❓ Mrs. Stojkovski asks about Standard & Poor's assessment of the McGowan government's financial management compared to the previous Liberal-National government. The Treasurer responds by highlighting S&P's positive assessment and criticising the opposition's financial record and current proposals.
AnsweredQoN 986Legislative Assembly
QuestionView source ↗
MCGOWAN GOVERNMENT —
FINANCIAL MANAGEMENT
986. Mrs J.M.C. STOJKOVSKI to the Treasurer:
My question is to the fabulous
financial manager, the Treasurer. I refer to Standard and Poor's 500
annual credit rating assessment on the Western Australian economy.
How does the global ratings agency
view the financial management of the McGowan government, and how does this
compare with its view of the previous Liberal–National government?
FINANCIAL MANAGEMENT
986. Mrs J.M.C. STOJKOVSKI to the Treasurer:
My question is to the fabulous
financial manager, the Treasurer. I refer to Standard and Poor's 500
annual credit rating assessment on the Western Australian economy.
How does the global ratings agency
view the financial management of the McGowan government, and how does this
compare with its view of the previous Liberal–National government?
AnswerView source ↗
I thank the member for Kingsley for
that question. If she keeps asking them like that, I am sure she will get many
more opportunities!
I acknowledge the sportsmen down the
back who are now leaving. I want to specifically acknowledge the presence of
Bob Shields, the president of Perth Demons Football Club. He has gone now, but
he has assured me that Perth will make it deep into the finals next year.
Mrs L.M. Harvey : Good luck!
Mr B.S. WYATT : No need to be
nasty, colleagues!
Picking up from where the Premier
left off, when we run tight finances, we get the chance to support the economy
when it needs it. That is why the other day we announced our tax cuts for
off-the-plan apartment buying. This will stimulate activity and support a workforce
that I think is important; indeed, despite the Liberal opposition now opposing
it, it is something that it has been demanding I do for some time. I think that
financial management sets us up now to respond to emerging issues in the
economy. It has been recognised again by Standard and Poor's. I want to
quote what Standard and Poor's said, affirming our strong credit rating
—
The
state of Western Australia's fiscal metrics continue to improve due to
larger grants from the Australian � government, elevated royalty
revenues, tight control of recurrent expenses �
Our ratings —
That is, the rating —
reflect Western Australia's
wealthy but volatile economy, excellent liquidity, and strong financial
management.
That
is why we have spent so much time and effort over the last three budgets
keeping spending under control. We cannot do what the former government did in
the first two years—that is, increase recurrent spend by 26 per cent —and
expect the balance sheet to respond to issues at the time. In our first two
years, we have kept expenditure growth to 4.5
per cent—a very strong outcome by any measure. Of course, we do
remember, and I quote, the ''lack
of political will'' of the previous government to make difficult
decisions, despite the fact, again, as the Premier has pointed out, it
was awash with revenue—record revenue growth, record debt growth and
record tax increases. The former government delivered quite a trifecta to us
here in Western Australia. What is the threat to the credit rating? The
Standard and Poor's update continues —
Downward
pressure on the ratings could emerge if Western Australia's fiscal
performance were to weaken.
One cannot help but reflect on where
the opposition is already. It wants much larger wage increases for the public
sector, it has already spent about $1 billion extra on its Roe 8 and 9
commitment and it has committed to abolishing the foreign buyers surcharge.
Almost on a daily basis, the opposition commits either to a spend or how it
would cut a revenue source. The reality is that the Liberal Party of Western Australia
is a clear and present danger to the finances. Members opposite are in here
complaining when the Labor government commits to a tax cut to stimulate an area
of the economy to support jobs for Western Australians. The Liberal Party of Western
Australia opposes and critiques that decision. I think that highlights exactly
where the opposition is now at. The Liberal Party has a long way to come if it
wants to be true to its own philosophy and to Western Australians.
that question. If she keeps asking them like that, I am sure she will get many
more opportunities!
I acknowledge the sportsmen down the
back who are now leaving. I want to specifically acknowledge the presence of
Bob Shields, the president of Perth Demons Football Club. He has gone now, but
he has assured me that Perth will make it deep into the finals next year.
Mrs L.M. Harvey : Good luck!
Mr B.S. WYATT : No need to be
nasty, colleagues!
Picking up from where the Premier
left off, when we run tight finances, we get the chance to support the economy
when it needs it. That is why the other day we announced our tax cuts for
off-the-plan apartment buying. This will stimulate activity and support a workforce
that I think is important; indeed, despite the Liberal opposition now opposing
it, it is something that it has been demanding I do for some time. I think that
financial management sets us up now to respond to emerging issues in the
economy. It has been recognised again by Standard and Poor's. I want to
quote what Standard and Poor's said, affirming our strong credit rating
—
The
state of Western Australia's fiscal metrics continue to improve due to
larger grants from the Australian � government, elevated royalty
revenues, tight control of recurrent expenses �
Our ratings —
That is, the rating —
reflect Western Australia's
wealthy but volatile economy, excellent liquidity, and strong financial
management.
That
is why we have spent so much time and effort over the last three budgets
keeping spending under control. We cannot do what the former government did in
the first two years—that is, increase recurrent spend by 26 per cent —and
expect the balance sheet to respond to issues at the time. In our first two
years, we have kept expenditure growth to 4.5
per cent—a very strong outcome by any measure. Of course, we do
remember, and I quote, the ''lack
of political will'' of the previous government to make difficult
decisions, despite the fact, again, as the Premier has pointed out, it
was awash with revenue—record revenue growth, record debt growth and
record tax increases. The former government delivered quite a trifecta to us
here in Western Australia. What is the threat to the credit rating? The
Standard and Poor's update continues —
Downward
pressure on the ratings could emerge if Western Australia's fiscal
performance were to weaken.
One cannot help but reflect on where
the opposition is already. It wants much larger wage increases for the public
sector, it has already spent about $1 billion extra on its Roe 8 and 9
commitment and it has committed to abolishing the foreign buyers surcharge.
Almost on a daily basis, the opposition commits either to a spend or how it
would cut a revenue source. The reality is that the Liberal Party of Western Australia
is a clear and present danger to the finances. Members opposite are in here
complaining when the Labor government commits to a tax cut to stimulate an area
of the economy to support jobs for Western Australians. The Liberal Party of Western
Australia opposes and critiques that decision. I think that highlights exactly
where the opposition is now at. The Liberal Party has a long way to come if it
wants to be true to its own philosophy and to Western Australians.
Explore WA Government Data
Search the full archive in the free dashboard, or query programmatically via API.
Explore more
Government Gazette
Appointments, regulatory notices, planning changes.
Hansard
Debates, questions, speeches and sentiment.
Tabled Papers
Reports and documents tabled in Parliament.
Committees
Committee profiles and recent reports.
Regulations
Subsidiary legislation with filters and summaries.
Bills
Proposed laws and parliamentary progress.
Acts
Current WA legislation and summaries.
Explanatory Memoranda
Bills with EMs (text/PDF) available.
Members
MP profiles, party breakdown and rankings.
Pollie Rankings
Data-driven rankings across 19 categories.
Amendment Chains
Track how schemes and regulations evolve over time.