❓ Treasurer Ripper responds to a question about the state's debt position, highlighting the government's success in reducing debt and maintaining a strong credit rating, while also criticising the previous government's financial management.
AnsweredQoN 532Legislative Assembly
QuestionView source ↗
With regard to the 2003-04 financial results, can the Treasurer elaborate on the State Government’s debt position? Mr E.S. RIPPER
AnswerView source ↗
I thank the member for Southern River for that question. Every Labor member can now go to the next election and tell the people of Western Australia that this Government has delivered the lowest debt on record; that is, $4.2 billion. That is less than the figure that stood when the Government came to office; it is the lowest figure on record. Why is it low? It is low because when we had a revenue windfall, we paid off the debt of $481 million. We did that just last week. The Government paid off nearly $500 million of debt. It did not spend it on day-to-day things like the last Government did. I look forward to the editorial in The West Australian acknowledging the Government’s forward thinking on this matter. Dr G.I. Gallop: You will have a long wait. Mr E.S. RIPPER: I will not bet too much money on there being that editorial, but I still look forward to the chance of its maybe one day appearing. The Government has a self-imposed cap on the debt to revenue ratio of 47 per cent. We regard it as the point at which the AAA credit rating would be at risk, as it was in the dying days of the Court Government when the current Leader of the Opposition was a sometime but mostly absent member of the budget standing committee of the then Cabinet and did not care enough about the finances to turn up too often, as I understand it. This Government has that self-imposed cap. Every year it has got a tick from the ratings agencies. It got the tick again this year when both ratings agencies confirmed the AAA credit rating. The debt to revenue ratio is now 28 per cent, the lowest on record. In the May budget we forecast that debt at the end of this financial year would be $5.9 billion, which is well within reasonable limits. However, because we have had such a good result for the past financial year, we can expect that when the next review of debt is carried out, we will have a better result than that which we forecast in the 2004-05 budget. These results have not come at the expense of core services. If members compare this Government’s budget with the last budget of the Court era, this Government is spending $1.6 billion extra on the core areas of health, education, law and order, community services and disability services. For example, it is spending more than $800 million a year extra on health, more than $450 million a year extra on education and training, and nearly $160 million a year extra on the Police Service. The Leader of the Opposition has stopped interjecting. Dr G.I. Gallop: Nostradamus! Mr E.S. RIPPER: Yes. He also sometimes likes to set tests. Several members interjected. The SPEAKER: Order! Member for Kalgoorlie! Mr E.S. RIPPER: On 15 May 2002 the Leader of the Opposition said - I want to talk about the tests of the credibility of the budget itself. There are two ultimate tests: first, the deficit or surplus position and, secondly, and most importantly, the longer term implication of what will happen to the level of indebtedness as a State and as a people of Western Australia. Those were the tests laid down by the Leader of the Opposition in 2002. I want to give the results. The graph I am holding up shows the results on the surplus test. It shows the five budget deficits out of eight that the previous Government ran. It also shows this Government’s surplus budgets. That means that test one has been passed. Test two is the question of debt. Members can see the debt to revenue ratio. Members can see that the level of absolute debt is the lowest on record. It is lower than it was when we were elected. We have passed with flying colours the two tests set by the Leader of the Opposition, but the Leader of the Opposition has a test to pass himself, which is a credibility test. Until he produces a comprehensive financial plan to back up his $1 billion worth of promises, he will be failing that credibility test.
Mr E.S. RIPPER replied: I thank the member for Southern River for that question. Every Labor member can now go to the next election and tell the people of Western Australia that this Government has delivered the lowest debt on record; that is, $4.2 billion. That is less than the figure that stood when the Government came to office; it is the lowest figure on record. Why is it low? It is low because when we had a revenue windfall, we paid off the debt of $481 million. We did that just last week. The Government paid off nearly $500 million of debt. It did not spend it on day-to-day things like the last Government did. I look forward to the editorial in The West Australian acknowledging the Government’s forward thinking on this matter. Dr G.I. Gallop: You will have a long wait. Mr E.S. RIPPER: I will not bet too much money on there being that editorial, but I still look forward to the chance of its maybe one day appearing. The Government has a self-imposed cap on the debt to revenue ratio of 47 per cent. We regard it as the point at which the AAA credit rating would be at risk, as it was in the dying days of the Court Government when the current Leader of the Opposition was a sometime but mostly absent member of the budget standing committee of the then Cabinet and did not care enough about the finances to turn up too often, as I understand it. This Government has that self-imposed cap. Every year it has got a tick from the ratings agencies. It got the tick again this year when both ratings agencies confirmed the AAA credit rating. The debt to revenue ratio is now 28 per cent, the lowest on record. In the May budget we forecast that debt at the end of this financial year would be $5.9 billion, which is well within reasonable limits. However, because we have had such a good result for the past financial year, we can expect that when the next review of debt is carried out, we will have a better result than that which we forecast in the 2004-05 budget. These results have not come at the expense of core services. If members compare this Government’s budget with the last budget of the Court era, this Government is spending $1.6 billion extra on the core areas of health, education, law and order, community services and disability services. For example, it is spending more than $800 million a year extra on health, more than $450 million a year extra on education and training, and nearly $160 million a year extra on the Police Service. The Leader of the Opposition has stopped interjecting. Dr G.I. Gallop: Nostradamus! Mr E.S. RIPPER: Yes. He also sometimes likes to set tests. Several members interjected. The SPEAKER: Order! Member for Kalgoorlie! Mr E.S. RIPPER: On 15 May 2002 the Leader of the Opposition said - I want to talk about the tests of the credibility of the budget itself. There are two ultimate tests: first, the deficit or surplus position and, secondly, and most importantly, the longer term implication of what will happen to the level of indebtedness as a State and as a people of Western Australia. Those were the tests laid down by the Leader of the Opposition in 2002. I want to give the results. The graph I am holding up shows the results on the surplus test. It shows the five budget deficits out of eight that the previous Government ran. It also shows this Government’s surplus budgets. That means that test one has been passed. Test two is the question of debt. Members can see the debt to revenue ratio. Members can see that the level of absolute debt is the lowest on record. It is lower than it was when we were elected. We have passed with flying colours the two tests set by the Leader of the Opposition, but the Leader of the Opposition has a test to pass himself, which is a credibility test. Until he produces a comprehensive financial plan to back up his $1 billion worth of promises, he will be failing that credibility test.
