Get all your news in one place.
100’s of premium titles.
One app.
Start reading
ABC News
ABC News
National

Tasmanian minister Nic Street apologises to community services over lack of money in budget

  • In short: Government minister says state budget failed to meet the needs of state’s community service organisations, including those in homelessness, disability, youth
  • What's next? Minister Nic Street says he will sit down with organisations over coming 12 months to make sure they get a better outcome next time

The minister responsible for Tasmania's community services sector — which includes mental health, disability and homelessness organisations — has apologised to the peak body for last week's state budget, which he described as "inadequate".

The sector has foreshadowed cuts to jobs and services for the state's most vulnerable groups after its ongoing funding needs were not met.

Community Services Minister Nic Street told a briefing with the Tasmanian Council of Social Service (TasCOSS) that he was also disappointed that the budget had not given funding certainty to the sector.

"It's not what was asked for, and it's not what I wanted either," he said.

"It's not just about being able to stand up here next year and say that we're spending more money than the year before, because we know that what we're spending this year isn't adequate anyway.

"The fact that we're going to spend more next year doesn't mean that it's going to be adequate next year as well."

Mr Street then committed to being a "better minister" in the next 12 months to ensure the sector received an improved budget, conceding it had been his first budget and he was now more familiar with the process.

TasCOSS — which represents organisations including Shelter Tasmania, the Youth Network and National Disability Services — had requested indexation of 9.5 per cent to cope with growing costs, including wages.

Instead, indexation was set at 4 per cent.

Chief executive Adrienne Picone said the level had been too low for several years, meaning the financial viability of community service organisations had been placed at risk.

She said the budget should have helped address the problem, but it had not.

"Unfortunately, if we don't have adequate rates of indexation, it means that we need to cut community services," Ms Picone said.

"The real losers in all this are Tasmanians themselves, who won't be able to access the services they really need.

"In other states, there is a formula that is applied to develop a rate of indexation. That's about wages, but also about CPI.

"We don't have that in Tasmania, and in the interim, we really need to sit down with the government and work out an adequate rate that will mean Tasmanian community services can continue to deliver the services that we all need."

'We make no apologies'

Labor slammed the government over its "priorities" in not meeting the needs of the community services sector.

In response, Mr Street said the funding had instead been put into an energy relief partnership with the federal government for low income earners.

"We make no apologies for putting directly back into the pockets of those Tasmanians who need it most," he said.

"That isn't to say that we met every expectation that TasCOSS and the community organisations put before us … which is why I apologised for not being able to meet every request that they made."

Premier Jeremy Rockliff listed a range of supports for individuals to cope with cost of living pressure — including energy bill relief — as well as funding commitments for other organisations, such as Neighbourhood Houses and Men's Sheds.

Education Minister Roger Jaensch said the budget process could be tough, in having to consider and reject proposals from stakeholders.

"We then go into the process and we can't fund everything that we'd love to. Part of the job of being in government is to make tough decisions, just like any family or any business needs to," he said.

"We wish we could fund everything that everyone wants every time, but that's not the case.

"We're pretty sure though that we've got the priorities right."

Sign up to read this article
Read news from 100’s of titles, curated specifically for you.
Already a member? Sign in here
Related Stories
Top stories on inkl right now
One subscription that gives you access to news from hundreds of sites
Already a member? Sign in here
Our Picks
Fourteen days free
Download the app
One app. One membership.
100+ trusted global sources.