We have the plan to right Tasmania’s economic ship

David O’Byrne says Tasmania needs a strategy to repair the failing state finances

AS Labor’s new finance spokesman, I will do the hard work needed to put before Tasmanians a vision and plan for the state’s finances — a plan that puts their needs first, delivers sustainable and highquality services in health, education and housing, and invests in infrastructure to create jobs and prosperity.

Labor has a long track record of meeting the needs of our community and taking a responsible approach to budget management.

Labor paid off the Liberal debt of the 1990s and left the incoming Hodgman Liberal Government in 2014 with a sound set of books — $200 million in the black.

We did this by ensuring we made necessary investment in health, education, training and infrastructure — all of which are essential for a productive economy.

Labor will continue to build on our strong credentials of managing public finances and proud record of building a strong, diversified economy.

Labor initiatives over the years are the foundations of Tasmania’s modern economy. Investments in renewable energy provided cheap and reliable clean power to industries and created new jobs. Visionary investments in irrigation projects transformed Tasmania’s agricultural sector.

We have supported our resource extraction industries through sustained investment in infrastructure, and Labor’s support of research has helped businesses and entrepreneurs adapt to the needs of the market and a shifting economic climate. Labor also put in the hard yards to help build the foundations of our worldleading tourism industry.

Labor worked with industry and the community to diversify the economy, providing support to businesses in the aftermath of the global financial crisis, a time where our export-orientated economy faced the toughest challenges in over a generation and at a time when investment across the world dried up.

Labor in government will continue this work. This is our commitment.

Labor will release a fully costed plan well before the next election. It will be a sound plan that does not rely on accounting gimmicks and myriad other ways the current government has masked or outright ignored real costs. It will be a responsible budget that will invest and grow our economy, create jobs and opportunity, support schools, hospitals, police and paramedics, and set Tasmania up for the future.

We will be direct and honest with Tasmanians about where we are headed and what is possible in our first term.

The recent Fiscal Sustainability Report makes clear the Liberal Government has gambled on Tasmania’s future and lost, and will leave serious structural issues that will require time to fix. Yet we will be clear about our mission

for the state and what it will take to get back on solid and stable financial footing.

Our record of fiscal stability and building economic growth and resilience is in sharp contrast to the Government, which has squandered good external economic conditions and taken us backwards into debt. They have misled people about the real state of the budget and failed to prepare for potentially tougher times.

Under their watch, Tasmania has the second highest unemployment rate in the country, and we have lost 5300 full-time jobs since the last election. These jobs have been replaced by casual, parttime and contract work, which undermines job security and creates economic insecurity.

Tasmania also has the highest rate of underemployment and long-term unemployment in the nation. Under Hodgman business investment has gone backwards through 2019, and debt is projected to reach record levels even under the most optimistic scenarios. We now face billions in debt and the worst fiscal situation in the state’s history. This isn’t just about numbers — it risks Tasmania’s rightful future.

Whenever questioned on these worrying indicators, Peter Gutwein and Hodgman demand an alternative budget from the Opposition.

It is a red herring to avoid scrutiny about their own failed budget management. If the Government wants to use Labor’s budget as its own, then give us the reins so we can actually enact our vision. David O’Byrne is the state Labor Opposition finance spokesman.