Last night the Coalition used its numbers in the lower house to pass Joe Hockey’s debt ceiling Bill. The treasurer wants to raise the cap to $500 billion.
But now it needs to clear the Upper House, where Hockey does not have a majority to push it through.
And according to Fairfax Media, he has threatened more budget cuts in May if the Greens and Labor don’t allow the measure to pass the Senate.
“You will wear this like a crown of thorns,” he said, according to the report.
Labor and the Greens say there is no case to raise the ceiling to $500 billion, though both parties have said they would accept an increase to $400 billion.
Labor says it will wait until the mid-year economic outlook is released in December. And the Greens say they could be convinced if treasury secretary Martin Parkinson makes a case for Hockey’s plan.
There’s more here.
Business Insider Emails & Alerts
Site highlights each day to your inbox.