S&P revises up Australia’s credit outlook and affirms the AAA credit rating

In a resounding expression of confidence in the Morrison Government’s economic management S&P have affirmed Australia’s AAA credit rating and revised up its credit outlook to stable from negative, praising the “government’s swift and decisive fiscal and health response” and “strong economic recovery”.
Australia remains one of just nine countries to hold a AAA credit rating from the three major rating agencies.
In its report S&P states: “the government’s policy response and strong economic rebound have reduced downside risks to our economic and fiscal outlook for Australia. As a result, we are revising the outlook to stable and affirming our ‘AAA/A-1+’ long- and short-term local and foreign currency ratings”.
S&P also noted the economic recovery has been “quicker and stronger than we previously expected” with the unemployment rate falling “surprisingly fast, to 5.5% in April 2021 from 7.4% in July 2020” which will “limit long-term economic scarring”.
Australia has outperformed every major advanced economy with our economy having “fully recovered lost output caused by the pandemic by March 31, 2021”.
Last week’s National Accounts saw the economy increase 1.8 per cent in the March quarter with output now 0.8 per cent above its pre-pandemic level.
This is a feat no major advanced economy has achieved and is in contrast to Japan, France, Germany and the UK who all contracted in the March quarter 2021 while the euro area is back in recession.
S&P do not expect “small outbreaks or short ‘circuit breaker’ lockdowns to derail [the] expected fiscal recovery” and that they “are more confident that the general government’s fiscal deficits will narrow” and “servicing costs will remain manageable”.
S&P also acknowledges the Coalition’s efforts to return the Budget to balance for the first time in 11 years “on the back of tight fiscal discipline” which provided us with the fiscal firepower to support Australians during COVID-19.
The Morrison Government has committed an unprecedented $291 billion or 14.7 per cent of GDP in direct economic support for individuals, households and businesses.
With the unemployment rate having fallen for six consecutive months and more people in work than before the pandemic our economic plan is working.
The next stage in our plan as outlined in the Budget will secure Australia’s recovery from COVID-19.

National Cabinet Statement

The National Cabinet met today to discuss Australia’s COVID-19 response and changes to the Australian COVID-19 Vaccine Strategy.
National Cabinet continues to work together to address issues and find solutions for the health and economic consequences of COVID-19.
There have been 30,150 confirmed cases in Australia and, sadly, 910 people have died. More than 18.7 million tests have been undertaken in Australia.
Globally there have been over 172 million cases and sadly over 3.69 million deaths, with 483,968 new cases and 10,553 deaths reported in the last 24 hours. The COVID-19 pandemic continues to surge in many countries around the world.
Australia’s COVID-19 vaccine rollout continues to expand. To date 4,786,362 doses of COVID-19 vaccines have been administered in Australia, including 143,659 in the previous 24 hours. In the previous 7 days, more than 750,000 vaccines have been administered in Australia. To date 19.9 per cent of the Australian adult population have now had a first dose of a COVID-19 vaccine, including over 56 per cent of over 70 year olds.
National Cabinet agreed on the imperative to work together to administer COVID-19 vaccinations to Australians as quickly as possible.
Professor Brendan Murphy, Chair of the Science and Industry Technical Advisory Group and Secretary of the Health Department provided a detailed briefing on the vaccination program, and acknowledged the significant increase in COVID-19 vaccination take up following National Cabinet’s recalibration of the vaccine rollout in April 2021. The Chief Medical Officer, Professor Paul Kelly provided an update on COVID-19 epidemiology, particularly in relation to the current outbreak in Victoria.
National Cabinet received an update on the COVID-19 Risk Analysis and Response Taskforce from the Secretary of Prime Minister and Cabinet, Mr Phil Gaetjens. The taskforce will continue to advise on gradual, risk-based increases to international travel, including exploring additional travel bubbles and increasing arrivals of skilled migrants and international students, while continuing to prioritise the return of Australians from overseas.
National Cabinet will meet again on Friday 9 July 2021 in Darwin, with all members attending in person.
Vaccination Rollout
National Cabinet agreed to refine the national vaccination rollout plan to maximise opportunities for Australians to be vaccinated over the second half of the year, as the supply of vaccines increases.
National Cabinet thanked Health Associate Secretary Caroline Edwards for her role in leading the Commonwealth’s COVID-19 health response and vaccination rollout. Ms Edwards has announced her retirement from the public service after a distinguished career over several decades.
As the vaccination program moves into the next phase Lieutenant General John (JJ) Frewen DSC, AM, will become the head of the National COVID Vaccine Taskforce. Lieutenant General Frewen established the COVID-19 ADF Taskforce in 2020 and commanded military support during the Victorian second wave.
Commodore Eric Young will continue to have a senior leadership role in the Commonwealth Vaccine Operations Centre.
The National COVID Vaccine Taskforce will help ensure as many Australians are vaccinated as early as possible within the available supply.
National Cabinet further agreed that primary care will continue to be a principal delivery channel of the COVID-19 Vaccination Program, noting the importance of developing this capacity for longer term use, supported by continuing expansion of state and territory-operated sites and other points of vaccination, particularly in the fourth quarter 2021.
The vaccination rollout will continue to prioritise vaccinations for people in Phase 1a through simplified and streamlined access at all state and territory-operated sites, including for example by providing walk-in access and no requirement to pre-book an appointment.
National Cabinet agreed to opening access to a COVID-19 vaccine to the following groups by 8 June 2021:

