2025/26 Tasmanian State Budget initial analysis

Today’s Budget fell short on the Government’s promise to ‘deliver on the things that matter to Tasmanians.’

TasCOSS CEO, Ms Adrienne Picone, said Tasmanians tell us the things that matter most are a safe and affordable place to call home, the ability to put food on the table, and paying for energy and health care.

“We’re concerned the Government has lost sight of the real issues that matter most to Tasmanians, with billions of dollars spent on hard infrastructure and significant financial capital consumed by cost blowouts and planning mistakes that could have been avoided,” Ms Picone said.

“A new stadium won’t help Tasmanians living on low incomes feed their family and get their foot into the housing market. 

“This Budget spends more than $2 billion on servicing government debt. This is money that could have been used to build 5,000 social and affordable homes, thereby providing housing for everybody on the social housing waitlist.

“We’re also concerned the level of debt we’re taking on to fund infrastructure projects is severely impacting the funding available to deliver essential services to Tasmanians, with service providers already reporting increased presentations and requests for help. 

“We are aware of many community services organisations who will be cutting hours, cutting staff, changing services delivery, and most concerning, cutting services completely. And sadly, this is just the tip of the iceberg of the crisis in community services that we see on the horizon.

“There are some welcome announcements in the Budget, notably the removal of the Working with Vulnerable People Card registration fees for the next two years, and a goal to achieve 100% literacy at the forefront of our educational focus.”

Ms Picone said she was pleased to see the Government recognise the industry’s contribution by committing to five year funding agreements for community service organisations, but called for it to be accompanied by a clear timeline for implementation and an indexation formula that reflects the real costs of doing business and the increasing level of need in the community.

“These measures are the start, not the finish, to funding the true cost of delivering essential services to Tasmanians,” she said.

“By investing in our people — in our social infrastructure — we build resilient communities with strong relationships and strong systems.”