GST relativities

Today’s announcement regarding GST relativities comes as no surprise.
Under the Hodgman Government’s long-term Plan, Tasmania’s economy is one of the fastest growing economies in the nation, every major economic indicator is pointing in the right direction and importantly, more and more jobs are being created in the State.
Tasmania’s GST relativity reflects strong economic growth in Tasmania and as a consequence, our share of GST has reduced. One of the key reasons why our share has reduced is because our economy is growing and as a State we are financially stronger than we have been for many years.
The full impact won’t be known until the size of the GST pool is determined as part of the Federal budget process and I am confident that the increasing strength in the Australian economy will mean that the overall impact on Tasmania’s share of the GST can be managed.
The reason why the Hodgman Government has worked so hard to fix the budget is so that we can absorb changes like this while also continuing to fund vital frontline services.
The Government is committed to keeping the budget in surplus and investing more into Tasmanian communities.
Peter Gutwein, Treasurer