The world's biggest credit ratings agency doubts Tasmania will pull off its "ambitious" budget cuts, warning the island state it faces a fresh downgrade if it doesn't.
S&P Global Ratings has sounded the alarm on the minority Liberal government's budget, delivered on Thursday by Treasurer Eric Abetz.
Tasmania has slid into debt quicksand this decade with a series of huge deficits, and 2026-27 will be no different, with a $597 million deficit forecast.
However, Mr Abetz has conjured a surplus in 2027-28 - a year earlier than previously forecast - with $1.47 billion in cuts over the next four years.
S&P is dubious, issuing a statement that the "dramatic turnaround" job faces "high execution risk," noting previous failed efforts to rein in debt.
