A statement on further leaked GST figures

Leaked Productivity Commission recommendations for changing the GST formula are most concerning for Tasmania and Tasmanians.

Australia is supposed to be a Commonwealth of states and territories that shares both its wealth and misfortunes. If these changes to the GST go through, then Australia will be no better than a Commonwealth of greedy mainlanders.

If the Prime Minister and Treasurer adopt these recommendations, then they will be well and truly hanging Tasmania out to dry in order to hand billions to New South Wales and Western Australia. Even though the Government has apparently ruled out one of the proposed models, the other will still see Tasmania lose $814m over eight years which will take an enormous toll on the State’s budget.

Any additional top-up payments will not fix the situation because they are at the whim of the government of the day and can just as easily run out or be taken away.

I call again on the Government to not accept these recommendations and to abandon any changes to the GST formula that would disadvantage Tasmania.