Tasmanian Treasurer Michael Ferguson has handed down the 2023-24 state budget — one that he says is about health, education and cost of living.
The health spend as a proportion of the budget has increased, the education budget has more of a focus on increasing staff numbers in schools than it did last year, and there are several measures that aim to give households some relief from cost of living pressures.
While at first glance the increased health and education funding may look good, both systems have been struggling for some time, so the extra cash won't solve all the problems.
Relief from cost of living pressures will also be welcomed, but households will continue to feel pressure from inflation and interest rates.
So let's have a look at some of the winners and losers.
Winner: Education
Compared with last year's budget, which was heavy on school infrastructure upgrades but light on any staffing increases, education is a winner.
However, the Australian Education Union says schools remain at "breaking point", and the budget measures are unlikely to address all of the union's concerns about workload and teacher burnout.
The government is increasing support staff in schools. There is $7 million for 66 new teacher assistant and education support specialists this calendar year. The funding for those positions increases over the next four years, with 100 new positions in 2025.
There is also funding for 25 education specialists this year to focus on Year 7 reading.
The education budget also includes:
- $4.69 million to attract and retain teachers, with similar amounts expected in the following three years
- $1.5 million for universal access to pre-school for three-year-olds
- $120,000 each year for three years from 2024-25 to extend the school lunch program
- $108 million for infrastructure upgrades to schools
Neutral: Children and young people
Tasmania's child safety system has continued to make headlines in the past year, particularly as the Commission of Inquiry into the Tasmanian Government's Responses to Child Sexual Abuse in Institutional Settings heard of multiple failings of the system.
The government has allocated $30 million for immediate responses to the commission of inquiry's findings, which are due to be handed down in August, but the budget papers acknowledge the expectation that the commission's recommendations will require further action and consideration — the costs of which "may be significant".
The budget includes an additional $8.3 million over the next two years to continue to support the Intensive Family Engagement Service "to help children remain with their families when it it is safe to do so".
It also includes $3 million to support young people leaving care, and an additional $1.3 million — which is a permanent top-up — for the Child Safety Service to help meet increased demand.
Neutral: Health
It's no secret that Tasmania's health system is struggling, with long waiting times and access block at major hospitals.
Health accounts for almost 35 per cent of the total state budget this year, compared with 28 per cent when the Liberals came to government in 2014.
Premier and Health Minister Jeremy Rockliff said "more beds, staff, and initiatives to drive down wait lists" were "at the centre" of the budget.
It includes funding for:
- $587,000 this financial year to return maternity services to the public North-West Regional Hospital in Burnie
- $15 million for a new Launceston General Hospital helipad
- $374 million over four years to open more beds and keep existing beds open — Mr Rockliff said 228 beds were expected to be open by June 30 this year, and another 70 by June 30 next year
- $87.1 million for the North West hospital's master plan
- $580 million to continue the 10-year Launceston General Hospital redevelopment
- $170.4 million to progress the 30-year Royal Hobart Hospital master plan
Neutral: Mental health
Mental health services in Tasmania continue to struggle to keep up with demand, and the closure of St Helen's private hospital in Hobart will only add to the pressure.
The government is spending $120 million this financial year for the construction of what it describes as "state of the art Mental Health Services precincts" — one in Launceston, and one in Burnie.
Construction is set to start in the 2024 calendar year and finish in 2027 (Launceston) and 2025-25 (Burnie).
In the south, St John's Park at New Town will become stage three of the Royal Hobart Hospital redevelopment, and $2 million has been allocated to "continue development of a 20-year blueprint for the precinct and revitalisation of the site into a contemporary health care campus for Tasmania".
Construction will start this calendar year on a 15-bed, short stay mental health centre at St John's Park.
The federal government has provided $10 million for a new eating disorders residential treatment centre at St John's Park. Construction is set to start this calendar year.
There is $46.3 million over four years to address priorities in the Tasmanian mental health reform program, including the permanent establishment of an acute care team, general practice liaison clinician and a lived experience workforce.
Funding for the Salvation Army Street Teams has been increased. The teams help those in need on Friday and Saturday nights. They will receive $200,000 each year for the next three years.
Neutral: Law and order
The new Burnie Courts Complex is the centrepiece of the Justice Department budget this year, with its $86.5 million price tag, including $46.5 in additional funding.
There is $70 million allocated over four years for National Redress Scheme and associated civil claims, and ongoing funding of $19.5 million over four years to meet increased demand and support for the Safe at Home family violence response program.
There is an additional $10 million provided in 2026-27 for the new youth justice centres that will replace the Ashley Youth Detention Centre, taking the total budget for the project to $50 million, and $270 million over four years for a new northern prison.
