December 20 2018 Mid-year review highlights households are doing it tough Today’s mid-year review reveals a surplus courtesy of the GST and iron ore royalty windfalls, but highlights an economy struggling under the policies of the McGowan Government. Opposition Leader Mike Nahan said while the budget was recovering from the windfall gains, the main measure of the Government’s performance – Western Australia’s economy – was in decline. “The numbers in today’s mid-year review shows the economy has slipped back in to recession with the state’s economy receding at a rate twice that was forecast in the state budget six months ago,” Dr Nahan said. “Today’s numbers mask the fact that households are much worse off and struggling under the McGowan Government. “Household consumption has fallen from 2.25% to 1.5%, following the Government’s $700 per year hit to fees and charges, with further increases to hit household budgets next year. “The mid-year review shows the McGowan Government’s policies have smashed the housing sector, with dwelling investments falling from a forecast 4.5% increase in the state budget to -4.0% in the mid-year review. “Labor’s changes to the First Home Owners Grant, increases to the cost of living and the foreign investor surcharge are responsible for the massive collapse in dwelling investment, which has seen a $970 million write down in property transfers. “It is little wonder our unemployment rate has increased from 5.7% to 6.5%, the highest in the nation, when jobs are disappearing in housing construction and household consumption is falling.” Dr Nahan said the mid-year review also shows:
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