- Published:
- Monday, 10 February 2020
Minister for Local Government Natalie Hutchins has again slammed the Turnbull Government’s decision to freeze indexation on financial assistance grants for Victorian councils.
The decision means Victorian councils will miss out on more than $60 million in the next financial year.
It is the third year in a row where the Commonwealth’s financial assistance grants to councils have not increased.
The Federal Budget confirmed the freeze, which means Victoria’s councils are missing out on significant funding for much needed services like road maintenance, maternal and child health and kindergartens.
The Victoria Grants Commission allocates these funds based on the relative needs of councils, with rural councils with lower rate bases, receiving larger share of grants than their city counterparts.
Because of this, just 13 per cent of the population receives 44 per cent of the grants available in order to assist those councils.
The Andrews Labor Government is investing more than ever at the local level providing $50 million for infrastructure projects in Melbourne’s 10 fastest growing councils and continued record investment in public libraries.
The Government is also currently undertaking the most significant reform of Victoria’s local government sector in decades aimed at creating more efficient and collaborative local councils
Quotes attributable to Minister for Local Government Natalie Hutchins
“Malcolm Turnbull should do the right thing and lift the freeze on financial assistance grants to local councils.”
“Our councils need support from the Federal Government – not cuts to their funding.”
“The Andrews Labor Government has invested a record amount in local government and we urge our federal counterparts to do the same.”