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Full extent of Canberra’s raw deal on federal funding laid bare

New analysis of Federal Government spending over the past five years has revealed a shocking disparity in the amount of Federal Government funding the ACT receives when compared to other states and territories.

A review of federal budget documents show the ACT receiving far less than its per capita share of specific purpose funding for affordable housing (1.14 per cent of the national total, about a third less) and community services (1.22 per cent of the total, about a quarter short).

The biggest shortfall by far has been in transport infrastructure. Over the past five years the Federal Government has handed out $35 billion to the other states and territories for new transport infrastructure, but only $146 million to the ACT, which equates to just under a quarter of its share by population.

In the rest of Australia, this equates to an outlay of $1387 per head on average to build or maintain transport infrastructure but only $335 for every Canberran - $1050 less than people in other states and territories.

ACT Independent Senate Candidate David Pocock said the inequality was completely unjustified and a betrayal of Canberrans.

“It is outrageous that over the past five years Canberrans have received only $1 for every $240 paid to the states and territories for transport infrastructure,” David says.

“The Federal Government has been taking the entire ACT community for granted by short changing us in this way.

“There have been all sorts of allegations made about independents not having the capacity to deliver in the same way a minister could, but this analysis shows how very poorly our community is being served by its current government representative.

“I know from speaking to the community over months that restoring integrity, accountability and transparency in politics is a priority.

“Being so thoroughly dudded when it comes to infrastructure and other spending just adds to the weight of evidence in support of the reforms I have been calling for.

“We were promised a federal anti-corruption commission at the last election and that hasn’t been delivered.

“This review of spending shows that wasn’t the only broken promise. Not only is the Federal Government grossly underspending on the ACT, it’s breaking the paltry commitments it has made.

“In the last two years the Federal Government promised $145 million of grants for transport projects, but only delivered $116 million, a 20 per cent shortfall.

“Looking forward, there has been a marginal increase but we are still well short of getting what we deserve on a per capita basis.

“Why should the per capita infrastructure spend on someone in Tasmania ($4670) be more than 3 times higher than someone in the ACT ($1383)?

“It’s time we stopped being taken for granted and started getting our fair share.

“The people of the ACT deserve better than this.”

From 2021 to 2026 the ACT's share of federal infrastructure grants is forecast to rise marginally from 0.4 per cent to 0.7 per cent, still well short of its 1.7 per cent of the population.

The ACT is not forecast to receive any funding at all from the Federal Government’s planned $4.5 billion spend on Roads of Strategic Importance and a mere $200,000 from the $3.45 billion budgeted nationally to tackle urban congestion.

Commonwealth infrastructure payments to states & territories

2016-2021 actual                      2021-26 proposed

 

$m

$ per head

$m

$ per head

NSW

10,658

1758

20,504

2504

Queensland

8,667

1654

17,999

3435

Victoria

4,670

703

16,432

2474

WA

4,285

1596

10,337

3850

SA

3,673

2072

6,394

3606

Tasmania

782

1446

2,526

4670

NT

771

3134

2,071

8423

ACT

146

339

595

1383

AUSTRALIA

35,253

1369

76,858

2985

Aust minus ACT

35,107

1387

76,263

3012

 

Source: Budget paper 3, 2022-23 and Final Budget Outcomes from 2016-17 onward.

Per head calculations based on population as at 30 September 2021 (latest available data).

 

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