Rudd mulls over early Christmas present

Mozo

Wednesday 15 October 2008

With many Aussies worried about the security of their savings accounts and the amount outstanding on credit cards and personal loans, Kevin Rudd has put forward a plan to dole out billions in cash ahead of the Christmas period in order to lighten the mood.

The fear is that if consumers are too cautious when they’re doing their shopping for crimbo, many retailers could have to start letting people go as their tills fail to fill up.

Rudd told the public: “I believe that the purpose of having a surplus is to make sure you’ve got a buffer for the tough times. And the tough times have come.”

As such, the premier is currently working on plans to dish out a hefty one-off tax rebate, as well as funding for welfare recipients and pensioners.

The Daily Telegraph puts the total value of the handout at anywhere between $5 and $10 billion.

It adds that spending over the summer period is likely to be boosted by the lowering of home loan interest rates, which have been falling since the Reserve Bank lopped one per cent off the base rate.ADNFCR-1761-ID-18828242-ADNFCR

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