Mid Year Fiscal and Economic Review

The Mid Year Fiscal and Economic Review provides a mid-year update on the fiscal and economic outlook for Queensland based on assessments prepared by Treasury. The report contains forecasts on economic parameters and revised operating statements, balance sheets and cash flow statements.

Released by Treasurer Andrew Fraser on 14 December, this report revises fiscal estimates for the current Budget year and the three successive years.

The report details:

• an economic growth rate which is ahead of the national forecast
• expected growth in private and public sector investment
• a strengthening in export growth
• an unemployment rate remaining at a generational low of 4%
• future capital works expenditure
• a budget surplus.

To find out more, access the Mid Year Fiscal and Economic Review from our website and view the Treasurer's media statement.

Queensland reforms its pay-roll tax system

The State Government will implement a significant reform package to cut red tape for business by 'harmonising' Queensland's pay-roll tax system with those of New South Wales and Victoria, effective 1 July 2008.

Announced by Treasurer Andrew Fraser on 14 December, the package will not affect Queensland's pay-roll tax rate of 4.75 per cent, and the threshold will remain unchanged at $1,000,000.

Key aspects of Queensland's harmonisation package include:

• Reducing pay-roll tax liability for Queensland business through increased motor vehicle and accommodation allowances
• Aligning Queensland's grouping provisions, contractor provisions, employment agent provisions and employee share schemes with Victoria and New South Wales
• Reducing pay-roll tax liability through a number of new exemptions including maternity and adoption leave, and wages paid to volunteer firefighters and emergency services workers.

Legislative changes to support the harmonisation package will be introduced to Parliament early next year.

To find out more, access payroll-tax harmonisation initiative information on the OSR website and view the Treasurer's media statement.

The Queensland Fuel Subsidy Commission of Inquiry Report

The Queensland Fuel Subsidy Commission of Inquiry Report was delivered by the Commission on 21 November 2007.

The Commission was established on 23 August 2007 to investigate aspects of the State Government's fuel subsidy.

As a result of the conclusions reached by the Queensland Treasury Fuel Task Force, the inquiry's task was to investigate why the full 8.3 cents per litre subsidy was not being passed onto motorists.

The Commission of Inquiry was conducted by the former judge of the Queensland Court of Appeal and of the Federal Court, Hon. Bill Pincus QC.

Report on State Finances 2006-07

The Report on State Finances, incorporating the Outcomes Report and Consolidated Financial Statements, provides a comprehensive analysis of Queensland Government finances for the 2006-07 financial year.

Tabled in State Parliament by Treasurer Andrew Fraser on 31 October, the report confirms a final Budget surplus of $1.86 billion for 2006-07.

The report also details:

• The General Government sector's capital expenditure totalled $4.418 billion, exceeding forecasts by $281 million. Funding this expenditure did not require new borrowings.
• Queensland taxes remain very competitive with tax as a proportion of the economy at 4.06%, compared to 4.70% for the rest of Australia.
• Queensland's General Government net worth increased to $117.831 billion in 2006-07, $3.365 billion higher than the forecast.

To find out more, access the Report on State Finances from our website and view the Treasurer's Ministerial media statement.

2006-07 Treasury Annual Report now available

Treasury's 2006-07 annual report was tabled in the Queensland Parliament on 1 November 2007.

Our annual report details the department's financial and non-financial performance and forms an integral part of our corporate governance framework. It partners our  Ministerial Portfolio Statement and links with the corporate plan and the Queensland Government's priorities and outcomes.

More importantly, it's the main tool we use to remain accountable to the Queensland Parliament and the people of Queensland about our activities.

Some of our key performance achievements for the 2006-07 year include:

• developing the 2007-08 State Budget and monitoring and reviewing the 2006-07 State Budget
• establishing the $3.1 billion Queensland Future Growth Fund to finance critical infrastructure and Smart State projects
• providing community benefit fund grants totalling $39.9 million to more than 2,300 community projects.  

The Queensland Treasury Annual Report 2006-07 is available on our website. Alternatively, you can obtain a hard copy by contacting the Marketing and Communication Unit on (07) 3224 7351.

Queensland's economy continues to go from strength to strength

The 2006-07 Annual Economic Report shows that economic growth in the State accelerated to an eight-year high of 6.8% in 2006-07, representing the eleventh consecutive year Queensland has recorded higher economic growth than that of the rest of Australia (2.5%).

Employment in Queensland rose by more than 92,000 persons, representing over one-third of jobs created nationally. This reduced Queensland's unemployment rate to a 33-year low of 4.0% in 2006-07.

Commissioner to investigate fuel prices

The Queensland Government has announced an inquiry will be conducted to determine why Queensland motorists appear to be missing out on part of the fuel subsidy. The Premier Peter Beattie and Deputy Premier and Treasurer Anna Bligh announced former Federal Court judge Bill Pincus QC will head the inquiry, which will report back by November.

In addition, Queensland Treasury has made a submission to the ACCC Inquiry into the Price of Unleaded Petrol.

2007-08 State Budget

The Queensland Government handed down its State Budget on Tuesday, 5 June 2007.

Key priorities of the 2007-08 Budget include ensuring water availability for the future, providing improved health care and strengthened community services, and continuing the strong economic growth which underpins our State's prosperity.

Investment in Queensland's capital works program will also increase and is set to top $14 billion for the first time, making it the country's biggest capital works program per capita.

Visit the State Budget 2007-08 website for more information.

Career opportunities with Treasury GRADStart

Want to work in Queensland's lead economic and finance agency with some of the best professionals in the business?

Applications for the July 2007 or February 2008 Treasury GRADStart program are now open and close on Friday 20 April 2007. Applications are also being accepted for the Winter 2007 Work Experience Program.

Treasury's graduate program has consistently been one of the major talent attraction strategies for the department. Managers from right across the portfolio take advantage of the program to ensure skilled workers are on board to address their workforce needs.

In 2007, Treasury appointed 20 graduates across disciplines such as economics, commerce, law, finance, business, justice and science (mathematics). 

With so much to gain, why not take a look at our Treasury GRADStart information and apply to become a part of the Queensland Treasury team?

2006-07 Mid Year Fiscal and Economic Review is good news for Queensland

The Queensland Government's 2006-07 Mid Year Fiscal and Economic Review, released on 10 January 2007, predicts an even stronger economic outlook for Queensland.

The Review shows Queensland's economic outlook in 2006-07 is stronger than forecast in the State Budget (June) with a revised growth of 4.75 percent, compared with the forecast of 4.25 percent. The higher economic growth is being driven by faster growth in investment and exports, and is considerably higher than the national growth forecast of 2.5 percent.

Employment is estimated to rise by 3.5 percent this financial year - up from the 2.5 percent growth forecast at State Budget time. The unemployment rate is also declining, with estimates now at 4.5 percent - the lowest year-average rate for Queensland in 32 years.

The State Government's record capital works budget has climbed even higher with $11.6 billion in 2006-07 now being invested in water, and hospital infrastructure under the More Beds for Queensland Strategy.

Even with this increased spending, the State Government is expected to remain in a sound fiscal position for the foreseeable future.