Federal Budget

Federal Treasurer Joe Hockey says the long-term forecasts on health and education funding in last year's budget will stand, despite Prime Minister Tony Abbott setting up a special retreat with state and territory leaders to discuss the issue.

Mr Hockey's first federal budget predicted $80 billion would be saved over the decade to 2024-25, by reducing the amount promised for health and education by the previous Labor government.The states have argued that will make their own budgets unsustainable, and the issue will be on the agenda at July's leaders retreat, agreed to at last week's meeting between the Prime Minister and state and territory leaders.But Mr Hockey said there would be no changes to the funding arrangements for health and education.So......what's the point?

The federal Budget confirmed that the funding for science research, which was controversially used as leverage during Senate negotiations over university deregulation, will be maintained until 2017.The federal Budget confirmed that the funding for science research, which was controversially used as leverage during Senate negotiations over university deregulation, will be maintained until 2017.Savings of $130 million are also expected to be netted by a slimming of the education bureaucracy, with seven vocational education and training governance bodies being replaced by a single Australian Industry and Skills Council.