  1. people aged 40-49 years not otherwise eligible;
  2. all Aboriginal and Torres Strait Islander people aged 16 to 49 years;
  3. NDIS participants aged 16 years and over and carers aged 16 years and over of NDIS participants of any age; and
  4. temporary visa holders aged under 50 years who are currently in Australia and have been approved for return travel to Australia through the travel exemption process.

National Cabinet further agreed to not proceed with the identification of ‘other essential and high priority workers’ in Phase 2a, given the difficulty defining these populations and the expansion to people aged 40-49 years.
National Cabinet noted that the Commonwealth has released over 7.1 million doses to vaccine sites as at 31 May 2021. Under the vaccine rollout program, surplus vaccine doses are able to be surged into outbreak areas to increase opportunities for Australians to be vaccinated.
The Commonwealth reconfirmed that states and territories do not need to provision for second doses as the Commonwealth retains doses for second use. States and territories are able to administer all doses supplied by the Commonwealth.
Post Quarantine Testing Arrangements
National Cabinet asked the AHPPC to provide advice on post 14-day quarantine testing standards and arrangements to ensure nationally consistent standards reflect the latest medical advice.
Mandatory Vaccinations of Aged Care and Disability Workers
National Cabinet reaffirmed the importance of Aged Care and Disability workers being vaccinated as soon as possible.
National Cabinet indicated an in-principle disposition to mandating aged care and disability workforce COVID vaccinations, and has tasked AHPPC to provide advice on this matter as soon as possible.
National Cabinet noted that influenza vaccinations are able to be mandated under state public health orders and other similar state and territory legislative arrangements, based on health advice.
Domestic Vaccine Certification
National Cabinet welcomed the Commonwealth’s COVID-19 digital vaccination certificate and the work of Services Australia and the Department of Health on the design and functionality for deployment. The certificate will soon be available through the Medicare Express app, with a future digital wallet version to be made available in July.
States and territories may consider the potential future value of COVID-19 digital certificates when considering automatic travel exemptions for interstate travel during state-determined lockdowns and travel restrictions.
Stand-alone Quarantine Facilities – Commonwealth Partnership Assessment Criteria
Today, the Commonwealth and Victorian Governments signed a Memorandum of Understanding to progress negotiations on Victoria’s proposal for an alternative quarantine hub.
The MoU formalises the principles agreed between the Commonwealth and Victoria to guide negotiations, including covering potential ownership of the facility, operating costs, and other key elements. The Victorian Government will be responsible for operation including operational costs and the Commonwealth will support capital costs. The MoU does not specify a site for the facility with both the Avalon site and the Mickleham site under active consideration.
The Commonwealth also tabled ‘Key Assessment Criteria’ the Commonwealth will use to assess any proposals for purpose-built quarantine facilities provided by state and territory governments seeking Commonwealth support.
Key considerations include that a proposal should be value-for-money, provide net additional quarantine capacity and work alongside (not supplant) hotel quarantine, meet the health requirements, and be for a national facility for use by all Australians. Further criteria include proximity to an international airport taking regularly scheduled international commercial passenger flights and close – within approximately 1hr vehicle transport – to a tertiary hospital, otherwise known as a principal referral hospital.
States and territories need to identify the most appropriate potential sites for quarantine capacity, reflecting their experience and the practicalities of an effective quarantine system that needs to bring together healthcare, logistics and law enforcement aspects to minimise risks.
Temporary COVID-19 Disaster Payment