I thank the member for Southern River for that question. Every Labor member can now go to the next election and tell the people of Western Australia that this Government has delivered the lowest debt on record; that is, $4.2 billion. That is less than the figure that stood when the Government came to office; it is the lowest figure on record. Why is it low? It is low because when we had a revenue windfall, we paid off the debt of $481 million. We did that just last week. The Government paid off nearly $500 million of debt. It did not spend it on day-to-day things like the last Government did. I look forward to the editorial in The West Australian acknowledging the Government’s forward thinking on this matter. Dr G.I. Gallop: You will have a long wait. Mr E.S. RIPPER: I will not bet too much money on there being that editorial, but I still look forward to the chance of its maybe one day appearing. The Government has a self-imposed cap on the debt to revenue ratio of 47 per cent. We regard it as the point at which the AAA credit rating would be at risk, as it was in the dying days of the Court Government when the current Leader of the Opposition was a sometime but mostly absent member of the budget standing committee of the then Cabinet and did not care enough about the finances to turn up too often, as I understand it. This Government has that self-imposed cap. Every year it has got a tick from the ratings agencies. It got the tick again this year when both ratings agencies confirmed the AAA credit rating. The debt to revenue ratio is now 28 per cent, the lowest on record. In the May budget we forecast that debt at the end of this financial year would be $5.9 billion, which is well within reasonable limits. However, because we have had such a good result for the past financial year, we can expect that when the next review of debt is carried out, we will have a better result than that which we forecast in the 2004-05 budget. These results have not come at the expense of core services. If members compare this Government’s budget with the last budget of the Court era, this Government is spending $1.6 billion extra on the core areas of health, education, law and order, community services and disability services. For example, it is spending more than $800 million a year extra on health, more than $450 million a year extra on education and training, and nearly $160 million a year extra on the Police Service. The Leader of the Opposition has stopped interjecting. Dr G.I. Gallop: Nostradamus! Mr E.S. RIPPER: Yes. He also sometimes likes to set tests. Several members interjected. The SPEAKER: Order! Member for Kalgoorlie! Mr E.S. RIPPER: On 15 May 2002 the Leader of the Opposition said - I want to talk about the tests of the credibility of the budget itself. There are two ultimate tests: first, the deficit or surplus position and, secondly, and most importantly, the longer term implication of what will happen to the level of indebtedness as a State and as a people of Western Australia. Those were the tests laid down by the Leader of the Opposition in 2002. I want to give the results. The graph I am holding up shows the results on the surplus test. It shows the five budget deficits out of eight that the previous Government ran. It also shows this Government’s surplus budgets. That means that test one has been passed. Test two is the question of debt. Members can see the debt to revenue ratio. Members can see that the level of absolute debt is the lowest on record. It is lower than it was when we were elected. We have passed with flying colours the two tests set by the Leader of the Opposition, but the Leader of the Opposition has a test to pass himself, which is a credibility test. Until he produces a comprehensive financial plan to back up his $1 billion worth of promises, he will be failing that credibility test.
Dr G.I. Gallop: You will have a long wait. Mr E.S. RIPPER: I will not bet too much money on there being that editorial, but I still look forward to the chance of its maybe one day appearing. The Government has a self-imposed cap on the debt to revenue ratio of 47 per cent. We regard it as the point at which the AAA credit rating would be at risk, as it was in the dying days of the Court Government when the current Leader of the Opposition was a sometime but mostly absent member of the budget standing committee of the then Cabinet and did not care enough about the finances to turn up too often, as I understand it. This Government has that self-imposed cap. Every year it has got a tick from the ratings agencies. It got the tick again this year when both ratings agencies confirmed the AAA credit rating. The debt to revenue ratio is now 28 per cent, the lowest on record. In the May budget we forecast that debt at the end of this financial year would be $5.9 billion, which is well within reasonable limits. However, because we have had such a good result for the past financial year, we can expect that when the next review of debt is carried out, we will have a better result than that which we forecast in the 2004-05 budget. These results have not come at the expense of core services. If members compare this Government’s budget with the last budget of the Court era, this Government is spending $1.6 billion extra on the core areas of health, education, law and order, community services and disability services. For example, it is spending more than $800 million a year extra on health, more than $450 million a year extra on education and training, and nearly $160 million a year extra on the Police Service. The Leader of the Opposition has stopped interjecting. Dr G.I. Gallop: Nostradamus! Mr E.S. RIPPER: Yes. He also sometimes likes to set tests. Several members interjected. The SPEAKER: Order! Member for Kalgoorlie! Mr E.S. RIPPER: On 15 May 2002 the Leader of the Opposition said - I want to talk about the tests of the credibility of the budget itself. There are two ultimate tests: first, the deficit or surplus position and, secondly, and most importantly, the longer term implication of what will happen to the level of indebtedness as a State and as a people of Western Australia. Those were the tests laid down by the Leader of the Opposition in 2002. I want to give the results. The graph I am holding up shows the results on the surplus test. It shows the five budget deficits out of eight that the previous Government ran. It also shows this Government’s surplus budgets. That means that test one has been passed. Test two is the question of debt. Members can see the debt to revenue ratio. Members can see that the level of absolute debt is the lowest on record. It is lower than it was when we were elected. We have passed with flying colours the two tests set by the Leader of the Opposition, but the Leader of the Opposition has a test to pass himself, which is a credibility test. Until he produces a comprehensive financial plan to back up his $1 billion worth of promises, he will be failing that credibility test.
