March 22, 2024
The Federal Coalition has labelled this week’s announcement of an inquiry into the financial sustainability of local councils as “another broken promise” and “a cynical attempt to stall action to deliver more support”.
Shadow Minister for Local Government Darren Chester said the Labor Party promised “fair increases” to local government funding before the 2022 Federal Election but had actually delivered cuts to regional programs.
“The Prime Minister is kicking the can down a pot-holed road to avoid making any new commitments to Australia’s 537 local Councils in this year’s Budget,” Mr Chester said.
“Just a month ago, the Australian Local Government Association publicly warned that ‘time was running out for the Federal Government to deliver on its pre-election promise of fair increases to Financial Assistance Grants to Australia’s 537 local governments’.
“Instead of keeping its promise, we have yet another review from a government which has failed to deliver a single project under its regional grants program after almost two years in office.”
Mr Chester said the fact submissions to the inquiry were due by May 3 was “an admission there will be no new funding for local government in this year’s Budget”.
“We can expect Cabinet Ministers to hide behind talking points that they ‘can’t possibly speculate while the inquiry is under way’,” Mr Chester said.
“In the middle of a cost-of-living crisis, the burden will fall on family budgets as ratepayers will be forced to fund the widening gaps in demand for new infrastructure, maintenance and critical services.
“Despite the cynicism of this decision, I urge councils across Australia to make a submission to the inquiry and highlight concerns around financial sustainability, cost shifting, disaster resilience and workforce shortages.”
- Related article: Inquiry To Examine Council Funding
