At the centre of our challenges we face in this year’s Budget is the huge hit to government revenues we’ve taken since the global financial crisis.
Over the past 5 Budgets and the recent mid-year review we’ve put in place more than $150 billion in saves, many targeted at addressing the structural challenges in the budget.
So what is the net effect of all that? The underlying cash balance – showing the expected $20 billion deficit for this year instead of the $1 billion surplus reported in the MYEFO. (The data in the two graphs above show the original, now discredited, data from the last MYEFO).
(HT: Inspiration from kingsley)