Mr E.S. RIPPER: I will not bet too much money on there being that editorial, but I still look forward to the chance of its maybe one day appearing. The Government has a self-imposed cap on the debt to revenue ratio of 47 per cent. We regard it as the point at which the AAA credit rating would be at risk, as it was in the dying days of the Court Government when the current Leader of the Opposition was a sometime but mostly absent member of the budget standing committee of the then Cabinet and did not care enough about the finances to turn up too often, as I understand it. This Government has that self-imposed cap. Every year it has got a tick from the ratings agencies. It got the tick again this year when both ratings agencies confirmed the AAA credit rating. The debt to revenue ratio is now 28 per cent, the lowest on record. In the May budget we forecast that debt at the end of this financial year would be $5.9 billion, which is well within reasonable limits. However, because we have had such a good result for the past financial year, we can expect that when the next review of debt is carried out, we will have a better result than that which we forecast in the 2004-05 budget. These results have not come at the expense of core services. If members compare this Government’s budget with the last budget of the Court era, this Government is spending $1.6 billion extra on the core areas of health, education, law and order, community services and disability services. For example, it is spending more than $800 million a year extra on health, more than $450 million a year extra on education and training, and nearly $160 million a year extra on the Police Service. The Leader of the Opposition has stopped interjecting. Dr G.I. Gallop: Nostradamus! Mr E.S. RIPPER: Yes. He also sometimes likes to set tests. Several members interjected. The SPEAKER: Order! Member for Kalgoorlie! Mr E.S. RIPPER: On 15 May 2002 the Leader of the Opposition said - I want to talk about the tests of the credibility of the budget itself. There are two ultimate tests: first, the deficit or surplus position and, secondly, and most importantly, the longer term implication of what will happen to the level of indebtedness as a State and as a people of Western Australia. Those were the tests laid down by the Leader of the Opposition in 2002. I want to give the results. The graph I am holding up shows the results on the surplus test. It shows the five budget deficits out of eight that the previous Government ran. It also shows this Government’s surplus budgets. That means that test one has been passed. Test two is the question of debt. Members can see the debt to revenue ratio. Members can see that the level of absolute debt is the lowest on record. It is lower than it was when we were elected. We have passed with flying colours the two tests set by the Leader of the Opposition, but the Leader of the Opposition has a test to pass himself, which is a credibility test. Until he produces a comprehensive financial plan to back up his $1 billion worth of promises, he will be failing that credibility test.
The Government has a self-imposed cap on the debt to revenue ratio of 47 per cent. We regard it as the point at which the AAA credit rating would be at risk, as it was in the dying days of the Court Government when the current Leader of the Opposition was a sometime but mostly absent member of the budget standing committee of the then Cabinet and did not care enough about the finances to turn up too often, as I understand it. This Government has that self-imposed cap. Every year it has got a tick from the ratings agencies. It got the tick again this year when both ratings agencies confirmed the AAA credit rating. The debt to revenue ratio is now 28 per cent, the lowest on record. In the May budget we forecast that debt at the end of this financial year would be $5.9 billion, which is well within reasonable limits. However, because we have had such a good result for the past financial year, we can expect that when the next review of debt is carried out, we will have a better result than that which we forecast in the 2004-05 budget. These results have not come at the expense of core services. If members compare this Government’s budget with the last budget of the Court era, this Government is spending $1.6 billion extra on the core areas of health, education, law and order, community services and disability services. For example, it is spending more than $800 million a year extra on health, more than $450 million a year extra on education and training, and nearly $160 million a year extra on the Police Service. The Leader of the Opposition has stopped interjecting. Dr G.I. Gallop: Nostradamus! Mr E.S. RIPPER: Yes. He also sometimes likes to set tests. Several members interjected. The SPEAKER: Order! Member for Kalgoorlie! Mr E.S. RIPPER: On 15 May 2002 the Leader of the Opposition said - I want to talk about the tests of the credibility of the budget itself. There are two ultimate tests: first, the deficit or surplus position and, secondly, and most importantly, the longer term implication of what will happen to the level of indebtedness as a State and as a people of Western Australia. Those were the tests laid down by the Leader of the Opposition in 2002. I want to give the results. The graph I am holding up shows the results on the surplus test. It shows the five budget deficits out of eight that the previous Government ran. It also shows this Government’s surplus budgets. That means that test one has been passed. Test two is the question of debt. Members can see the debt to revenue ratio. Members can see that the level of absolute debt is the lowest on record. It is lower than it was when we were elected. We have passed with flying colours the two tests set by the Leader of the Opposition, but the Leader of the Opposition has a test to pass himself, which is a credibility test. Until he produces a comprehensive financial plan to back up his $1 billion worth of promises, he will be failing that credibility test.
