Property prices, GST boost state budgets by $7b
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State government budgets are a collective $7 billion better than expected as rapidly recovering housing markets and consumer spending lift goods and services tax and stamp duty collections run ahead of forecasts.
Federal estimates of GST collections are already $5.9 billion ahead of where they were forecast to be just three months ago, while stamp duty estimates have improved in every state by more than a combined $1.5 billion compared to past figures.
Consumers are feeling wealthier and spending more.Â
Justin McManus
The improved budget positions reopen the debate around fiscal discipline, the need to reduce debt and spending and peg back lost credit ratings.