{"id":79411,"date":"2026-08-24T21:31:08","date_gmt":"2026-08-24T21:31:08","guid":{"rendered":"https:\/\/www.europesays.com\/australia\/79411\/"},"modified":"2026-08-24T21:31:08","modified_gmt":"2026-08-24T21:31:08","slug":"albanese-faces-further-gst-backlash-after-standing-by-lucrative-wa-deal","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/australia\/79411\/","title":{"rendered":"Albanese faces further GST backlash after standing by lucrative WA deal"},"content":{"rendered":"<p class=\"paragraph_paragraph___QITb\">Anthony Albanese is facing further pressure from Labor and Liberal states to overhaul the GST carve-up after declaring he was sticking by Western Australia&#8217;s lucrative funding deal.<\/p>\n<p class=\"paragraph_paragraph___QITb\">The prime minister promised on Monday <a class=\"Link_link__kR0xA Link_link__5eL5m ScreenReaderOnly_srLinkHint__OysWz Link_showVisited__C1Fea Link_showFocus__ALyv2\" href=\"https:\/\/www.abc.net.au\/news\/2026-08-24\/anthony-albanese-pledges-no-change-to-wa-gst-deal\/107071388\" data-component=\"Link\" data-uri=\"coremedia:\/\/article\/107071388\" rel=\"nofollow noopener\" target=\"_blank\">not to change the 2018 arrangements that boosted the resource-rich state&#8217;s share of the GST.<\/a><\/p>\n<p class=\"paragraph_paragraph___QITb\">This was despite a Productivity Commission report recommending the government scrap the deal, warning it had cost billions more than anticipated and was worsening inequality between states.<\/p>\n<p><a href=\"https:\/\/www.abc.net.au\/news\/2026-08-24\/anthony-albanese-pledges-no-change-to-wa-gst-deal\/107071388\" data-component=\"FullBleedLink\" class=\"RelatedCard_link__rsgR9 FullBleedLink_root__lTw_U interactive_focusContext__yRhc_ interactive_defaults__AKxUU FullBleedLink_showVisited__g3Xvz\" rel=\"nofollow noopener\" target=\"_blank\">Prime Minister says WA&#8217;s GST deal won&#8217;t change while he is in top job<\/a><\/p>\n<p class=\"Typography_base__sj2RP RelatedCard_synopsis__cFwMW Typography_sizeMobile14__u7TGe Typography_lineHeightMobile20___U7Vr Typography_regular__WeIG6 Typography_colourInherit__dfnUx\" data-component=\"Typography\">Prime Minister Anthony Albanese reiterates there will be no change to Western Australia&#8217;s GST arrangements after a report recommended scrapping the existing deal.\u00a0<\/p>\n<p class=\"paragraph_paragraph___QITb\">Mr Albanese is set to meet with state leaders at national cabinet on Wednesday, putting him on a collision course with premiers demanding a GST shake-up.<\/p>\n<p class=\"paragraph_paragraph___QITb\">Victoria&#8217;s Labor Treasurer Colin Brooks said the Productivity Commission&#8217;s interim findings had &#8220;backed up exactly what Victoria has been saying for years&#8221;.<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;The current system isn&#8217;t working \u2014 it leaves other states like Victoria exposed and goes against the core purpose of fair distribution,&#8221; he said.<\/p>\n<p class=\"paragraph_paragraph___QITb\">Queensland&#8217;s LNP Treasurer David Janetzki also hit out at the existing funding arrangements, saying his state was looking for a &#8220;consistent approach&#8221;.<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;I do have concerns that the inequity of the GST distribution, the consistent cost shifting from the federal government to the state government, is threatening the integrity of the federation,&#8221; he said.<\/p>\n<p>&#8220;If the prime minister shows up for Western Australia and acknowledges their unique character as a resources state, the same should be applied to Queensland.&#8221;<\/p>\n<p class=\"paragraph_paragraph___QITb\">Tasmania&#8217;s Liberal Treasurer Eric Abetz warned his state faced possible significant reductions in GST revenue unless the 2018 decision was reversed.<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;Australia was built on a simple concept \u2014 a fair go. This sense of fairness is what underpinned GST when it was first introduced,&#8221; he said.<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;The prime minister has told the nation that doesn&#8217;t exist anymore. Western Australia has been told it can keep its lucrative and disproportionate deal.&#8221;<\/p>\n<p>PM defends WA deal<\/p>\n<p class=\"paragraph_paragraph___QITb\">On a visit to Western Australia on Monday, Mr Albanese said the state deserved its funding allocation and promised no changes while he was prime minister.<\/p>\n<p class=\"paragraph_paragraph___QITb\">It was the first time he had made the guarantee since the Productivity Commission handed down its interim report earlier this month.<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;The important thing that sometimes isn&#8217;t understood from some of the critique of WA getting its fair share of the GST is that those additional payments have not come from states and territories,&#8221; Mr Albanese said.