These results have not come at the expense of core services. If members compare this Government’s budget with the last budget of the Court era, this Government is spending $1.6 billion extra on the core areas of health, education, law and order, community services and disability services. For example, it is spending more than $800 million a year extra on health, more than $450 million a year extra on education and training, and nearly $160 million a year extra on the Police Service. The Leader of the Opposition has stopped interjecting. Dr G.I. Gallop: Nostradamus! Mr E.S. RIPPER: Yes. He also sometimes likes to set tests. Several members interjected. The SPEAKER: Order! Member for Kalgoorlie! Mr E.S. RIPPER: On 15 May 2002 the Leader of the Opposition said - I want to talk about the tests of the credibility of the budget itself. There are two ultimate tests: first, the deficit or surplus position and, secondly, and most importantly, the longer term implication of what will happen to the level of indebtedness as a State and as a people of Western Australia. Those were the tests laid down by the Leader of the Opposition in 2002. I want to give the results. The graph I am holding up shows the results on the surplus test. It shows the five budget deficits out of eight that the previous Government ran. It also shows this Government’s surplus budgets. That means that test one has been passed. Test two is the question of debt. Members can see the debt to revenue ratio. Members can see that the level of absolute debt is the lowest on record. It is lower than it was when we were elected. We have passed with flying colours the two tests set by the Leader of the Opposition, but the Leader of the Opposition has a test to pass himself, which is a credibility test. Until he produces a comprehensive financial plan to back up his $1 billion worth of promises, he will be failing that credibility test.
Dr G.I. Gallop: Nostradamus! Mr E.S. RIPPER: Yes. He also sometimes likes to set tests. Several members interjected. The SPEAKER: Order! Member for Kalgoorlie! Mr E.S. RIPPER: On 15 May 2002 the Leader of the Opposition said - I want to talk about the tests of the credibility of the budget itself. There are two ultimate tests: first, the deficit or surplus position and, secondly, and most importantly, the longer term implication of what will happen to the level of indebtedness as a State and as a people of Western Australia. Those were the tests laid down by the Leader of the Opposition in 2002. I want to give the results. The graph I am holding up shows the results on the surplus test. It shows the five budget deficits out of eight that the previous Government ran. It also shows this Government’s surplus budgets. That means that test one has been passed. Test two is the question of debt. Members can see the debt to revenue ratio. Members can see that the level of absolute debt is the lowest on record. It is lower than it was when we were elected. We have passed with flying colours the two tests set by the Leader of the Opposition, but the Leader of the Opposition has a test to pass himself, which is a credibility test. Until he produces a comprehensive financial plan to back up his $1 billion worth of promises, he will be failing that credibility test.
Mr E.S. RIPPER: Yes. He also sometimes likes to set tests. Several members interjected. The SPEAKER: Order! Member for Kalgoorlie! Mr E.S. RIPPER: On 15 May 2002 the Leader of the Opposition said - I want to talk about the tests of the credibility of the budget itself. There are two ultimate tests: first, the deficit or surplus position and, secondly, and most importantly, the longer term implication of what will happen to the level of indebtedness as a State and as a people of Western Australia. Those were the tests laid down by the Leader of the Opposition in 2002. I want to give the results. The graph I am holding up shows the results on the surplus test. It shows the five budget deficits out of eight that the previous Government ran. It also shows this Government’s surplus budgets. That means that test one has been passed. Test two is the question of debt. Members can see the debt to revenue ratio. Members can see that the level of absolute debt is the lowest on record. It is lower than it was when we were elected. We have passed with flying colours the two tests set by the Leader of the Opposition, but the Leader of the Opposition has a test to pass himself, which is a credibility test. Until he produces a comprehensive financial plan to back up his $1 billion worth of promises, he will be failing that credibility test.
Several members interjected. The SPEAKER: Order! Member for Kalgoorlie! Mr E.S. RIPPER: On 15 May 2002 the Leader of the Opposition said - I want to talk about the tests of the credibility of the budget itself. There are two ultimate tests: first, the deficit or surplus position and, secondly, and most importantly, the longer term implication of what will happen to the level of indebtedness as a State and as a people of Western Australia. Those were the tests laid down by the Leader of the Opposition in 2002. I want to give the results. The graph I am holding up shows the results on the surplus test. It shows the five budget deficits out of eight that the previous Government ran. It also shows this Government’s surplus budgets. That means that test one has been passed. Test two is the question of debt. Members can see the debt to revenue ratio. Members can see that the level of absolute debt is the lowest on record. It is lower than it was when we were elected. We have passed with flying colours the two tests set by the Leader of the Opposition, but the Leader of the Opposition has a test to pass himself, which is a credibility test. Until he produces a comprehensive financial plan to back up his $1 billion worth of promises, he will be failing that credibility test.
