Truck Talk Australia: NSW splurge 'neglects health, roads'

"ABC News"

Business groups have reacted positively to yesterday's New South Wales Budget but others believe the State Government has not done enough in the areas of roads, the environment, education and health.

Business was the real winner in yesterday's Budget, with payroll tax cuts and an increase to the payroll tax threshold, but some groups feel as though they have been short-changed.

The Government has set aside a record $13.9 billion for infrastructure projects next year, including a $4 billion boost to road funding.

NRMA president Alan Evans says he is pleased with the increase but he thinks the Government should have offered more.

"It might sound ungrateful but the reality is there's been a huge underfunding of road infrastructure over the past decade," he said.

"Like the little boy in Oliver Twist, we want more please, sir, because there is an absolute need."

Greens MP John Kaye says he is disappointed that funding for climate change projects in the Budget has been slashed by 9 per cent.

"To not put money into climate is simply Treasurer Costa's climate change sceptic credentials coming to the fore," he said.

The Australian Medical Association says the increase to hospital beds announced yesterday was marginal and it believes around 1,000 more are needed to achieve safe bed occupancy rates.

Teachers Federation president Maree O'Halloran is also disappointed.

Ms O'Halloran says while the $11 billion allocated in the Budget for education is more than last year, it equates to a funding cut when inflation and increased spending on private schools is factored in.

"This Budget continues the neglect that the State Government has been placing on public schools," she said.

Bosses, workers at odds

The Sydney Chamber of Commerce has praised the Budget for its increased spending on infrastructure and cuts to payroll tax.

The Government has heeded a five-year-old call from business by cutting payroll tax from 6 per cent to 5.5 per cent by 2011.

The payroll tax threshold will also increase from $600,000 to $623,000 from July 1 and will be indexed to inflation for the first time. 

Mr Costa has set aside more than $57 billion for infrastructure projects over the next four years, including $4 billion for Sydney's new north-west rail link.

Major port expansions and the south-west rail link were other major projects to attract the funding.

Sydney Chamber of Commerce executive director Patricia Forsythe says the Government is spending sensibly.

"Sydney's transport infrastructure is certainly in need of the injection of funds that has been promised by the Government," she said.

"The north-west rail link is critical to the future development of Sydney and we're also of course very impressed that the Government has noted the call from business about payroll tax."

The bosses may be happy but the workers are not. Public sector employees are fighting the Government's wage rise offer of 2.5 per cent.

They say the offer amounts to a pay cut when inflation is taken into account, but the Government insists the move is vital to achieving the projected Budget outcomes.

'Western Sydney recognised'

The state Budget includes $2.2 billion of spending specifically set aside for western Sydney.

Of that, $317 million will go towards roads, including funding to fast-track the upgrade of the Great Western Highway.

A total of $167 million will be spent on providing affordable housing.

Western Sydney Regional Organisation of Councils spokesman Alex Gooding says the Budget recognises the area's growing population.

"We desperately need additional expenditure on infrastructure in the region to make up for backlogs that result from previous under-investment but also, we need additional investment to cater for that growth," he said.

"ABC News" 