- Cook Labor Government delivers eighth
consecutive operating surplus for the 2025‑26 financial year
- Stronger surplus delivering boost for Building
Hospitals Fund and real cost-of-living support for Western Australian families
- $12.3 billion in infrastructure investment
delivered in 2025‑26 including hospitals, housing and critical economic
infrastructure
- Total public sector net debt $1.1 billion lower
than expected in the 2026‑27 Budget
- WA remains the only State or Territory with a
triple-A credit rating from both Moody's Ratings and S&P Global
The Cook Labor Government's
strong financial management has again been confirmed in the 2025‑26 Annual
Report on State Finances (ARSF), with the government's eighth consecutive
surplus delivering an additional $1.4 billion boost for the State's Building
Hospitals Fund.
The final operating
surplus of $4.2 billion in 2025‑26 was higher than forecast in the 2026‑27 Budget,
due to lower than forecast expense growth at 5.5 per cent (compared to 6.7 per
cent forecast at Budget), mainly attributable to timing changes in grants and
contract payments.
Between 2017-18 and
2024-25, Western Australia recorded the lowest expenditure growth per capita in
the country reflecting the government's record of disciplined financial
management.
The stronger than
forecast operating surplus has enabled a $1.4 billion boost to be
allocated to the Building Hospitals Fund since the Budget in May.
This brings the total
investment through the Fund to $3.4 billion over the next four years to help deliver
priority projects including the new Royal Perth Emergency Department and the
new Mandurah Hospital, which are both under construction.
Operating surpluses are helping
to fund the State's record infrastructure program, with more than two thirds of
the $12.3 billion invested in infrastructure in 2025‑26 invested into
economic infrastructure to support WA's growing economy, including power, water,
roads and ports.
A further $4 billion was
invested in social infrastructure including hospitals, schools and housing to
support Western Australian families.
The Cook Labor
Government's strong financial management also enables the delivery of real and
targeted cost-of-living support including the Fuel Support Payment and the
third round of the WA Student Assistance Payment.
More than $109 million in
cost-of-living support has been delivered to Western Australian households
through the Fuel Support Payment to date, with an additional $731,000 nominated
to be donated to charity.
Additionally, more than
$80 million has been paid to more than 420,000 students through the WA Student
Assistance Payment - highlighting the Cook Labor Government's commitment to delivering
real cost-of-living support to WA families.
Total public sector net
debt was $1.1 billion lower than projected in the 2026‑27 Budget at $33.4 billion,
and $5.6 billion lower than projected in the original 2025‑26 Budget.
This is also still more
than $10 billion lower than the forecast level of net debt under the previous
Liberal-National Government.
Net debt to GSP was the
worst in the nation under the previous Liberal-National Government and was
expected to reach 15.3 per cent. It has since halved to just 6.9 per cent in
2025‑26, which is the lowest level in the nation.
Western Australia
remains the only State or Territory with triple‑A credit rating with 'stable'
outlook from both Moody's Ratings and S&P Global.
The 2025‑26 ARSF is
available from the Department of Treasury and Finance website at: Department of
Treasury and Finance (www.wa.gov.au).
Comments attributed to Treasurer Rita
Saffioti:
"The Cook Labor Government is
proud to have delivered Western Australia's eighth consecutive operating
surplus last financial year, through our continued focus on disciplined
financial management.
"Since coming to government, WA
Labor has halved net debt relative to the size of our economy, and Western
Australia now has the lowest debt levels in the nation.
"We're using our strong financial
position to support Western Australian families, including delivering record
investments in our health system and hospitals, housing and cost-of-living relief,
as well as the infrastructure our growing communities need for the future.
"We're also delivering
massive investments in economic infrastructure to grow our nation-leading
industries and generate local jobs so our State can continue to power the
national economy."