The SPEAKER: Order! Member for Kalgoorlie! Mr E.S. RIPPER: On 15 May 2002 the Leader of the Opposition said - I want to talk about the tests of the credibility of the budget itself. There are two ultimate tests: first, the deficit or surplus position and, secondly, and most importantly, the longer term implication of what will happen to the level of indebtedness as a State and as a people of Western Australia. Those were the tests laid down by the Leader of the Opposition in 2002. I want to give the results. The graph I am holding up shows the results on the surplus test. It shows the five budget deficits out of eight that the previous Government ran. It also shows this Government’s surplus budgets. That means that test one has been passed. Test two is the question of debt. Members can see the debt to revenue ratio. Members can see that the level of absolute debt is the lowest on record. It is lower than it was when we were elected. We have passed with flying colours the two tests set by the Leader of the Opposition, but the Leader of the Opposition has a test to pass himself, which is a credibility test. Until he produces a comprehensive financial plan to back up his $1 billion worth of promises, he will be failing that credibility test.
Mr E.S. RIPPER: On 15 May 2002 the Leader of the Opposition said - I want to talk about the tests of the credibility of the budget itself. There are two ultimate tests: first, the deficit or surplus position and, secondly, and most importantly, the longer term implication of what will happen to the level of indebtedness as a State and as a people of Western Australia. Those were the tests laid down by the Leader of the Opposition in 2002. I want to give the results. The graph I am holding up shows the results on the surplus test. It shows the five budget deficits out of eight that the previous Government ran. It also shows this Government’s surplus budgets. That means that test one has been passed. Test two is the question of debt. Members can see the debt to revenue ratio. Members can see that the level of absolute debt is the lowest on record. It is lower than it was when we were elected. We have passed with flying colours the two tests set by the Leader of the Opposition, but the Leader of the Opposition has a test to pass himself, which is a credibility test. Until he produces a comprehensive financial plan to back up his $1 billion worth of promises, he will be failing that credibility test.
Mr E.S. RIPPER replied: I thank the member for Southern River for that question. Every Labor member can now go to the next election and tell the people of Western Australia that this Government has delivered the lowest debt on record; that is, $4.2 billion. That is less than the figure that stood when the Government came to office; it is the lowest figure on record. Why is it low? It is low because when we had a revenue windfall, we paid off the debt of $481 million. We did that just last week. The Government paid off nearly $500 million of debt. It did not spend it on day-to-day things like the last Government did. I look forward to the editorial in The West Australian acknowledging the Government’s forward thinking on this matter. Dr G.I. Gallop: You will have a long wait. Mr E.S. RIPPER: I will not bet too much money on there being that editorial, but I still look forward to the chance of its maybe one day appearing. The Government has a self-imposed cap on the debt to revenue ratio of 47 per cent. We regard it as the point at which the AAA credit rating would be at risk, as it was in the dying days of the Court Government when the current Leader of the Opposition was a sometime but mostly absent member of the budget standing committee of the then Cabinet and did not care enough about the finances to turn up too often, as I understand it. This Government has that self-imposed cap. Every year it has got a tick from the ratings agencies. It got the tick again this year when both ratings agencies confirmed the AAA credit rating. The debt to revenue ratio is now 28 per cent, the lowest on record. In the May budget we forecast that debt at the end of this financial year would be $5.9 billion, which is well within reasonable limits. However, because we have had such a good result for the past financial year, we can expect that when the next review of debt is carried out, we will have a better result than that which we forecast in the 2004-05 budget. These results have not come at the expense of core services. If members compare this Government’s budget with the last budget of the Court era, this Government is spending $1.6 billion extra on the core areas of health, education, law and order, community services and disability services. For example, it is spending more than $800 million a year extra on health, more than $450 million a year extra on education and training, and nearly $160 million a year extra on the Police Service. The Leader of the Opposition has stopped interjecting. Dr G.I. Gallop: Nostradamus! Mr E.S. RIPPER: Yes. He also sometimes likes to set tests. Several members interjected. The SPEAKER: Order! Member for Kalgoorlie! Mr E.S. RIPPER: On 15 May 2002 the Leader of the Opposition said - I want to talk about the tests of the credibility of the budget itself. There are two ultimate tests: first, the deficit or surplus position and, secondly, and most importantly, the longer term implication of what will happen to the level of indebtedness as a State and as a people of Western Australia. Those were the tests laid down by the Leader of the Opposition in 2002. I want to give the results. The graph I am holding up shows the results on the surplus test. It shows the five budget deficits out of eight that the previous Government ran. It also shows this Government’s surplus budgets. That means that test one has been passed. Test two is the question of debt. Members can see the debt to revenue ratio. Members can see that the level of absolute debt is the lowest on record. It is lower than it was when we were elected. We have passed with flying colours the two tests set by the Leader of the Opposition, but the Leader of the Opposition has a test to pass himself, which is a credibility test. Until he produces a comprehensive financial plan to back up his $1 billion worth of promises, he will be failing that credibility test.
