The $47 billion question the PM's GST guarantee leaves unanswered

The $47 billion question the PM's GST guarantee leaves unanswered

As Prime Minister Albanese rules out changes to the WA GST deal, Productivity Commissioner Angela Jackson warns of a forty-seven billion dollar annual cost to equalize other states. We explore the leverage of the upcoming December report and the growing tension in the eastern states.

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Show notes

Western Australia's GST share would plummet to twenty-four percent without the current twenty eighteen reforms.

The federal government is spending thirty-seven billion dollars to buffer other states from Western Australia's windfall.

A permanent seventy-five percent distribution floor prevents state revenue shares from dropping toward zero during booms.

The Productivity Commission recommends scrapping the current GST deal despite the Prime Minister's ironclad political guarantee.

Top-up payments for states are funded by general revenue rather than the national GST pool.

Western Australia is projected to receive nine point three billion dollars in twenty twenty-six to twenty twenty-seven.

In this episode
  1. 01Intro1 min
  2. 02The Ironclad Guarantee2 min
  3. 03The Mechanics of the Floor2 min
  4. 04The Eastern Subsidy3 min
  5. 05The Forty-Seven Billion Dollar Warning2 min
  6. 06Outro1 min
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The $47 billion question the PM's GST guarantee leaves unanswered — Fylom