Western Australian is forecast to deliver a multibillion-dollar budget surplus after years of economic uncertainty underscored by the pandemic and interest rate rises.
Treasurer Rita Saffioti announced the state was on track for a $3.7 billion surplus, up from $3.3 billion projected in May.
The main reason for the boom is China’s insatiable demand for iron ore, with prices that continue to defy Treasury forecasts.
In the mid-year budget update, the treasurer revealed the state has the nation’s strongest domestic economic growth at 4.5 per cent and a record 1.5 million Western Australians in jobs.
“Our economy is very strong and very resilient,” Saffioti said.
Despite the record surplus, the government has not pledged any extra support for households struggling with the cost of living.
Anglicare said the number of people asking for financial help has doubled since 2022, and it expects the number to keep rising.
“We saw more than 1700 people seeking financial assistance to pay for food and rent, that’s 52 per cent more than the same period last year,” Anglicare chief executive Mark Glasson said.
The government said major cost of living announcements were usually left to the official budget, rather than the mid-year update.
“I understand families in Western Australia face many challenges especially as we approach Christmas,” Saffioti said.
The opposition said it was a missed opportunity for the government to help people out before the end of the year.
“There’s a massive opportunity for this government to invest in the cost of living, the biggest issue that we’re facing today, but they’re not doing that,” Liberal deputy leader Steve Thomas said.
From today’s surplus, $700 million was set aside for rail government agency Metronet, while $2.8 billion has been allocated for negotiating with unions over the next four years.
