Fact Sheet 3 – Financing Local Government
Financial Assistance Grants (FAGs)
- The 2019-20 Budget maintains the system of payments to support local government, through Financial Assistance Grants (FAGs).
- In the 2019-20 year, the Australian Government will allocate $1.275 billion in FAGs for local government services to the community. It should be noted that $1.275 billion was also bought forward from 2019-20 into the 2018-19 financial year.
- FAGs continue to comprise two components: general purpose assistance grants; and untied local roads grants.
Table 1: Commonwealth funding for local government 2019-20 ($m)
| General Purpose Assistance | 883.1 |
| Untied Local Road Funding | 391.9 |
| TOTAL LOCAL GOVERNMENT FUNDING | 1275.0* |
*Note $1.275 billion was bought forward into the 2018-19 financial year
Table 2: Total Financial Assistance Grants to local government 2018-19 to 2022-23
| 2018-19 $m | 2019-20 $m | 2020-21 $m | 2021-22 $m | 2022-23 $m | |
| General Purpose Component | 1734.4 | 883.1 | 1,839.5 | 1,914.8 | 1,996.9 |
| Local Road Component | 769.6 | 391.9 | 816.3 | 849.6 | 886.1 |
| TOTAL FINANCIAL ASSISTANCE | 2,504 | 1,275 | 2,655.8 | 2,764.4 | 2,883 |
Table 3: Financial Assistance Grants – 2019-2020
| Financial assistance grants ($m) | NSW | VIC | QLD | WA | SA | TAS | ACT | NT | Total |
| General Purpose Component | 272.1 | 229 | 177.2 | 91.4 | 61.1 | 18.6 | 14.9 | 8.6 | 883.1 |
| Local Road Component | 113.7 | 80.8 | 73.4 | 59.9 | 21.5 | 20.8 | 12.6 | 9.2 | 391.9 |
| TOTAL | 395.9 | 309.8 | 250.6 | 151.3 | 82.7 | 39.4 | 27.5 | 17.8 | 1,275 |
Note for the above tables – $1.275B was bought forward into the 2018-19 financial year
Posted 2 April, 2019