TRANSCRIPT

THE HON PETER COSTELLO MP
Treasurer

Doorstop Interview
St Paul’s Cathedral, Melbourne

Friday, 25 June 2004
11.00 am

SUBJECTS: News Corp; Australian Stock Exchange; Workers Compensation

JOURNALIST:

You met with the stock exchange this week, have you got any concern about the loss of News Corp from Australia and the impact on the liquidity of the Australian market?

TREASURER:

Well, I want to see Australian companies strong and I want to see them able to do business overseas but keep their headquarters here in Australia and that will be achieved if we have a suitable taxation regime, the Government is working very hard to improve international taxation regime, and if we keep the business climate here in Australia strong. So, I think it is important that we keep working at policies which will allow Australian companies to grow strong but to remain in Australia. That is the focus of our policy.

JOURNALIST:

Would you like to see News Corp stay in Australia?

TREASURER:

Well, News Corp has applied for approval to change its place of incorporation, but you would have to observe that a very large proportion of News Corp is currently already located outside of Australia, it is already considered in ownership terms a foreign corporation. So, in relation to News Corp the application really only relates to a change of place in incorporation.

JOURNALIST:

Are there any steps to look at the listing procedures for companies?

TREASURER:

Look, the question of how the index is constructed is really a matter for the Australian Stock Exchange and they will be considering that within their rules and international rules but that is a matter for them, the Government won’t be involved in that.

JOURNALIST:

Just on another matter in relation to workers, national workers compensation schemes, some companies said the Government missed an opportunity to institute a national scheme (inaudible), what do you say to those concerns?

TREASURER:

Well, workers compensation has traditionally been an area of state responsibility, the states run these schemes and some run them well, some run them badly. But the Commonwealth can’t take over every area of state responsibility, we have to have some responsibility left with those state governments and we have to try and balance the responsibilities that we hold at the federal level with those that are held at the state level.

JOURNALIST:

And what about compliance costs of business, do you think they could have been reduced by an extra…

TREASURER:

Well, I think it is up to the states actually to improve their workers compensation systems to make sure that compliance costs are as low as possible.

JOURNALIST:

Treasurer, what are your plans for the winter break coming up?

TREASURER:

Well, I will be continuing on working on matters which are important to the Australian people. We’re achieving some success with our legislative program, it is important that we continue strong economic management and I will be spending as much time as I possibly can out and about in different parts of Australia talking to voters, and talking to them about the things that concern them and the changes that are needed to improve their lot and to make Australia a better place. And that is what I will be doing. OK, thanks.