Treasurer Wayne Swan labelled the 2008 budget an “inflation fighting budget” with “mild tightening.” Media reports emerging on Wednesday morning identified the so-called “winners” of the budget as lower and middle income earners, parents and pensioners with the “losers” high-income earners, private health funds and luxury car buyers.

Local financial advisor and mortgage broker Tony Card said there could be no real “winners” of a budget plagued by high inflation and rising costs of living.

“The income tax reductions are great but the reality is they will be chewed up in fuel costs,” Mr Card said.

“I can’t see any specific winners or losers and I can’t see any real benefit because of the impacts of inflation and high fuel prices.”

Mr Card was particularly fearful of the Government’s decision to lift the Medicare levy surcharge threshold from $100,000 to $150,000.

“The reality is that a lot of people are only paying for private health care because they have to.

“The real fear is that people will opt out of private health and in doing so put more pressure on an already stressed public health system.”

While conceding the budget appeared to be balanced, Mr Card stressed many of its impacts will not be felt for some time.

“To me there is nothing special about this budget. There are some positives and there are some stings,” Mr Card said.

Local chartered accountant Alfred McCarthy believes the budget is a responsible one with people on the street likely to benefit from income tax reductions as soon as July 31.

Speaking to the Yass Tribune the morning after the budget annoucement, Mr McCarthy said he was yet to study the finer details.

While Mr McCarthy said the $40 billion in reserve for long term spending on health, education and infrastructure was responsible, he expressed his disappointment at the lack of discussion over Aged Care facilities.

“I would have liked to see some comment about increased finance for aged care homes such as Horton House and Gwen Warmington Lodge.

“The Government contribution to the running of aged care facilities is a bare minimum and it continues to be difficult for places like Horton House and Gwen Warmington to balance their budget,” Mr McCarthy said.

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Key Numbers

Surplus: $21.7 billion

Growth: 2.75 per cent

Inflation: 3.25 per cent

Employment: 1.25 per cent

Losers

(Families earning more than $150,000) baby bonus axed, along with family tax benefit B

(Companies) fringe benefits tax now applies to laptops and meal cards

(Luxury car buyers) tax rise from 25 per cent to 33 per cent

(Private health funds) forecast to shed 400,000 members

(Woodside Petroleum) removal of a $2.5 billion crude oil excise exemption

(Travellers) new adult passports up $8 to $208; visa applications up $25; departure tax up $9

(Public servants) 1200 jobs to go

Winners

(Lower and middle income earners) $7.1 billion in tax cuts next year

(Parents) child-care tax rebate up to 50 per cent, baby bonus to rise

(Universities) $500 million funding increase

(Pensioners) $500 lump sum payment

(The sick) public health funding up $3.2 billion over five years

(First-home buyers) new saver accounts to get them into the market

(The next generation) billions set aside for infrastructure, education and health funds