Labor unveils plan to tackle Queensland debt ahead of state election

Queensland Labor is counting on its long walk in the political wilderness coming to an end with their asset-based plan to tackle the state’s debt.

Instead of selling the power assets, a Labor government would merge them, and pump two-thirds of the profit into paying off the debt.

The plan will pay off $5.4 billion in the next six years, compared to the LNP’s promise to wipe out $25 billion in five years.

Labor leader Annastacia Palaszczuk said it was a “better way”.

However, Treasurer Tim Nicholls named the plan “voodoo economics”.

The parties are unable to even agree on the size of the debt, with the LNP putting the figure at $80 billion while Labor says it is $46 billion.

The discrepancy comes from the fact that the LNP counts the debts of government-owned corportations, where Labor does not.

The opposition cannot guarantee its plan would not cost jobs, and it means a Labor government would have less money to spend.

However, the unions have applauded the proposal, and Labor says keeping the power assets will make Queensland $120 billion in the next 50 years.