I thank the member for Southern River for that question. Every Labor member can now go to the next election and tell the people of Western Australia that this Government has delivered the lowest debt on record; that is, $4.2 billion. That is less than the figure that stood when the Government came to office; it is the lowest figure on record. Why is it low? It is low because when we had a revenue windfall, we paid off the debt of $481 million. We did that just last week. The Government paid off nearly $500 million of debt. It did not spend it on day-to-day things like the last Government did. I look forward to the editorial in The West Australian acknowledging the Government’s forward thinking on this matter. Dr G.I. Gallop: You will have a long wait. Mr E.S. RIPPER: I will not bet too much money on there being that editorial, but I still look forward to the chance of its maybe one day appearing. The Government has a self-imposed cap on the debt to revenue ratio of 47 per cent. We regard it as the point at which the AAA credit rating would be at risk, as it was in the dying days of the Court Government when the current Leader of the Opposition was a sometime but mostly absent member of the budget standing committee of the then Cabinet and did not care enough about the finances to turn up too often, as I understand it. This Government has that self-imposed cap. Every year it has got a tick from the ratings agencies. It got the tick again this year when both ratings agencies confirmed the AAA credit rating. The debt to revenue ratio is now 28 per cent, the lowest on record. In the May budget we forecast that debt at the end of this financial year would be $5.9 billion, which is well within reasonable limits. However, because we have had such a good result for the past financial year, we can expect that when the next review of debt is carried out, we will have a better result than that which we forecast in the 2004-05 budget. These results have not come at the expense of core services. If members compare this Government’s budget with the last budget of the Court era, this Government is spending $1.6 billion extra on the core areas of health, education, law and order, community services and disability services. For example, it is spending more than $800 million a year extra on health, more than $450 million a year extra on education and training, and nearly $160 million a year extra on the Police Service. The Leader of the Opposition has stopped interjecting. Dr G.I. Gallop: Nostradamus! Mr E.S. RIPPER: Yes. He also sometimes likes to set tests. Several members interjected. The SPEAKER: Order! Member for Kalgoorlie! Mr E.S. RIPPER: On 15 May 2002 the Leader of the Opposition said - I want to talk about the tests of the credibility of the budget itself. There are two ultimate tests: first, the deficit or surplus position and, secondly, and most importantly, the longer term implication of what will happen to the level of indebtedness as a State and as a people of Western Australia. Those were the tests laid down by the Leader of the Opposition in 2002. I want to give the results. The graph I am holding up shows the results on the surplus test. It shows the five budget deficits out of eight that the previous Government ran. It also shows this Government’s surplus budgets. That means that test one has been passed. Test two is the question of debt. Members can see the debt to revenue ratio. Members can see that the level of absolute debt is the lowest on record. It is lower than it was when we were elected. We have passed with flying colours the two tests set by the Leader of the Opposition, but the Leader of the Opposition has a test to pass himself, which is a credibility test. Until he produces a comprehensive financial plan to back up his $1 billion worth of promises, he will be failing that credibility test.
Dr G.I. Gallop: You will have a long wait. Mr E.S. RIPPER: I will not bet too much money on there being that editorial, but I still look forward to the chance of its maybe one day appearing. The Government has a self-imposed cap on the debt to revenue ratio of 47 per cent. We regard it as the point at which the AAA credit rating would be at risk, as it was in the dying days of the Court Government when the current Leader of the Opposition was a sometime but mostly absent member of the budget standing committee of the then Cabinet and did not care enough about the finances to turn up too often, as I understand it. This Government has that self-imposed cap. Every year it has got a tick from the ratings agencies. It got the tick again this year when both ratings agencies confirmed the AAA credit rating. The debt to revenue ratio is now 28 per cent, the lowest on record. In the May budget we forecast that debt at the end of this financial year would be $5.9 billion, which is well within reasonable limits. However, because we have had such a good result for the past financial year, we can expect that when the next review of debt is carried out, we will have a better result than that which we forecast in the 2004-05 budget. These results have not come at the expense of core services. If members compare this Government’s budget with the last budget of the Court era, this Government is spending $1.6 billion extra on the core areas of health, education, law and order, community services and disability services. For example, it is spending more than $800 million a year extra on health, more than $450 million a year extra on education and training, and nearly $160 million a year extra on the Police Service. The Leader of the Opposition has stopped interjecting. Dr G.I. Gallop: Nostradamus! Mr E.S. RIPPER: Yes. He also sometimes likes to set tests. Several members interjected. The SPEAKER: Order! Member for Kalgoorlie! Mr E.S. RIPPER: On 15 May 2002 the Leader of the Opposition said - I want to talk about the tests of the credibility of the budget itself. There are two ultimate tests: first, the deficit or surplus position and, secondly, and most importantly, the longer term implication of what will happen to the level of indebtedness as a State and as a people of Western Australia. Those were the tests laid down by the Leader of the Opposition in 2002. I want to give the results. The graph I am holding up shows the results on the surplus test. It shows the five budget deficits out of eight that the previous Government ran. It also shows this Government’s surplus budgets. That means that test one has been passed. Test two is the question of debt. Members can see the debt to revenue ratio. Members can see that the level of absolute debt is the lowest on record. It is lower than it was when we were elected. We have passed with flying colours the two tests set by the Leader of the Opposition, but the Leader of the Opposition has a test to pass himself, which is a credibility test. Until he produces a comprehensive financial plan to back up his $1 billion worth of promises, he will be failing that credibility test.