<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;They have come from the Commonwealth. I am comfortable with that.<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;What I say to premiers and chief ministers, though, is that you need to bear that in mind when you&#8217;re discussing federal-state financial relations.&#8221;<\/p>\n<p><img decoding=\"async\" alt=\"Prime Minister Anthony Albanese at a media conference, in a yellow hi-vis vest and white hard hat, with other people behind him.\" class=\"Image_image__5tFYM ContentImage_image__DQ_cq\"  src=\"https:\/\/www.europesays.com\/australia\/wp-content\/uploads\/2026\/08\/1787607067_816_8537a21827f084a875750a6f193b2d82.jpeg\" loading=\"lazy\" data-component=\"Image\" data-lazy=\"true\"\/><\/p>\n<p class=\"Typography_base__sj2RP FigureCaption_text__zDxQ5 Typography_sizeMobile12__w_FPC Typography_lineHeightMobile20___U7Vr Typography_regular__WeIG6 Typography_colourInherit__dfnUx\" data-component=\"Typography\">Anthony Albanese says WA deserves its funding allocation.\u00a0 (ABC News: Keane Bourke)<\/p>\n<p class=\"paragraph_paragraph___QITb\">Mr Albanese&#8217;s announcement was welcomed by Western Australia Premier Roger Cook, who previously lashed out at &#8220;east-coast clowns&#8221; when the Productivity Commission report was released.<\/p>\n<p class=\"paragraph_paragraph___QITb\">Independent economist Saul Eslake, a critic of the 2018 deal, said he was disappointed but not surprised by the prime minister&#8217;s decision.<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;Since becoming prime minister, Mr Albanese&#8217;s approach has essentially been what Western Australia wants, Western Australia gets,&#8221; he said.<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;Mr Albanese knows that his initial accession to the prime ministership was delivered by Western Australia.<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;Although he doesn&#8217;t need Western Australia&#8217;s votes in the current parliament, it&#8217;s likely that he will need them to retain government at the election that&#8217;s due in 2028.&#8221;<\/p>\n<p><img decoding=\"async\" alt=\"A man with short hair, wearing a dark suit and tie, standing in a corridor.\" class=\"Image_image__5tFYM ContentImage_image__DQ_cq\"  src=\"https:\/\/www.europesays.com\/australia\/wp-content\/uploads\/2026\/08\/1538c3432bdbf5ae0cec266b1b163381.jpeg\" loading=\"lazy\" data-component=\"Image\" data-lazy=\"true\"\/><\/p>\n<p class=\"Typography_base__sj2RP FigureCaption_text__zDxQ5 Typography_sizeMobile12__w_FPC Typography_lineHeightMobile20___U7Vr Typography_regular__WeIG6 Typography_colourInherit__dfnUx\" data-component=\"Typography\">WA politician Andrew Hastie has welcomed the announcement.\u00a0 (ABC News: Matt Roberts)<\/p>\n<p class=\"paragraph_paragraph___QITb\">Federal Liberal frontbencher Andrew Hastie, who represents a Western Australian seat, also welcomed Mr Albanese&#8217;s announcement that he would stick by the 2018 deal.<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;We will always stand up for WA, and the Coalition is committed to the current arrangements,&#8221; he told ABC&#8217;s 7.30.<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;I think the way it [the GST carve-up] was arranged before our change in 2018 was fundamentally unfair.<\/p>\n<p class=\"paragraph_paragraph___QITb\">&#8220;It was punishing productive and prosperous states like Western Australia.&#8221;<\/p>\n","protected":false},"excerpt":{"rendered":"Anthony Albanese is facing further pressure from Labor and Liberal states to overhaul the GST carve-up after declaring&hellip;\n","protected":false},"author":2,"featured_media":79412,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[1869,483,22,21,122046,3139,7436,146,353],"class_list":["post-79411","post","type-post","status-publish","format-standard","has-post-thumbnail","category-australia","tag-albanese","tag-anthony-albanese","tag-au","tag-austrlia","tag-colin-brooks","tag-funding","tag-gst","tag-roger-cook","tag-western-australia"],"_links":{"self":[{"href":"https:\/\/www.europesays.com\/australia\/wp-json\/wp\/v2\/posts\/79411","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/australia\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/australia\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/australia\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/australia\/wp-json\/wp\/v2\/comments?post=79411"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/australia\/wp-json\/wp\/v2\/posts\/79411\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/australia\/wp-json\/wp\/v2\/media\/79412"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/australia\/wp-json\/wp\/v2\/media?parent=79411"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/australia\/wp-json\/wp\/v2\/categories?post=79411"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/australia\/wp-json\/wp\/v2\/tags?post=79411"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}