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NewsMail Afternoon Edition
Sun 18 May, 2014

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State and territory leaders reject budget cuts, want urgent meeting with PM

State and territory leaders have united in condemnation of federal budget cuts to schools and hospitals and are demanding an urgent meeting with the Prime Minister to resolve the issue.

They warn that a decision to strip $80 billion from health and education funding over the coming decade will force many states to slash services.

"The cuts that have been put forward by the Federal Government we cannot absorb," New South Wales Premier Mike Baird told journalists at a joint news conference with other state leaders.

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The Drum

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The fungible world of federal budgets

When you pay your taxes, they are not tied to a particular purpose - they just go into a big pot and that pot is then drawn on for government purposes.

So how can the Federal Government ensure that any extra money raised from higher fuel taxes will only be spent on roads?

It can't. Don't be blinded by polysyllabic policy wonks or political shonks; it's a fungible world out there and no attempt at hypothecation can make it otherwise.

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Just In

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Police stop man riding motorbike with 2yo in his arms

NSW Police say a man has been pulled over while riding a motorbike with a two-year-old boy in his arms, south-west of Sydney.

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World

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Families flee Benghazi as death toll rises

The death toll from clashes in the eastern Libyan city of Benghazi has risen to at least 75 after fighting broke out between irregular military forces and Islamist militants.

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Business

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New Zealand forecasts 2014-15 surplus in budget

It is hard to imagine the contained New Zealand finance minister bopping in his office ahead of delivering the nation's budget, as Joe Hockey apparently did.

But the Australian Treasurer's dance song Best Day of My Life would have been more appropriate for his New Zealand counterpart Bill English, who has served up one of the rarest of economic dishes: a forecast budget surplus of $NZ372 million ($340 million) in 2014-15, after a $NZ2.4 billion ($2.2 billion) deficit this financial year.

Also on the menu were election year sweeteners including extended parental leave, and free doctor's visits and prescriptions for children up to 13 years old.

By contrast, Federal Treasurer Joe Hockey delivered a hard-to-swallow $50 billion deficit accompanied by a collection of bitter pills, among them, co-payments for GP visits and cuts to welfare, family benefits and the public service.

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Politics

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State and territory leaders reject budget cuts, want urgent meeting with PM

State and territory leaders have united in condemnation of federal budget cuts to schools and hospitals and are demanding an urgent meeting with the Prime Minister to resolve the issue.

They warn that a decision to strip $80 billion from health and education funding over the coming decade will force many states to slash services.

"The cuts that have been put forward by the Federal Government we cannot absorb," New South Wales Premier Mike Baird told journalists at a joint news conference with other state leaders.

More »

Sport

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Panthers hold out improved Raiders

Penrith Panthers have held off an improved Canberra Raiders for a 26-20 win at Canberra Stadium.

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Science and Technology

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13,000-year-old skeleton sheds light on Native American ancestry

One of the oldest genetically intact skeletons yet found is helping scientists understand the western hemisphere's earliest humans.

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Environment

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Plant death is latest threat facing Macquarie Island

Scientists are in a race against time to solve the mystery surrounding the dieback of a plant which grows in high-altitude areas of Macquarie Island.

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