NSW has a major budget black hole: premier


AAP

NSW Premier Barry O’Farrell has disputed a union-commissioned report that says there is no $5.2 billion black hole in the state’s budget.

“It’s real, read the budget papers,” he told reporters in Sydney on Friday.

A Unions NSW commissioned report by economic forecaster BIS Shrapnel cast doubt on suggestions the NSW budget would have a $5.2 billion black hole.

But Mr O’Farrell said the former head of treasury Michael Lambart had forecast a shortfall.

He also took aim at Labor leader John Robertson, who he said backed Labor’s 2.5 per cent wages cap policy when he was the leader of Unions NSW.

Ahead of planned protests next week, Mr O’Farrell said it was “surprising that the unions representing nurses, teachers and police were complaining, considering that the coalition had promised to increase their numbers during the March election”.

“One day of chaos coming for next Thursday will just remind the public of 16 years of chaos under incompetent Labor government,” he said.

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