MATT KEAN NEEDS TO EXPLAIN HOW HE WILL STOP DEBT AND DEFICIT SPIRAL
-KEAN’S BUDGET BLOW OUT MEANS MORE DEBT & PRIVATISATION
NSW Labor is calling on Matt Kean explain how he will pay for his debt and deficit surge revealed by the pre-election budget papers yesterday, after he again touted the sale of the state’s energy assets. The only way Matt Kean and the Liberals can stop a debt and deficit spiral will be to privatise assets – like Sydney Water or Essential Energy.
Under the NSW Liberals, debt will have surged by 832 per cent – from $22.5 billion in 2011 to $187.5 billion in 2025-26.
In just 30 days since Kean handed down the Half Yearly Review, NSW Treasury figures confirmed the NSW Budget deficit has blown out to $7.1 billion in 2023-24 – with interest payments surging by an additional $1 billion every single year in 2025-26 to over $7 billion.
The deficit will only be exacerbated by the Liberal’s $50 billion of unfunded infrastructure promises, including projects like Warragamba Dam and the Northern beaches link.
Payments on the $50 billion could see the interest bill go from $7 billion to $9.2 billion a year, almost half what it takes to fund our education system and well past what it takes to fund our police.
The only way Matt Kean and the Liberals can stop a debt and deficit spiral will be to privatise assets – like Sydney Water or Essential Energy.
If Matt Kean sells Sydney Water, household water bills could surge by $264 each year – or 59 per cent – according to modelling by the Centre for Future Work at the Australia Institute show.
And yesterday, Matt Kean doubled down on the sale of the state’s electricity assets, sparking fears Essential Energy could be next.
Only Labor has a fresh start plan which will prioritise – frontline services and infrastructure, and we will do it without privatising Sydney Water or any other essential assets – because there will be more privatisation under Labour.
Quotes attributable to Daniel Mookhey, NSW Shadow Treasurer:
“Matt Kean must be upfront with the people of NSW and explain how he will stop a debt and deficit spiral happening in NSW.
“Privatising assets like Sydney water is the only way the Liberals can get the budget back under control and plug their $50 billion blackhole.
“Under Dominic Perrottet and Matt Kean, taxes, tolls, fees, fines and charges are all up – and at the end of the day it’s the people of NSW who pay.”
FRIDAY, 10 MARCH 2023