Additional funding for Tasmania Police includes $3.2 million to employ five new police officers to monitor sex offenders and $4.1 million to upgrade the Tasmania Police Academy.
There is also $19.5 million over four years to support injured police officers and state service employees who have a workers' compensation claim.
Neutral: Cost of living
The budget lists inflation and interest rates as major financial risk factors for the coming years — and it's the same for all Tasmanians' budgets.
In an attempt to ease the burden, the government will provide $347 million in supports over four years, with $216 million in electricity concessions, $40.6 million for water and sewerage bills, and $45 million — combining with an equal Commonwealth contribution — for an energy bill relief fund.
Funding for these cost of living measures has increased 13.7 per cent.
There is also $18.1 million in taxi fare discounts for various concession card holders.
During the past financial year, the government had to consider further top-up concessions as cost of living continued to increase. So there might be more to come, if times continue to get tougher.
Loser: Housing
Responsibility for the 10,000 homes by 2032 target was moved out of the budget when the new entity Homes Tasmania was established in December.
It means it is difficult to see whether the budget has increased or decreased for new social housing builds, and if targets are being met.
The government has provided Homes Tasmania with $373 million to fund borrowings for its home-building program, and deliver homelessness services that were previously provided by the former Communities Department.
Homes Tasmania itself anticipates a total comprehensive income of $330 million for the coming year.
The government is adding $4 million over six years for Build Up Tassie, a program helping young adults enter the construction industry.
The government is also keen to highlight additional funds for its private rental incentive scheme — adding $1.5 million to an already contributed $6 million to 2026. The program gives a financial incentive to landlords to make their houses available to housing register applicants on low incomes, helping to subsidise reduced rent.
There's $15.6 million for Housing Connect front door services, and $18 million for short-term homeless accommodation, with $2.7 million for longer-term supported accommodation.
But with more than 4,600 people still on the public housing wait list, lobby groups say the new funding is not enough to immediately get a roof over their heads.
Winner: Sports, tourism and events
The budget confirms the state government's commitment to a new stadium at Macquarie Point in Hobart, allocating $230 million (of a total $375 million of state funds) over the next four years to "Macquarie Point urban renewal".
According to the budget papers, the stadium is expected to be built by 2028. The budget papers also acknowledge such a large project could be subject to "supply constraints and cost escalations".
The budget also includes:
- $1.1 million this financial year for the Hawthorn Football Club sponsorship
- $410,000 this financial year for Collingwood Magpies netball team sponsorship
- $400,000 over two years for Basketball Tasmania development officers
- $3.9 over three years for the Taste of Summer festival in Hobart
- $1.25 million for the West Coast Wilderness Railway
- $500,000 for the Boags Brewery visitor centre
- $250,000 each year for two years for a new booking system for national park entry permits and products
A further $2.9 million this financial year for the $40-million so-called "next iconic walk" — a multi-day, hut-based walk in the Tyndall Range in western Tasmania.
Neutral: Roads and public transport
The new Bridgewater Bridge is a huge part of the state's infrastructure budget, with its $786 million price tag. The new bridge is expected to be open to traffic by the end of next year.
The government also expects to complete its 10-year $565-million Midland Highway upgrades and $350 million south east traffic solution (a continuous four-lane highway between Hobart Airport and Sorell) in the next four years.
There are no major new infrastructure spends.
The bridge over the Tamar River in northern Launceston has been pushed back again. Significant funding won't start to flow until 2026 at the earliest — three years later than detailed in last year's budget. The completion date is now 2028.
There is $1.3 million for "the continued development of corridor studies that identify and prioritise improvement opportunities for the state road network".
In terms of public transport, the budget includes:
- $14.6 million this year, and a further $13.5 million over three years for a "contemporary" common ticketing system
- $13.5 million over three years for Hobart's northern suburbs transit corridor, to mostly go towards planning and design
Neutral: Environment
The Tasmanian Planning Commission has $400,000 this financial year to complete a new state of the environment report. The last one was done in 2009 — that's despite the law saying a new state of the environment report is required every five years.
The Environment Protection Authority has $18.6 million this financial year for its environmental regulation, environmental assessment and finfish regulation work.
Its funding has increased because of expenditure associated with the implementation of a new landfill levy. Environment Minister Roger Jaensch says the levy will "support a suite of measures to grow the resource recovery sector and invest in waste and resource recovery initiatives".
There is $1.3 million this year and $1 million next year for the government's circular economy initiative, which will support an industry partner build a "crumbed rubber plant" to recycle waste tyres.
The budget also includes $125,000 each year for four years to employ an additional apiary officer in the state's north, as part of the government's response to the threat of the potentially devastating varroa mite.
