2023-2024 Tasmanian Budget – Key Issues

  • The Government’s key priorities in the 2023-24 Budget are focussed on strengthening public services
    and addressing demand issues in essential service delivery; and strategic investment in infrastructure to
    promote continued economic growth supporting industry, business and jobs.
  • A range of important new initiatives and reforms are also included in the 2023-24 Budget, which will
    support the wellbeing of the Tasmanian community. These include the full implementation of the
    restructure of the former Department of Communities Tasmania, which created the Department for
    Education, Children and Young People and Homes Tasmania, and new funding to enable the
    Government’s immediate response to the Commission of Inquiry into the Tasmanian Government’s
    Responses to Child Sexual Abuse in Institutional Settings.
  • Funding of $12.1 billion is allocated to investment in stronger health services over the 2023-24 Budget
    and Forward Estimates, representing an increase of 8.1 per cent over the 2022-23 Budget and Forward
    Estimates; while investment in education expenditure will increase by 4.6 per cent to $8.9 billion over
    the same period.
  • Tasmanians impacted by the increasing cost of living are supported in this Budget, with the total value of
    concessions for water, electricity and rates increasing by approximately 13 per cent to be $345.6 million
    over the 2023-24 Budget and Forward Estimates.
  • The 2023-24 Budget continues to support substantial infrastructure investment aimed at enhancing
    Tasmania’s productive capacity, improving service delivery and supporting jobs in regional areas; with
    total funding of almost $5 billion over four years.
  • The Government’s response to the COVID-19 pandemic over recent years has been significant. It
    included a substantial range of measures that had both expenditure and revenue impacts on the Budget.
    While these measures successfully reduced the impacts on Tasmania’s community and economy, there
    has been an ongoing impact on the Budget’s fiscal indicators. In response, the Government has taken
    action in the 2023-24 Budget to return the Budget to a Net Operating Balance surplus in 2025-26 and
    2026-27; whilst simultaneously ensuring that health, education, secure housing and child safety services
    are prioritised and remain key areas of investment.
  • Tasmania has performed particularly well over the past two years, reflecting the strong position of the
    economy prior to the onset of the COVID-19 pandemic, the overall successful management of the virus
    in Tasmania and the effective transition to living with COVID-19. Growth going forward is forecast to
    moderate reflecting the expected slowdown in the global economy. However, the outlook for Tasmania
    remains positive.
  • A new Fiscal Strategy is introduced in the 2023-24 Budget, reflecting an important step in the ongoing
    evolution of the Government’s response to the changing fiscal environment. The new Fiscal Strategy
    provides a framework to guide Budget sustainability over the next decade and the provision of
    information to increase transparency and accountability in developing, implementing and reporting on
    fiscal objectives at a General Government Sector and Total State Sector level.


Source – https://www.treasury.tas.gov.au/