Re-elected Liberal Treasurer Rob Lucas says this is his final term in State Parliament

TREASURER Rob Lucas says this will be his final term in State Parliament and he plans to spend it driving a dramatic change in economic policy, shifting from “picking winners” to market-based growth.

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TREASURER Rob Lucas says this will be his final term in State Parliament and he plans to spend it driving a dramatic change in economic policy, shifting from “picking winners” to market-based growth.

Mr Lucas, 64, is the only member of Premier Steven Marshall’s new Cabinet to have previously been a minister and was yesterday sworn into a role he held from 1997 to 2002. Mr Lucas told The Advertiser his career in State Parliament would end at the next election in 2022, after 39 years of service, when he expected there would be new blood to succeed him in the role.

Premier Steven Marshall, Deputy Premier Vickie Chapman and Treasurer Rob Lucas at Government House. Picture: Tricia Watkinson

Mr Lucas was sworn in beside Mr Marshall and Deputy Premier Vickie Chapman at Government House yesterday and spent the morning meeting with senior public servants.

He said priorities had included ordering an audit of industry grants made under Labor and getting the ball rolling on huge cuts to Emergency Service Levy bills to come into force from July.

Mr Lucas said his first Budget, which would focus on slashing land and payroll and other taxes, would likely be delayed to September.

“Part of our narrative is going to be less emphasis on picking winners,” he said. “It will be much more on reducing the costs of doing business so that small businesses in particular are nationally and internationally competitive.”

Mr Lucas said he would retain Under Treasurer David Reynolds, who served under Labor’s Tom Koutsantonis, as his top public service adviser.

He said there would be no slash-and-burn approach to finding savings, as the Liberals wanted to deliver a reform program over multiple terms.

“It’s taken 16 years to create the economic mess we have got. It will take more than four years to fix the problem,” Mr Lucas said. “We don’t intend to blow the place up.”

He said that meant accepting that the $15 billion debt projection accrued under Labor could not be rapidly cut, while committing to delivering balanced budgets in the future.

“We will commit to running surpluses. That is, not spending more than we earn,” Mr Lucas said. “Our first Budget year, in 2018-19, we are looking to produce what will likely be a small and razor-thin (surplus).

“It’s a very important discipline. “If you’re running your household budget or a small business, you are not going to survive if you keep spending more than you earn.

“If you are going to add to debt, it should only be for productive infrastructure.”

He said the public sector must be made more efficient, but there was no hard number on job cuts, and savings could be delivered without reducing employment numbers.

Mr Lucas said his gut reaction was that it would be very difficult to quickly regain the state’s AAA credit rating, prized by ex-treasurer Kevin Foley and lost under former premier Jay Weatherill’s watch.

Treasurer Rob Lucas delivers the State Budget in 1998, in his previous run in the role.

“It is a desirable goal but given what we have inherited and are likely to see when the true state of the finances are revealed, it will be hard,” he said.

“I’m fully expecting that there have been many things hidden and the state of the finances are much less rosy than they have been portrayed.”

Mr Lucas said the state was well positioned for growth and the impact of new spending on submarine and shipbuilding, as well as rollout of the National Disability Insurance Scheme, offered great opportunity.

“The billions that are going to be spent in defence, if we get our training right ... is huge,” Mr Lucas said. “It will be an absolute travesty if we have to get visa workers coming from overseas when there is no earthly reason why we shouldn’t be training our own.”

Mr Lucas’ eight-year Upper House term ends at the next election.

Mr Lucas’ eight-year Upper House term ends at the next election.

“I was very keen to be part of the government before leaving,” he said. “The notion of having spent your last years in Parliament in Opposition was dispiriting and soul-destroying. “If you live long enough, you’ll eventually win one.

“I’m the last living relic from the last administration and desperately keen to provide advice and mentorship where it’s possible but also do some of the things I want done in the portfolio as well.

“I’ve indicated to Steven (Marshall) I’ll serve at his pleasure for the four-year period, health willing of course.”