Australia Confirms First Back-to-Back Budget Surplus

Treasurer Jim Chalmers confirmed a $15.8 billion budget surplus for the 2023/24 financial year, marking the first back-to-back federal budget surpluses in over 15 years. Chalmers attributed this achievement to Labor's spending restraint rather than increased taxation, stating that lower government spending was the key factor behind the surplus. Critics, including Shadow Finance Minister Jane Hume, argue that the surpluses result from higher commodity prices and inflation, labeling Chalmers' fiscal management as reliant on 'a bit of dumb luck'. The surpluses, totaling $22.1 billion and $15.8 billion for the past two financial years, have allowed the government to pay down debt and address inflation concerns. Chalmers emphasized that the surplus improvements were not due to higher revenue but rather prudent economic management during a challenging fiscal environment. This marks a significant milestone for Labor, as Chalmers becomes the first Labor treasurer since Paul Keating to achieve consecutive surpluses.