- Net debt decreased by $807 million to $28.4 billion in the first half of 2022-23, the lowest level since 2014-15
- General government operating surplus of $2.5 billion for the first six months of the year, down $2.3 billion from the same period last year
- Revenue down $455 million relative to last year, and expenses up $1.8 billion, mainly reflecting higher spending on wages, health and the $400 Household Electricity Credit
- Infrastructure investment $686 million higher than last year, a more than 20 per cent increase
The December 2022 Quarterly Financial Results Report released today highlights the McGowan Government's ongoing responsible financial management and continued strong infrastructure investment, supporting the future of our State.
The report showed that total public sector net debt declined by $807 million in the first half of the 2022-23 financial year. Net debt is now $15.3 billion lower than projected when the McGowan Government came to office.
The general government sector recorded an operating surplus of $2.5 billion for the six months to 31 December 2022, down $2.3 billion lower than for the same period in 2021-22*.
General government revenue for the first six months of 2022-23 was lower than the same period last year, mainly driven by the combined impact of lower royalty income (down $560 million), higher taxation collections (up $503 million), and lower dividends from public corporations (down $437 million).
General government expenditure was $1.8 billion higher than the same period last year. This increase was largely due to higher salary payments due to the roll out of the State Government's Wages Policy, greater spending on the health system, and the $400 Household Electricity Credit announced as part of the 2022-23 Budget.
Infrastructure investment of $4 billion during the six months to 31 December 2022 was $686 million or 20.8 per cent higher than the same period in 2021-22. The higher infrastructure spending was mainly driven by an increase in spending on METRONET projects, community housing and health infrastructure.
The December 2022 Quarterly Financial Results Report is available from the Department of Treasury website at: www.wa.gov.au/organisation/department-of-treasury.
*Note that quarterly outcomes are impacted by timing factors such as grant revenue from the Commonwealth and expenditure, which can be volatile.
Comments attributed to Premier Mark McGowan:
"The December quarter 2022 report shows another strong financial result for the first half of the 2022-23 financial year, with net debt now more than $15 billion lower than projected when we came to office.
"In our first five years in office, lower debt levels have saved Western Australians more than $3.6 billion in wasteful interest payments, shielding the State from the impact of rising global interest rates.
"We continue to use our financial capacity responsibly to deliver better services including health and education, providing cost of living relief to Western Australian families, and better pay and conditions for our public sector workers, with around three quarters of the sector having accepted our wages offer.
"At the same time, we continue to set the State up for the future by diversifying our economy and investing in infrastructure across our State to support a long pipeline of work and job opportunities, while maintaining financial capacity to respond to challenges as they emerge."
Minister's office - 6552 5000