Treasurer Jim Chalmers has confirmed a Budget surplus of $15.8 billion for the 2023-24 fiscal year, exceeding May's forecast by $6 billion. This marks the first consecutive surplus in 15 years, credited to lower government spending.
“We’re the first government to deliver back-to-back surpluses in nearly two decades. This second straight surplus is proof of our responsible economic management,” Chalmers said in a statement.
“A substantial portion of the improvement since May is due to lower spending on demand-driven programs,” Chalmers explained. “We will provide further details as we release all the figures today.”
The treasurer also noted that this marks the first time in nearly two decades that the federal budget has delivered consecutive surpluses. "In dollar terms, this is the biggest budget improvement ever seen in a single parliamentary term,” Chalmers said, stressing that without strict spending controls, the surpluses would not have been achieved.
Chalmers reiterated the Government's position to reporters at a press conference afterwards: “These are the first consecutive surpluses in almost two decades. In our first year, a $22bn surplus, which was a $100bn turnaround. In our second year, a $15.8bn surplus, which is a $72bn turnaround. That $172bn turnaround in just two years is the biggest nominal improvement in the budget in a Parliamentary term ever.”
Despite the Budget improvement, Australia's gross debt has reached a record $933.1 billion, though this remains lower than the $1.1 trillion forecast under former Treasurer Josh Frydenberg.
Labor also faces challenges in Queensland, where political analysts predict a significant swing against the party in the upcoming October state election.