Issues for the Cabinet
48. There are no hard and fast rules about the issues that should be considered by the Cabinet and it is ultimately for the Prime Minister to decide the agenda. Generally, however, matters brought before the Cabinet should require a decision and not be simply for noting.
49. The following is an indication of the kind of issues that would normally require consideration by the Cabinet (including by reference to the relevant Cabinet Committee):
- proposals relating to the delivery of the Government's formally agreed strategic priorities
- controversial proposals, which are likely to lead to significant public comment
- proposals affecting the Government's financial position, or important financial commitments
- issues that impact on every member of the Cabinet, or on the portfolio interests of a number of ministers (particularly where agreement cannot be reached)
- the most significant domestic policy issues
- significant matters affecting state and territory relations
- the most significant international business, including international treaties and agreements
- national emergencies, including any decision to take military action
- proposals that affect Australia's constitutional arrangements
- proposed responses to recommendations made in parliamentary committee reports
- proposed reviews or public inquiries
- proposals involving significant new legislation or regulations [note: all legislative proposals require approval from the Parliamentary Business Committee of Cabinet (PBC)]
- significant government appointments.
50. Consideration of significant policy issues may be taken by the Cabinet at an early stage to inform the development of detailed policy by the relevant portfolio minister(s), or as a final step prior to announcement.
The Budget process
51. The annual Budget process is the decision-making process for allocating public resources to the Government's policy priorities. It is through the Budget that the Government gains the passage of the annual appropriation acts and other legislation, including special appropriations.
52. The Budget provides a picture of Australia's forecast financial performance and the Government's fiscal policy for the three years beyond the next financial year. The Budget includes estimates of government revenue and expenses for the Commonwealth over a specified period, as specified under the Charter of Budget Honesty Act 1998.
53. The annual Budget process usually begins in November or December when the Expenditure Review Committee of Cabinet (ERC) considers portfolio ministers' new proposals and expected major pressures and establishes the Government’s priorities for the Budget. From February to April, ERC develops the Budget against the background of the Government's political, social and economic priorities. There can be exceptions to this timing depending on the particular circumstances facing the Government.
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