National Cabinet discussed arrangements for the Temporary COVID-19 Disaster Payment. It was agreed that the Commonwealth will provide all of the funding for the demand driven program. This is on the basis that states provide all assistance to businesses, with the Council of Federal Financial Relations to consider a nationally consistent approach to providing support to businesses impacted by lockdowns.
The Commonwealth will enter into individual agreements with the states and territories on this basis to provide rapid support to those workers who reside or work in a Commonwealth declared COVID-19 hotspot and are therefore unable to attend work and earn an income as a result of state imposed health restrictions that last for more than one week.
Eligible recipients will receive up to $500 per week for losing 20 hours or more of work, and $325 per week for losing under 20 hours. They must not have liquid assets of more than $10,000.
The payment will be made in respect of the second and any subsequent weeks of restrictions, subject to a Commonwealth COVID-19 hotspot being declared.
This support will be available for Australian citizens and permanent residents and eligible working visa holders. Individuals who are already receiving income support payments, business support payments, or the Pandemic Leave Disaster Payment will not be eligible for this new payment. To qualify, people will need to have exhausted any leave entitlements (other than annual leave) or other special pandemic leave.
The payment complements existing payments, including the Pandemic Leave Disaster Payment.
International Passenger Caps
National Cabinet noted international passenger cap arrangements will be in place until 31 August, and will be revisited as circumstances evolve.
National Cabinet acknowledged the work of the states in facilitating the continued repatriation of Australians from overseas. In particular, National Cabinet welcomed the resumption of flights from India following a pause. The pause ensured that Australia’s quarantine system was able to be effectively managed with a significant reduction in positive cases.
Presentation by the Chair of the Council of Capital City Lord Mayors
Adrian Schrinner, Chair of the Council of Capital City Lord Mayors and Brisbane City Council Lord Mayor, provided National Cabinet with a presentation on the economic impacts of the pandemic on capital cities.
National Cabinet recognised the importance of getting people back into Central Business Districts, noting that fewer people are utilising public transport and attending work in the office. National Cabinet called on businesses with global headquarters outside of Australia to ensure any restrictions on Australians workers are appropriate for Australian workplaces.
The AHPPC has been asked to consider the guidelines governing density arrangements that may be impacting a return to work and report back to National Cabinet.

Temporary Australian Government assistance for workers

Australians who have had their hours of work and income significantly affected due to state lockdowns, will be eligible for a temporary COVID Disaster Payment.
The rapid support will be paid weekly to those workers who reside or work in a Commonwealth declared hotspot and are therefore unable to attend work and earn an income as a result of state imposed health restrictions, which last for greater than one week.
Eligible recipients will receive up to $500 per week for losing 20 hours or more of work, and $325 per week for losing under 20 hours. They must not have liquid assets of more than $10,000.
The payment will be made in respect of the second and any subsequent weeks of restrictions.
This support will be available for Australian citizens and permanent residents and eligible working visa holders. Individuals who are already receiving income support payments, business support payments, or the Pandemic Leave Disaster Payment will not be eligible for this new payment. To qualify, people will need to have exhausted any leave entitlements (other than annual leave) or other special pandemic leave.
The payment will complement existing payments including the Pandemic Leave Disaster Payment.
By making these payments available, the Australian Government will ensure that Victorian workers get the financial support they need to stay at home during this outbreak.
Access to Services Australia Disaster Assistance will be open to the public from Tuesday at www.servicesaustralia.gov.a

