Prime Minister Julia Gillard has appealed to emotion and a sense of nationhood to sell her flood rescue package, which will include a year-long levy. Someone on $60,000 will pay under $1 a week, while someone earning $100,000 a year will pay just under $5 a week..

In a measured speech to the national Press Club, Ms Gillard described Australia as a nation grieving in the wake of a tragedy, and announced that people affected by the floods will not pay the levy, which will raise $1.8 billion.
Read what Leo Shanahan said about a levy here, and Penbo’s take here. What’s your take?
Ms Gillard said the Government’s best estimate was that the floods will cost just over $5.6 billion. The Reserve Bank has said it could cost as much as $15 billion.
She says she will still deliver the NBN and other reforms, and still deliver a surplus in 2012-13. But other projects - including carbon reduction programs - will be delayed or reduced, to save about $675 million. She said these savings will help her deliver a ‘carbon price’. To see more detail of today’s announcement, visit news.com.au.
Is it worth taking more money from the people and delaying (presumably) crucial spending just to get the Budget to the promised surplus? Is it ungenerous for people to rail against giving more when Queensland (and Victoria) have faced such devastation?
Should we just spend the money, and cope with the deficit - and would Gillard be better off facing breaking that particular election promise than imposing a new tax?
Or should we be fiercely disappointed that the Federal Governent has not seen fit to do save some of its huge taxpayer bounty for just such a rainy day?
Stayed tuned to The Punch and we’ll bring you more analysis from our experts.
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