or immune to challenge in the courts. Renowned former High Court Judge and President of the Samuel Griffith Society, the Hon Ian Callinan KC, expressed his apprehension, stating: “I would foresee a decade or more of constitutional and administrative law litigation arising out of a Voice…” Adding that: “It would be imprudent to underestimate the capacity of any future High Court for ingenuity or originality.” Justice Callinan goes further, pointing out that the Voice poses a risk of dysfunctional governance – querying, for example, who a representation to the Executive will be made to, and how it will be processed. Another prominent Australian constitutional expert, the late Hon David Jackson KC, observed that any attempt to restrict the Voice’s power to make representations to Parliament or the Executive would be invalid. Even the Solicitor General has acknowledged that there is room for argument on this matter. Liberal Senators observed this in their dissenting report to the Joint Select Committee on Aboriginal and Torres Strait Islander Voice Referendum: “If proposed s129 is interpreted by the High Court in a way that imposes on the Executive either a duty to consult the Voice or consider its representations, this will have profoundly disruptive effects on the operation of the Government.” Former Justice of the Federal Court the Hon Roger Gyles KC shared these concerns, noting we cannot rely on assertions that the High Court wouldn’t imply a duty to consult the Voice. Our Constitution – because of the clarity and protection it has provided for more than 120 years, has a precious legacy. Listening to these informed legal perspectives, to the uncertainty surrounding the working reality of the Voice, Australians cannot be asked in good faith to risk this precious legacy on something they know so little about.   Unknown   When it comes to the Voice – or any Constitutional amendment – the details should come before the vote, not the other way around. Is it any wonder Australians are increasingly suspicious of the unorthodox approach taken by the Albanese Government? Among other things, it refuses to make publicly available the advice provided on the Voice by the Solicitor General. The reality is that Australians are being starved of the information needed to make a considered decision. Here, I feel I can remind the Prime Minister of the hard earnt lessons of the same sex marriage debate. Lessons I fear he and Labor have conveniently overlooked or chosen to ignore. First, it’s rarely the first proposal that wins the day. The Bill that successfully passed this Parliament was not the first, but the 23rd dealing with marriage equality. The Parliamentary process was genuinely multi-partisan, culminating in a unanimous committee report and the presentation of a Bill that crafted a single proposal out of many views. Unlike in this case, that proposal was not owned by one group at the expense of another. And full details of the legislation were released to the public three months before the plebiscite vote – ensuring Australians understood what they were voting for. Anthony Albanese has said: “What I am not going to do [is] to go down the curl-de-sac of getting into every detail because that is not a recipe for success.” Our repeated calls for detail have been…