Extending COVID-19 vaccine access for our region

The Morrison Government will contribute an additional $50 million to the COVAX Advance Market Commitment (COVAX AMC) to ensure more people in our region and across the world have access to safe and effective COVID-19 vaccines.
This additional contribution will help COVAX deliver on its objective of vaccinating 30% of populations of AMC countries, from an original goal to reach 20% of their populations.
Australia has now committed a total of $130 million to COVAX AMC.
Australia’s support for COVAX complements our $623 million Regional Vaccine Access and Health Security Initiative – which is assisting our Pacific and Southeast Asian neighbours to access and administer safe and effective COVID-19 vaccines.
This includes $100 million for our Quad partnership with Japan, the US and India to deliver a billion doses to Southeast Asia by the end of 2022.
Our neighbours in the Pacific and Southeast Asia have now received more than 13 million doses from COVAX, with more deliveries planned.
These vaccines are being prioritised for high-risk individuals, health workers, frontline personnel and vulnerable groups.
Australia’s contribution will assist the COVAX AMC to deliver more than 1.8 billion doses worldwide, reaching at least 114 million people in Southeast Asia and the Pacific.

PREMISE OF NEW NDIS FUNDING MODEL A LIE: STEELE-JOHN

A report titled Plan Flexibility and Budget Planning, released today and intended to dispel concerns, confirms many of the community’s worst fears about the Morrison government’s proposed changes to the NDIS.
Australian Greens Disability Rights and Services spokesperson Senator Jordon Steele-John said that, contrary to the stated aims of the proposed changes, disabled people would have significantly less choice and control under the new funding model.
“This report is just pages and pages and pages of disrespectful, paternalistic and deceitful spin,” Steele-John said.
“The Morrison government and the NDIA leadership have the audacity to promote these changes as being about giving us …more choice and control over our lives … with the plans and budgets to pursue our goals” when these fundamental principles that underpin our NDIS are actually being undermined and stripped away.
“The NDIS is supposed to be about, more than anything else, enabling disabled people to have individualised plans that meet our own individual needs and help us to achieve our own individual goals.
“But, under this proposal participants will be matched to one of 400 different ‘personas’ that will determine a set amount of funding – a feature of the old pre-NDIS support system that disabled people campaigned so hard to abolish!
“We, as a community, fought so hard to get out of this box and have our rights recognised; we will not be going back in it.
“The report also appears to suggest that goal-setting will be decoupled from funding and fails to mention the different ways in which people currently manage their plans, further watering down the core values of our NDIS.
“Putting us in boxes like this, based primarily off of a single independent assessment with a complete stranger, completely dismantles the core principle and values of our NDIS that made it such a revolutionary and world-first reform.
“Finally, the report notes that prior to finaling the new model and introducing the legislation to Parliament in will be subject to reviews however it does not mention that we, as disabled people and NDIS participants, will be a part of that review. Where is the co-design?
“There is a saying in the disability community: ‘nothing about us, without us’. If the Morrison government is not willing to engage us in a process of co-design then we will not accept these changes to our NDIS.”

