Treasurer Josh Frydenberg insists the federal government will deliver a surplus despite having sliced this year’s forecast surplus by $2 billion.

The mid-year budget forecasts a surplus of $5 billion this financial year, down from the $7.1 billion estimated in the lead up to the federal election.

The Government still expects to deliver a surplus each year for the next four years, but the forecast has been slashed to $23.5 billion, down from $45 billion.

Treasurer Josh Frydenberg tells Luke Grant the government will not “take lectures from the Labor party” on the revising of the forecasts.

“The Labor Party last delivered a surplus when the Berlin Wall was standing.

“They can make all the promises in the world but their track record shows that they’ll never deliver a surplus.

“We will deliver the first surplus in 12 years.”

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Image: Getty/Tracey Nearmy