Mr MIKE BAIRD (Manly) [3.59 p.m.]: The motion as it stands makes no sense whatsoever. Therefore, I move:

That the motion be amended by leaving out all words after "That" with a view to inserting instead:

this House condemns the Government for its failure to support business and the creation of jobs.

With regard to the State budget that was recently delivered, the Government continually pats itself on the back. But let us look at the facts of the budget, which are quite stark. We have an admission from the Labor Government that we are in recession. The Government could not say it a few weeks ago. But we are in recession. We have had two quarters of negative growth, and the forecasts show we are in recession. This is not a time for the Government to start putting together advertisements promoting itself and its achievements. It is a time for hard work, a time for the Government to roll up its sleeves, a time to get on with the job of protecting jobs in this State.

It has been shown that unemployment figures are rising to 8.5 per cent. Depending on one's calculations, 8.5 per cent unemployment could mean the loss of up to 70,000 jobs. And that is if you can believe the numbers; it could be more. A total of 70,000 jobs in this sector is a concern and requires the absolute attention on the part of the Government, rather than spending on advertising. It requires hard work. We see the issues at play when we look at the motion. We saw what happened last night. I want to address the issues head on. Of course we support a scheme such as the First Home Owners Grant Scheme. I want to quote from my speech last night in relation to these issues. When speaking to the State Revenue Legislation Further Amendment Bill 2009 I said:

The bill includes some sensible provisions for first-time home buyers Although sensible, the Opposition would argue that these provisions could be included in a different bill

The Government cannot at this time make it more difficult for businesses than it already is. It is a very difficult time for businesses, and the bill makes it even more difficult for them. When the Treasurer delivered the mini-budget—which we have all tried to forget and pretend it did not happen—there was an outcry. The outcry was that the role of government at this time, given the state of the economy, was to stimulate—that is, to provide a stimulus and incentive for investment and the creation of jobs in this State. We had the opposite in the mini-budget—we had taxes and charges increased—and the bill is the remnants of that. The mini-budget also cut infrastructure. So, despite all the trumpeting about infrastructure we hear in the budget, the truth is that the Rees Labor Government is doing nothing about infrastructure; it is simply relying on Kevin Rudd. They are the facts.

The Government claims in its budget that it is doing absolutely nothing in terms of raising taxes. Indeed, I read that the Treasurer made such a statement. However, the bill does exactly the opposite. Again, we are adding to the cost of doing business in New South Wales. We have to change the cycle. I will outline the reasons why the Opposition opposes the State Revenue Legislation Further Amendment Bill. The Investment and Financial Services Association, the Property Council of Australia and Infrastructure Partnerships Australia said:

The additional duty that is proposed will hurt business revenues, affect the value of property, and will lead to real job losses in New South Wales.

The organisations I have referred to cite the example that under the current legislation a retail store employing 25 staff with assets of $4 million and $3 million in other assets would pay $21,000 in duty when the business is sold. However, under the new system the duty would total $214,490, a 900 per cent increase. That money could be spent on jobs and investment. That is what the Government needs to start understanding. New South Wales is the highest taxing State in the country. The Institute of Public Affairs, which has issued its own assessment, puts New South Wales well above our key competitor States, being Victoria and Queensland. The impacts of this increased duty, and the increased taxes and measures in the bill, will simply add to that—at a time when that should not happen.

The Sensis Business Index shows that for 21 quarters in a row businesses across this State have registered their interest in this issue and that New South Wales businesses have the lowest confidence of any businesses in the country. Businesses have said that payroll tax is the key measure, and that regulation is a further key measure. The Labor Government is just not listening to businesses. When this State is faced with a recession with up to an additional 70,000 jobs being lost, the Government should not use the opportunity to sneak through tax increases, additional burdens, and regulation on businesses, which are the ones who are driving this State and this economy. The Opposition certainly opposes all the tax increases that have been put forward in the bill. We support the First Home Owners Grant Scheme and are very happy for that bill to pass through this House. However, we will continue to fight for those who are creating real jobs in this State, rather than putting fictitious jobs in advertisements.
 

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