Temporary Australian Government assistance for workers

Australians who have had their hours of work and income significantly affected due to state lockdowns, will be eligible for a temporary COVID Disaster Payment.
The rapid support will be paid weekly to those workers who reside or work in a Commonwealth declared hotspot and are therefore unable to attend work and earn an income as a result of state imposed health restrictions, which last for greater than one week.
Eligible recipients will receive up to $500 per week for losing 20 hours or more of work, and $325 per week for losing under 20 hours. They must not have liquid assets of more than $10,000.
The payment will be made in respect of the second and any subsequent weeks of restrictions.
This support will be available for Australian citizens and permanent residents and eligible working visa holders. Individuals who are already receiving income support payments, business support payments, or the Pandemic Leave Disaster Payment will not be eligible for this new payment. To qualify, people will need to have exhausted any leave entitlements (other than annual leave) or other special pandemic leave.
The payment will complement existing payments including the Pandemic Leave Disaster Payment.
By making these payments available, the Australian Government will ensure that Victorian workers get the financial support they need to stay at home during this outbreak.
Access to Services Australia Disaster Assistance will be open to the public from Tuesday at www.servicesaustralia.gov.au or over the phone on 180 22 66.

Extending COVID-19 vaccine access for our region

The Morrison Government will contribute an additional $50 million to the COVAX Advance Market Commitment (COVAX AMC) to ensure more people in our region and across the world have access to safe and effective COVID-19 vaccines.
This additional contribution will help COVAX deliver on its objective of vaccinating 30% of populations of AMC countries, from an original goal to reach 20% of their populations.
Australia has now committed a total of $130 million to COVAX AMC.
Australia’s support for COVAX complements our $623 million Regional Vaccine Access and Health Security Initiative – which is assisting our Pacific and Southeast Asian neighbours to access and administer safe and effective COVID-19 vaccines.
This includes $100 million for our Quad partnership with Japan, the US and India to deliver a billion doses to Southeast Asia by the end of 2022.
Our neighbours in the Pacific and Southeast Asia have now received more than 13 million doses from COVAX, with more deliveries planned.
These vaccines are being prioritised for high-risk individuals, health workers, frontline personnel and vulnerable groups.
Australia’s contribution will assist the COVAX AMC to deliver more than 1.8 billion doses worldwide, reaching at least 114 million people in Southeast Asia and the Pacific.

Continuing support for Australia’s polio survivors

More than $400,000 has been invested by the Federal Government to continue support for polio survivors who have life-long impacts from the disease.
Tens of thousands of Australians survived the infection, and now endure the debilitating neurological condition, Late Effects of Polio (LEoP)/Post-Polio Syndrome (PPS).
Regional Health Minister and co-chair of the Parliamentary Friends of Polio Survivors, Mark Coulton said Australia had been declared free from new polio infections since 2000.
“Most polio survivors are now aged over 50, and LEOP or PPS can have significant and debilitating impacts on their lives,” Minister Coulton said.
“Australians are fortunate that the successful polio vaccine was incorporated into our Australian National Immunisation Program in 1975. Within 25 years we had eradicated the deadly and disabling disease from our shores.
“We want to ensure the Australian survivors are supported to live fulfilling and healthy lives, so we have provided more than $400,000 to continue Polio Australia’s Community Information Program.”
Minister Coulton said the program helps polio survivors to identify and better understand their condition, and the available strategies to manage that condition.
Gillian Thomas, national president of Polio Australia and a survivor of polio herself, said after a successful trial of community programs on a smaller scale, Polio Australia is thrilled to have the opportunity to increase its reach to the polio community across the country.
“Many people who had polio are unaware that symptoms they are now experiencing relate directly to that childhood infection. And they don’t know who to see or what they can do to manage their own condition,” Ms Thomas said.
“Our Community Information Sessions, printable resources and online engagement can help to bridge that gap.”
PPS is a diagnosed neurological condition which can affect people who had paralytic polio in their younger years. The main symptom is muscle weakness that develops and gradually worsens.
People with LEOP/PPS can also experience general fatigue, muscle and joint pain, weakness and muscle atrophy, spasms or twitching, breathing and sleep problems, difficulties with swallowing and speaking, and cold intolerance.
Minister Coulton said as the survivors of polio age, health services must be ready and aware of the need to offer increased care for this group.
“Luck had a lot to do with many people surviving paralytic polio in years past. Now, as these survivors age, and for many their health deteriorates, they can depend more on skilful and knowledgeable health professionals to look after their care and health – and on their own self-management strategies – and less on luck,” he said.

