The Turnbull Government is delivering on its promise to fix problems in the system used to share the revenue from the GST leaving all states and territories better off.
This will be the first time real changes have been made to fix problems in how the GST is shared since the GST was introduced almost 20 years ago.

All WA’s Federal Liberal Members and Senators have long argued that this unacceptable situation for our home State must be fixed.

“Western Australians know that the system was not working, and that volatility was undermining the ‘fair go’ objective of sharing GST between the states and ensuring all Australians can access essential services.”

“The Turnbull Government has developed a plan that is a real, long-term solution for WA,” Mrs Marino said.

All states and territories will be better off under the Government’s proposed plan which will provide additional support payments from the Commonwealth Budget, permanently boosting the size of the GST distribution pool. The proposal will involve transitioning to a new HFE system over eight years starting next year.

“Importantly, this funding will be untied, meaning WA will be able to spend it as it sees fit to deliver services including schools, hospitals and infrastructure projects like the dualling of Bussell Highway between Capel and Busselton. This is fair way of ensuring WA gets the services it needs.” Mrs Marino said.

The Turnbull Government will now consult with states and territories to ensure the transition works.

“Western Australians should be congratulated for persisting with the case for reform. I am proud to be part of a Government that has a plan to make the system fair and deliver more funding for essential services,” Mrs Marino said.