ACT Auditor-General Michael Harris has warned that deficits will continue over the next four years in the ACT, as expenses look set to exceed revenue.

In his report on the territory’s finances, tabled today (December 16) in the ACT Legislative Assembly, Harris confirmed that the territory’s 2021-22 deficit is $923 million, $340 million lower than the deficit forecast in the last budget.

The report also shows that the ACT’s borrowings have significantly increased over the last four years, more than doubling from $3441 million in 2018, to $9508 million in 2022.

Borrowings increased by 14 per cent in 2022, to provide funding for the government’s COVID-19 pandemic response, and investment in major infrastructure, according to the report, while total borrowings are expected to increase to $14043 million by 2026.

The report shows that unfunded superannuation liability in the current financial year is expected to fall to $3721 million in 2023, and remain at a similar level until 2026.

In releasing his report Harris said: “The financial results of the ACT Government and agencies provide useful information to the community about the state of the Territory’s finances and the financial impact of government decisions over time.”