Katy Gallagher is celebrating a dramatic improvement in the Territory’s finances thanks to the runaway housing market.
“The Budget Review shows an improvement of $78.1 million in the Government’s estimated Headline Net Operating Balance and forecasts a budget deficit of $5.8 million for 2010-11,” Ms Gallagher said.
“The improvement to the 2010-11 GGS Net Operating Balance from the $83.9million deficit estimated at the time of the originalBudget is primarily due to a one-off revenue return received in 2010â€‘11 from a large tax assessment relating to prior years.”
The Treasurer said the improvements to the Budget outlook across the forward estimates were due to a range of factors including:
§ better than expected economic activity, leading to improved estimates for conveyance revenue;
§ a recovery in the financial markets providing a positive impact on investment returns;
§ increases in other own source revenues largely resulting from increased regulatory activity and economic growth;
§ increasing interest rates improving earnings on cash and investment balances; and
§ higher than forecast dividends and income tax equivalents arising from a reassessment of the land release program.