The first National Accounts figures released under Peter Gutwein’s leadership show Tasmania went backwards during the December quarter.
This is the first quarter in more than three years in which State Final Demand has shown negative growth. The Premier has described State Final Demand as a key economic indicator of the State’s economic performance.
Shadow Treasurer David O’Byrne said even more concerning is that the figures come on the back of other alarming results for the state, and before the full economic effects of coronavirus have been felt.
“Just yesterday, we saw figures showing a sharp fall of 20 per cent in building approvals over the year, Tasmania’s unemployment rate remains the third worst in the country, and underemployment is at 11.2 per cent – the worst in the country and the worst it’s ever been in any state or territory.
“As well, Wage Price Index data released last month shows Tasmanian wages aren’t keeping up with the cost of living, job vacancies have fallen 14.5 per cent over the past year, and ABS data late last year showed business investment fell 31 per cent for the year – the worst in the nation.
“Peter Gutwein has trashed the budget and is sending Tasmania into more than $1 billion of debt.
“While on some measures the state is doing well, the benefits of relatively good economic times are clearly not being shared across our community.
“The role of government is not to be its own cheerleader but to pay attention to economic trends and get to work on solutions and action in response.
“The Premier himself has said the budget position sends an important signal to business about the health of the economy. He must immediately explain what he’s going to do to turn these alarming numbers around.”
David O’Byrne MP
Shadow Treasurer