Mr E.S. RIPPER: I will not bet too much money on there being that editorial, but I still look forward to the chance of its maybe one day appearing. The Government has a self-imposed cap on the debt to revenue ratio of 47 per cent. We regard it as the point at which the AAA credit rating would be at risk, as it was in the dying days of the Court Government when the current Leader of the Opposition was a sometime but mostly absent member of the budget standing committee of the then Cabinet and did not care enough about the finances to turn up too often, as I understand it. This Government has that self-imposed cap. Every year it has got a tick from the ratings agencies. It got the tick again this year when both ratings agencies confirmed the AAA credit rating. The debt to revenue ratio is now 28 per cent, the lowest on record. In the May budget we forecast that debt at the end of this financial year would be $5.9 billion, which is well within reasonable limits. However, because we have had such a good result for the past financial year, we can expect that when the next review of debt is carried out, we will have a better result than that which we forecast in the 2004-05 budget. These results have not come at the expense of core services. If members compare this Government’s budget with the last budget of the Court era, this Government is spending $1.6 billion extra on the core areas of health, education, law and order, community services and disability services. For example, it is spending more than $800 million a year extra on health, more than $450 million a year extra on education and training, and nearly $160 million a year extra on the Police Service. The Leader of the Opposition has stopped interjecting. Dr G.I. Gallop: Nostradamus! Mr E.S. RIPPER: Yes. He also sometimes likes to set tests. Several members interjected. The SPEAKER: Order! Member for Kalgoorlie! Mr E.S. RIPPER: On 15 May 2002 the Leader of the Opposition said - I want to talk about the tests of the credibility of the budget itself. There are two ultimate tests: first, the deficit or surplus position and, secondly, and most importantly, the longer term implication of what will happen to the level of indebtedness as a State and as a people of Western Australia. Those were the tests laid down by the Leader of the Opposition in 2002. I want to give the results. The graph I am holding up shows the results on the surplus test. It shows the five budget deficits out of eight that the previous Government ran. It also shows this Government’s surplus budgets. That means that test one has been passed. Test two is the question of debt. Members can see the debt to revenue ratio. Members can see that the level of absolute debt is the lowest on record. It is lower than it was when we were elected. We have passed with flying colours the two tests set by the Leader of the Opposition, but the Leader of the Opposition has a test to pass himself, which is a credibility test. Until he produces a comprehensive financial plan to back up his $1 billion worth of promises, he will be failing that credibility test.
The Government has a self-imposed cap on the debt to revenue ratio of 47 per cent. We regard it as the point at which the AAA credit rating would be at risk, as it was in the dying days of the Court Government when the current Leader of the Opposition was a sometime but mostly absent member of the budget standing committee of the then Cabinet and did not care enough about the finances to turn up too often, as I understand it. This Government has that self-imposed cap. Every year it has got a tick from the ratings agencies. It got the tick again this year when both ratings agencies confirmed the AAA credit rating. The debt to revenue ratio is now 28 per cent, the lowest on record. In the May budget we forecast that debt at the end of this financial year would be $5.9 billion, which is well within reasonable limits. However, because we have had such a good result for the past financial year, we can expect that when the next review of debt is carried out, we will have a better result than that which we forecast in the 2004-05 budget. These results have not come at the expense of core services. If members compare this Government’s budget with the last budget of the Court era, this Government is spending $1.6 billion extra on the core areas of health, education, law and order, community services and disability services. For example, it is spending more than $800 million a year extra on health, more than $450 million a year extra on education and training, and nearly $160 million a year extra on the Police Service. The Leader of the Opposition has stopped interjecting. Dr G.I. Gallop: Nostradamus! Mr E.S. RIPPER: Yes. He also sometimes likes to set tests. Several members interjected. The SPEAKER: Order! Member for Kalgoorlie! Mr E.S. RIPPER: On 15 May 2002 the Leader of the Opposition said - I want to talk about the tests of the credibility of the budget itself. There are two ultimate tests: first, the deficit or surplus position and, secondly, and most importantly, the longer term implication of what will happen to the level of indebtedness as a State and as a people of Western Australia. Those were the tests laid down by the Leader of the Opposition in 2002. I want to give the results. The graph I am holding up shows the results on the surplus test. It shows the five budget deficits out of eight that the previous Government ran. It also shows this Government’s surplus budgets. That means that test one has been passed. Test two is the question of debt. Members can see the debt to revenue ratio. Members can see that the level of absolute debt is the lowest on record. It is lower than it was when we were elected. We have passed with flying colours the two tests set by the Leader of the Opposition, but the Leader of the Opposition has a test to pass himself, which is a credibility test. Until he produces a comprehensive financial plan to back up his $1 billion worth of promises, he will be failing that credibility test.
These results have not come at the expense of core services. If members compare this Government’s budget with the last budget of the Court era, this Government is spending $1.6 billion extra on the core areas of health, education, law and order, community services and disability services. For example, it is spending more than $800 million a year extra on health, more than $450 million a year extra on education and training, and nearly $160 million a year extra on the Police Service. The Leader of the Opposition has stopped interjecting. Dr G.I. Gallop: Nostradamus! Mr E.S. RIPPER: Yes. He also sometimes likes to set tests. Several members interjected. The SPEAKER: Order! Member for Kalgoorlie! Mr E.S. RIPPER: On 15 May 2002 the Leader of the Opposition said - I want to talk about the tests of the credibility of the budget itself. There are two ultimate tests: first, the deficit or surplus position and, secondly, and most importantly, the longer term implication of what will happen to the level of indebtedness as a State and as a people of Western Australia. Those were the tests laid down by the Leader of the Opposition in 2002. I want to give the results. The graph I am holding up shows the results on the surplus test. It shows the five budget deficits out of eight that the previous Government ran. It also shows this Government’s surplus budgets. That means that test one has been passed. Test two is the question of debt. Members can see the debt to revenue ratio. Members can see that the level of absolute debt is the lowest on record. It is lower than it was when we were elected. We have passed with flying colours the two tests set by the Leader of the Opposition, but the Leader of the Opposition has a test to pass himself, which is a credibility test. Until he produces a comprehensive financial plan to back up his $1 billion worth of promises, he will be failing that credibility test.
