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I acknowledge the Traditional Custodians of the land on which we meet today, the Ngunnawal people.

I pay my respects to their Elders past and present, and extend that respect to all Aboriginal and Torres Strait Islander people joining us today.

Thank you, Cam.

I would like to acknowledge:

• Kristy McBain MP, Minister for Local Government and Regional Development
• Mayor Matt Burnett, President of ALGA

I would like to acknowledge the mayors, councillors and local government officers joining us from all across Australia.

Thank you for the work you do every day to support your communities. Whether it is maintaining local infrastructure, delivering essential services, responding to emergencies or planning for future growth, local government plays a vital role in the lives of all Australians.

The Albanese Labor Government recognises the critical role councils play in building stronger communities and delivery the services Australians rely on every day.

That’s why our focus is simple: practical support, stronger partnership and greater investment in local government.

We are proud of the progress being made to identify the challenges for local government and work towards strengthening financial sustainability.

After years of stagnation, investment in local government has grown.

Since the Albanese Labor Government came to office, Financial Assistance Grants to local government have increased by 35 per cent – from $2.6 billion in 2021-22 to $3.6 billion in 2026-27.

This financial year we have seen a 5% increase in Financial Assistance Grants compared to last year. 

In total, $16 billion in Financial Assistance Grants has been delivered to local councils under this Government.

That’s support from the Commonwealth for councils to maintain roads, libraries, community facilities and essential local services.

Under the previous Government, local government faced funding uncertainty and funding gaps due to them freezing indexation for the Financial Assistance Grants for three years.

We have restored funding certainty to the sector so you have a future you can rely upon.

Financial Assistance Grants are projected to exceed $4 billion annually by 2029-30 – an increase by around $1.4 billion – or 52.7 per cent - since 2022.

We also reinstated the parliamentary inquiry into the financial sustainability of local government.

This is the first inquiry of its kind in more than two decades and provides an important opportunity to examine the challenges council face.

I want to acknowledge everyone who has contributed through submissions and hearings.

The government looks forward to receiving the final report of the Committee.

Across a range of programs and initiatives, we are making significant investments in local communities.

In 2023, we doubled funding for the Roads to Recovery committing $4.4 billion nationally over the current five-year funding period – a 76 per cent increase compared with the previous five years.

This was something you called for and we delivered it.

We are also providing councils with access to major funding opportunities through programs including the Local Infrastructure Fund under our Housing Support Program - $2 billion for important enabling infrastructure for new housing development.

At Budget, we also announced:

• $750 million for Growing Regions and Thriving Suburbs, bringing our total investment to nearly $1.7 billion
• $500 million over 10-years for the Active Transport Fund
• $150 million annually for the Black Spot Program, with 90% of projects nominated and delivered by local government
• $200 million annually for the Safer Local Roads and Infrastructure Program.

Every one of these investments help councils deliver practical outcomes for their communities.

Transport infrastructure connects people to jobs, services and opportunity.

That is why the Government is delivering a more than $120 billion ten-year Infrastructure Investment Pipeline.

Through the Budget, we announced billions of new investments in major road and rail projects across Australia.

At the same time, we are laying the foundations for the future through reforms in aviation, high-speed rail, sustainable fuels and Australian shipping.

Importantly, we are restoring integrity into decision making and ensuring investments are focused on projects that deliver lasting national benefits.

Investments like $1.75 billion to improve Australia’s freight rail network, bring our total commitment to nearly $2.8 billion.

As we all continue to manage the impacts of the situation in the Middle East, the Government is committed to continuing to work with you in delivering essential services for our communities.

That is why we made the decision to bring forward $2.9 billion in Financial Assistance Grants – to help councils with those immediate cost pressures.

The Commonwealth remains committed to working in partnership with local government because we know that strong communities are built through collaboration across all levels of government.

I look forward to working together to deliver outcomes for Australians.