In short:
Tasmania’s Department of Treasury and Finance has issued a dire warning about the state’s finances, saying they are forecast to “rapidly deteriorate” and the state does not have the ability to grow its way out of the problem.
It urges significant changes with net debt forecast to approach $146 billion by 2040, but that the government should not focus solely on job cuts and service reductions.
What’s next?
Treasurer Eric Abetz will hand down the state budget on May 21. The government is considering slashing superannuation for some current and retired public servants.