Independent MLC Ruth Forrest today called out the Tasmanian Government’s refusal to face the state’s deepening budget crisis, despite repeated warnings from independent experts and Treasury.
“Both Saul Eslake’s Review of State Finances and Treasury’s Pre-Election Financial Outlook make it crystal clear — the growth in spending and ballooning debt are the direct result of Liberal policy decisions,” Ms Forrest said.
“Changes outside the Government’s control, such as GST receipts, have actually softened the blow. But instead of using this windfall to reduce debt or invest wisely, the Government squandered the opportunity. The outcome is a budget position far worse than it should be.”
Ms Forrest said she had been raising the alarm for years.
“Rather than engaging with the evidence, the Government responds with silence or petty attacks. They can’t show where my analysis is wrong, so they avoid the conversation. Their last budget was the worst yet – claiming a pathway to surplus without any credible plan to get there.”
She warned that three independent fiscal sustainability reports have been ignored, along with repeated advice that early action was needed to avoid the current situation. “Now we see senior Liberals ruling out almost every realistic option for budget repair before any meaningful discussion can even take place. That’s not leadership – it’s denial.”
Ms Forrest noted the Government’s own fiscal strategy targeted lifting Tasmania’s own-source revenue to 37% of total expenditure. “The budget papers show it’s going backwards at an alarming pace. Meanwhile, debt servicing costs are already eroding funds for vital services.”
“We’ve reached the point where not just our children and grandchildren will bear the cost of failure – Tasmanians today are already feeling the squeeze. There is no time to waste. Without urgent change and a genuine commitment to a new approach, we risk crossing the point of no return.”