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Dutton promises $40b debt cut as nuclear questions grow

  • Opposition Leader Peter Dutton and Shadow Treasurer Angus Taylor promised to cut gross government debt by $40 billion while questioning Labor's nuclear cost claims ahead of the May 2025 federal election.
  • This pledge follows Labor's management during the past three years, when the government recorded nearly $400 billion in extra revenue but increased debt to $926 billion, with interest costs expected to reach $38.2 billion by 2028-29.
  • The Coalition plans to save more than $60 billion by cutting programs including student debt write-offs starting June 1, axing the Rewiring the Nation Fund, and halting the Housing Australia Future Fund.
  • Their $116 billion nuclear policy cost is based on constructing seven reactors—five large-scale and two small modular—using Westinghouse’s AP1000 design, though water availability at most sites raises concerns from experts and officials.
  • Critics argue Labor's spending leaves Australia vulnerable to future shocks, while the Coalition faces doubts over cost assumptions and unfinalized nuclear technology amid promises to avoid reducing irrigation water for farmers.
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Sydney Morning Herald broke the news in Sydney, Australia on Wednesday, April 30, 2025.
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