ALP says Poor State Final Demand Figures is LNP legacy

Treasurer Curtis Pitt

Labor says Queensland’s economy is still reeling from the mass sackings and poor economic management of the Newman Government following the release of State Final Demand figures today.

Treasurer Curtis Pitt says the fall in SFD was the biggest in nation over both the December Quarter and the year to December.

“The contraction in state final demand of 3.4% over the year to December is the worst result since the figures for September 2009,” says Mr Pitt.

“That was during the height of the Global Financial Crisis and compares with growth of 7.5% over the year to March quarter 2012 prior to the Newman Government coming to office.

“State final demand is a key measure of the domestic economy and reflects the level of domestic spending in our economy and there is clearly work to be done.

“Figures this low are the culmination of three years under the LNP which has impacted on confidence in the Queensland economy.

Mr Pitt said the figures also showed business investment fell 20.3% over the year to December with new engineering construction falling by a staggering 36.3% over the same period.

“The LNP inherited an economy with business investment growth of 31.7% over the year to March 2012, new engineering construction growth of 59.5% and private investment growth of 23.2%,” he says.

“The Palaszczuk Government is committed to restoring investor confidence and strengthening economic growth.

“There was some positive news in yesterday’s building approvals data showing a 2.6% increase in January and I’m hopeful growth can continue.

Labor says they are committed to growing the economy and job supporting policies including:

  • Skilling Queenslanders for Work employment programs to support 32,000 Queenslanders back into employment
  • Ready for Work to get young people ready for entering the jobs market, funded under Skilling Queenslanders for Work
  • $45 million in payroll tax rebates for employers taking on apprentices and trainees
  • the $40 million Business Development Fund to invest in joint ventures with start-up firms wanting to turn their bright ideas into new products and create jobs
  • Jobs Queensland – a round-table authority to advise on current and future skills demand and long-term workforce planning $40 million over four years
  • ensuring 10% of workers on major projects are apprentices and trainees
  • $100 million to protect the Great Barrier Reef and the $6 billion and 60,000 jobs it contributes to the Queensland economy
  • $50 million over three years to implement the Advance Queensland program to develop the jobs of tomorrow
  • $2 million for the Queensland Entrepreneurs of Tomorrow program to support education in computational science and business development and to support stay-at-home parents to develop home-based businesses
  • Locals First program to support local contractors and suppliers through government purchasing and tendering.

There is $9 billion worth of capital expenditure in the Mid Year Fiscal Economic Review and Labor says they remain committed to building this infrastructure.