CommSec State of the States Report October 2023: Tasmania’s slide from first to sixth

A new report has seen Tasmania slide from first to sixth among Commonwealth jurisdictions, leading to a predictable war of words between two major parties. The report’s key insights revealed.

Labor MP Shane Broad speaks to the media on Parliament Lawns in Hobart on Wednesday, September 6, 2023.

Tasmania’s slide from first to sixth in the latest quarterly CommSec State of the States report has been seized upon by the Labor opposition as evidence the Liberal state government is running out of steam after almost a decade in power.

However, the ambivalent October 2023 figures were not cause for alarm, the state government said, as Tasmania has led in 12 of the last 15 reports. CommSec also noted in its latest report, released on Monday, that in reality there was “little to separate the top six economies”.

CommSec identified Tasmania’s nosediving population growth and sluggish economic growth as two of the chief causes for concern.

According to the report, Tasmania’s population growth, which it ranked last on across the states and territories, is its “weakest in around seven years”.

CommSec State of the States Report, October 2023, Tasmania. Picture: CommSec

In the 12 months to March 2023, the population grew by just 0.42 per cent, with the next softest growth the Northern Territory’s, on 0.85 per cent. Western Australia’s population grew by 2.82 per cent across the same period.

Economically, Tasmania’s activity in fact contracted by 0.7 per cent in the 12 months to June 2023, although the state’s economic activity is still up by 2.9 per cent on the four-year average.

Tasmania’s jobs market ranked only ahead of the NT and ACT, although unemployment in the state remained down 25.7 per cent on its 10-year average, reflecting historically low levels of unemployment right across Australia.

CommSec State of the States Report, October 2023, Tasmania. Picture: CommSec

Tasmania continues to lead the federation on two of the report’s eight economic indicators: equipment investment (i.e. capital investment) and new dwelling starts, with Tasmania now the only jurisdiction that is starting more dwellings than its average for the previous decade.

Labor’s shadow treasurer, Shane Broad, said the “wheels are falling off the Tasmanian economy, just like they are falling off the government in charge of managing it”.

CommSec State of the States Report, October 2023, Tasmania. Picture: CommSec

“The CommSec report shows Tasmania was the only state to record a negative annual growth rate, which at -0.7 per cent is well behind the national average of 3.3 per cent,” he said.

“Tasmania also had the weakest job market of any state, with the slowest job growth.

“The report also shows that people are voting with their feet about the state of the economy.”

Deputy Premier and Treasurer Michael Ferguson said that Tasmania’s overall trend continued to be upwards.

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“Unlike every other jurisdiction, Tasmania has improved on all 8 performance indicators in CommSec’s State of the States report since we came into government in 2014, taking over from the disastrous Labor-Greens omnishambles, which was repeatedly ranked dead last by CommSec,” he said.

Deputy Premier Michael Ferguson at Derwent Park. Picture: Chris Kidd

“This report comes off the back of recent ABS data that confirmed more than 54,900 jobs have been created for Tasmanians under this Liberal government since we came to office in 2014, including more than 4,200 in the past year alone.

“Tasmania has also seen the highest ever number of women employed, at 140,900.

“The latest ABS data shows that employment in Tasmania is at a record high of 290,000 employed.

“The unemployment rate has maintained historically low levels for months, with a current recorded unemployment rate of 4.4 per cent, half of that under the disastrous former Labor-Greens government.”

Originally published as CommSec State of the States Report October 2023: Tasmania’s slide from first to sixth