Tasmania's Education Department has revealed the state's post-year 10 retention rates remain among the worst in the country.

The department's annual report shows 73 per cent of students continued beyond year 10 last year, an increase of 10 per cent on the previous year's figure.

However the department wants to achieve a 90 per cent retention rate by 2015.

Education Minister Nick McKim says the Government will continue to invest to boost retention rates despite the tight budget position.

"We're setting very high goals for ourselves and we're very pleased that we are improving post-year 10 retention but we still acknowledge there's a long way to go to get to the very high goals that we're setting ourselves in this area."