After inheriting a debt-free State Budget, the Liberal government is set to drive Tasmania's debt to record levels at a time of rising interest rates.
Yesterday's interest rate rise by the RBA wasn't just bad news for households - it means the interest bill on the Liberals' debt will be higher too.
The State Budget shows Tasmania will spend $600 million on borrowing costs, breaking the government's own limits outlined in its fiscal strategy.
The Budget also states that "to the extent that interest rates rise more rapidly than expected, over time, debt servicing costs may increase above amounts currently forecast and adversely impact key fiscal measures".
Net debt is already $1.3 billion with almost nothing to show for it - our hospitals are in crisis, our education results are going backwards and a record number of Tasmanians are waiting a record amount of time for housing.
If interest rates are one per cent higher than expected, this will cost $41 million by 2025-26.
This is no time for more reckless spending - and spending $750 million on a new stadium with no business case, is completely reckless.
The Liberals are happy to once again leave Labor to fix their budget mess, but it is Tasmanians who will be paying the price for years to come.
Shane Broad MP
Shadow Treasurer