Dr G.I. Gallop: Nostradamus! Mr E.S. RIPPER: Yes. He also sometimes likes to set tests. Several members interjected. The SPEAKER: Order! Member for Kalgoorlie! Mr E.S. RIPPER: On 15 May 2002 the Leader of the Opposition said - I want to talk about the tests of the credibility of the budget itself. There are two ultimate tests: first, the deficit or surplus position and, secondly, and most importantly, the longer term implication of what will happen to the level of indebtedness as a State and as a people of Western Australia. Those were the tests laid down by the Leader of the Opposition in 2002. I want to give the results. The graph I am holding up shows the results on the surplus test. It shows the five budget deficits out of eight that the previous Government ran. It also shows this Government’s surplus budgets. That means that test one has been passed. Test two is the question of debt. Members can see the debt to revenue ratio. Members can see that the level of absolute debt is the lowest on record. It is lower than it was when we were elected. We have passed with flying colours the two tests set by the Leader of the Opposition, but the Leader of the Opposition has a test to pass himself, which is a credibility test. Until he produces a comprehensive financial plan to back up his $1 billion worth of promises, he will be failing that credibility test.
Mr E.S. RIPPER: Yes. He also sometimes likes to set tests. Several members interjected. The SPEAKER: Order! Member for Kalgoorlie! Mr E.S. RIPPER: On 15 May 2002 the Leader of the Opposition said - I want to talk about the tests of the credibility of the budget itself. There are two ultimate tests: first, the deficit or surplus position and, secondly, and most importantly, the longer term implication of what will happen to the level of indebtedness as a State and as a people of Western Australia. Those were the tests laid down by the Leader of the Opposition in 2002. I want to give the results. The graph I am holding up shows the results on the surplus test. It shows the five budget deficits out of eight that the previous Government ran. It also shows this Government’s surplus budgets. That means that test one has been passed. Test two is the question of debt. Members can see the debt to revenue ratio. Members can see that the level of absolute debt is the lowest on record. It is lower than it was when we were elected. We have passed with flying colours the two tests set by the Leader of the Opposition, but the Leader of the Opposition has a test to pass himself, which is a credibility test. Until he produces a comprehensive financial plan to back up his $1 billion worth of promises, he will be failing that credibility test.
Several members interjected. The SPEAKER: Order! Member for Kalgoorlie! Mr E.S. RIPPER: On 15 May 2002 the Leader of the Opposition said - I want to talk about the tests of the credibility of the budget itself. There are two ultimate tests: first, the deficit or surplus position and, secondly, and most importantly, the longer term implication of what will happen to the level of indebtedness as a State and as a people of Western Australia. Those were the tests laid down by the Leader of the Opposition in 2002. I want to give the results. The graph I am holding up shows the results on the surplus test. It shows the five budget deficits out of eight that the previous Government ran. It also shows this Government’s surplus budgets. That means that test one has been passed. Test two is the question of debt. Members can see the debt to revenue ratio. Members can see that the level of absolute debt is the lowest on record. It is lower than it was when we were elected. We have passed with flying colours the two tests set by the Leader of the Opposition, but the Leader of the Opposition has a test to pass himself, which is a credibility test. Until he produces a comprehensive financial plan to back up his $1 billion worth of promises, he will be failing that credibility test.
The SPEAKER: Order! Member for Kalgoorlie! Mr E.S. RIPPER: On 15 May 2002 the Leader of the Opposition said - I want to talk about the tests of the credibility of the budget itself. There are two ultimate tests: first, the deficit or surplus position and, secondly, and most importantly, the longer term implication of what will happen to the level of indebtedness as a State and as a people of Western Australia. Those were the tests laid down by the Leader of the Opposition in 2002. I want to give the results. The graph I am holding up shows the results on the surplus test. It shows the five budget deficits out of eight that the previous Government ran. It also shows this Government’s surplus budgets. That means that test one has been passed. Test two is the question of debt. Members can see the debt to revenue ratio. Members can see that the level of absolute debt is the lowest on record. It is lower than it was when we were elected. We have passed with flying colours the two tests set by the Leader of the Opposition, but the Leader of the Opposition has a test to pass himself, which is a credibility test. Until he produces a comprehensive financial plan to back up his $1 billion worth of promises, he will be failing that credibility test.
Mr E.S. RIPPER: On 15 May 2002 the Leader of the Opposition said - I want to talk about the tests of the credibility of the budget itself. There are two ultimate tests: first, the deficit or surplus position and, secondly, and most importantly, the longer term implication of what will happen to the level of indebtedness as a State and as a people of Western Australia. Those were the tests laid down by the Leader of the Opposition in 2002. I want to give the results. The graph I am holding up shows the results on the surplus test. It shows the five budget deficits out of eight that the previous Government ran. It also shows this Government’s surplus budgets. That means that test one has been passed. Test two is the question of debt. Members can see the debt to revenue ratio. Members can see that the level of absolute debt is the lowest on record. It is lower than it was when we were elected. We have passed with flying colours the two tests set by the Leader of the Opposition, but the Leader of the Opposition has a test to pass himself, which is a credibility test. Until he produces a comprehensive financial plan to back up his $1 billion worth of promises, he will be failing that credibility test.
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.