The Tasmanian Government welcomes the Federal Budget, which will support continued jobs and economic growth in Tasmania.
Tasmania’s economy is growing at its fastest rate in six years, and several initiatives announced tonight will build on that growth and create jobs across the state.
The Federal Government’s commitment to supporting small businesses with tax cuts and incentives will greatly benefit our economy.
Small businesses are one of our state's largest employers, with an estimated 36,800 small businesses employing about 100,000 Tasmanians. Importantly, many of these jobs are in regional areas, with two in five small businesses located outside our city centres.
The Federal Government’s changes to personal taxes will also assist almost 40,000 working Tasmanians.
As a result, instead of up to $14 million in taxes going to Canberra, this money will stay in the pockets of Tasmanians and be spent locally. This is great for our retailers, with a recent increase in discretionary spending driving retail trade to a new record of $491 million in February.
The Federal Government’s commitment to improving infrastructure and creating jobs is also ramping up in Tasmania this year.
This financial year the Commonwealth Government will invest $202 million in Tasmanian roads and rail infrastructure projects, including the critical rail upgrades through the Freight Rail Revitalisation Program and the continuation of the Midland Highway 10 Year Action Plan. This represents a significant increase on last year of about $60 million.
At this stage it appears funding for education, health and the GST is broadly in line with expectations for the coming year. We are still working through the finer details and we will make further comment as appropriate.