$60 million to continue life-saving COVID-19 support for aged care

The Australian Government is investing $60 million to extend support for COVID‑19 response measures for Australia’s impacted aged care facilities until 30 June 2022.
The extension means a second tranche of COVID-19 Aged Care Support Program grants will be available from this week to support providers with costs incurred from 28 May 2021 to 31 March 2022.
Surge workforce arrangements will also remain in place to meet future demand in the event of further outbreaks.
In a response to the current situation in Victoria and the emerging concern in New South Wales, significant efforts are being made to protect senior Australians in aged care, including more resources being made available should they be needed.
The Morrison Government is ensuring providers affected by an outbreak can access surge workforce staff and receive financial support for eligible expenses.
The program supports costs including additional or replacement staff, personal protective equipment (PPE), cleaning and infection control, waste management, and travel and accommodation.
The COVID-19 Aged Care Support Program started on 27 March 2020 and has, to date, provided $61.2 million in grant funding, reimbursing providers for certain expenses incurred from managing care recipients and staff needing to isolate due to suspected or confirmed COVID-19 infection.
The established surge workforce program and associated arrangements are keeping people in aged care safe, ensuring their continuity of care, while managing potential infection risk at times of community transmission of COVID-19.
To date, the department has assisted aged care providers dealing with a COVID-19 outbreak to fill more than 39,000 nursing, personal care and ancillary shifts and more than 750 clinical first responder deployments.

Labor Commits to New Youth Engagement Model

An Albanese Labor Government will provide young Australians with strong and formalised engagement in government and policy making.
Under the Morrison Government, young people have been denied the opportunity to be part of forming the policies and making the decisions that impact their lives and futures.
As a result, younger people now face a future of high underemployment, depleted retirement savings, significant barriers to education and training, and a rent and housing affordability crisis.
Since 2013 when the Abbott Government abolished the Youth Advisory Council and the Office for Youth, both introduced by the previous Labor Government, there has been no framework for direct engagement between young Australians and the Federal Government.
Unlike the government, Labor is already consulting with and listening to young people, in particular through our online national youth survey.
More than 50 per cent of the young people who completed Labor’s survey said the biggest barrier to being part of decision making in politics was feeling they won’t be taken seriously or listened to at all.
By failing to engage with young people on the issues and policies designed to help them, the government’s programs specifically for young people have continually and spectacularly failed – including JobMaker, the Youth PaTH program, and the Youth Taskforce.
It is clear there is a two-way benefit to involving young Australians in policy making – young people need and deserve a say on the issues that impact them, and government needs the input of young people to develop successful youth policies.
That is why an Albanese Labor Government will introduce a new youth engagement model, to provide a voice and structure for younger Australians to directly engage with government and contribute to policy development.
If elected, an Albanese Labor Government will:-

  • Establish a framework to directly and formally engage with young Australians on an ongoing basis.
  • Establish an Office for Youth so that, rather than youth engagement being an afterthought or duplicating functions across departments, there is a dedicated unit within government to feed in the contribution from young people and advocates, improve and harmonise policy across government, and ensure government is communicating effectively with young people.
  • Commit to a Minister for Youth to improve and facilitate a holistic response across portfolios on issues affecting young Australians.

The new framework will involve a number of strategies to provide a channel for direct communication between young Australians and the Federal Government.
The framework will be driven by a steering committee of up to 15 young people, under the direction of the Minister for Youth and Office for Youth.
However engagement will go beyond the committee, by incorporating local forums, workshops, and town halls for young Australians to directly engage in debate and offer their perspectives and ideas.
The new model will also aim to conduct annual youth summits to encourage young Australians across the country to participate in debating and shaping government policy.
Younger Australians have suffered a disproportionate impact from COVID-19 on their employment prospects, financial security, and social wellbeing.
Yet the Coalition Government continues to ignore the voices of young Australians and leave them out of the decisions that disproportionately affect their future.
Labor is committed to genuine, ongoing and two-way engagement with young Australians, and ensuring they have a voice in an Albanese Labor Government.