Canberra Liberals Leader and Shadow Treasurer Elizabeth Lee is calling for an independent budget audit of the Territory’s finances, to be completed by the end of the 2022 calendar year.

The call comes as the ACT’s net debt has grown from a good position of negative $736 million in 2011 to $5.36 billion in 2022 and is forecast to be more than $9 billion by 2024-25.

Ms Lee said under the current Treasurer the ACT government has posted a budget deficit every year since 2012-13, despite repeatedly promising to return the budget to surplus.

“The rate of growth in net debt is unsustainable as the ACT must continue to borrow more to fund future liabilities,” Ms Lee said.

“The Treasurer’s mismanagement of the Territory’s finances will impose enormous costs on the future generations of Canberrans.

“With net debt forecast to rise to $9 billion by 2024-25, it is incumbent on the Labor-Greens government to be open and transparent with Canberrans about the true state of the Territory’s finances; and have a proper plan to bring the budget back into a manageable position.

“A thorough, truly independent budget audit will give the community an opportunity to have clarity and transparency about how the government will bring the budget back into the black.”

Ms Lee will put forward a motion in the Legislative Assembly tomorrow that outlines the terms of reference for the audit that will not only examine the Territory’s debt position but also present recommendations to improve the accuracy of the governments financial reporting.

“This government is very good at pulling the wool over the eyes of Canberrans in how they deliver the budget each year, which includes changing output classes, line items and reporting periods, which makes any review of the budget akin to comparing apples to oranges.

“The Labor-Greens government has been in power for over 20 years and with debt spiralling out of control it is time for a proper independent analysis of our finances that will also provide recommendations to return to surplus.

“My real concern, however, is that despite this large debt, our health system is in crisis, our schools are crumbling and bursting at the seams and the state of our roads, footpaths and basic city services are not befitting of the nation’s capital.

“This government has also neglected those most vulnerable in our community when it comes to public housing and despite paying eyewatering rates, Canberrans are not getting what they deserve in government services.

“Despite the constant excuses coming from the Chief Minister, the ACT went into the COVID pandemic in the worst financial position of any state or territory, and it must be addressed. It is especially prudent now to undertake this comprehensive audit in a new covid recovery world; and as our community faces incredible challenges with sharp increases in cost of living,” Ms Lee concluded.

Other states and territories have adopted similar approaches over the years including NSW who undertook a commission of audit in 2012 as did Queensland in 2011. Victoria completed an independent review of state finances in 2011 and the Northern Territory prepared a budget repair plan in 2019.