Government backs down on “Budget crisis” rhetoric

It has been 99 days since the Budget was released and on Monday, the message was clear.

It is now mixed and messy.

If there is – or was – a crisis, the Government is trying to hose it down.

Asked if there was still a budget emergency, Prime Minister Tony Abbott said: “Well, when the fire brigade arrives to put out the fire the situation is obviously different.”

Accepting the government’s own rhetoric has helped create a crisis of its own, the message now is “don’t panic”.

The government has used Treasury figures to point out 99 percent of the Budget has already been passed.

“The day-to-day Budget is being addressed, yes,” Treasurer Joe Hockey said.

“The day-to-day business of government is being delivered.”

But the government still talks of a crisis in the need for long-term budget reform.

Reserve Bank Governor Glenn Stevens sees no immediate crisis, but said he agreed with the need for medium-term reform.

It will not go down well with Clive Palmer, and his comments about the Chinese won’t make Budget talks any easier.