Set GST on financial services: Weatherill

Expanding the GST to include financial services should be considered to cover the $80 billion in cuts to state health and education funding imposed by the Abbott government, South Australian Premier Jay Weatherill says.

He says a recent assessment of the effect of lifting the GST or expanding its base found the only measure that doesn't punish low-income earners is a tax on financial services.

"So that's one we want to advance further in discussions with the commonwealth government, to try and fill this hole that they created for us," Mr Weatherill told Sky News on Monday.