Media Release

Peter Gutwein MP
Shadow Treasurer

Monday 13th June, 2011

Budget must deliver for Jobs, economy, cost of living

This week’s budget must deliver for Tasmania. It must contain a plan for jobs, a strategy for the economy and explain what the Green-Labor Government will do to lower the cost of living.

1. This budget must contain a plan to create jobs

So far this year. the Premier and Treasurer has not created a single new job, and she has now acknowledged that jobs are being lost in the forest industry because of her Statement of Principles process.

Our unemployment rate is 5.7 per cent, the highest in the country and our participation rate is falling meaning that many people have given up looking for a job.

The only job-related plans the Green-Labor Government has are to sack at least 2,300 teachers, nurses and police officers, and to shed thousands of jobs in our forestry industry by closing it down.

2. This budget must contain an economic development plan that will grow the economy.

Tasmania’s economy is in trouble, and the reason is because Labor and the Greens have put up the “closed for business” sign with their plan to close the forest industry and ban development.

The litmus test for the state of our economy is the retail sector. When the economy is strong and confidence high, the retail sector is usually the beneficiary through increasing retail sales turnover. However, Tasmanian retailers have had 18 consecutive months of falling retail trade. Private capital investment is around 30 per cent lower than it was two years ago and there is a shortage of projects in the pipeline.

On top of this, the Green-Labor Government quite unbelievably does not have an economic development plan.

In fact the only industry related plan they have announced in the last 12 months is the round table forestry process and we know how unsuccessful that has been.

In contrast, the Liberals have proposed strong measures to re-boot the economy, such as reducing red tape, reforming our planning system, helping small business with a local benefits test, and introducing competition to put downward pressure on energy price rises.

3. This budget must deliver downward pressure on cost of living increases.

Increased prices for electricity and water and sewerage have been hurting all Tasmanians, especially those struggling to find full-time work or work of any kind.

The Liberals have already announced plans to put downward pressure on electricity and water and sewerage prices. Yet not only has the Green-Labor Government voted down measures to introduce competition in the energy market for households, the Premier has ruled out implementing our policy to reduce the cost of water and sewerage services.

If Ms Giddings isn’t going to support our sensible measures to put downward pressure on the cost of living, it is incumbent upon her to announce her own alternative measures on Thursday.