The Cook Government of Western Australia has initiated a significant campaign aimed at defending the state’s Goods and Services Tax (GST) arrangement against critics from eastern states. Starting this week, a comprehensive advertising blitz valued at $1 million will disseminate the message that “WA’s GST is working for Australia.” The campaign will utilize billboards in Canberra, prominent placements in national newspapers across the eastern coast, and extensive social media outreach.
In addition to targeting eastern states, the campaign encourages Western Australians to join “Team WA” and contribute their opinions to a review of the GST arrangements. Premier Roger Cook emphasized the campaign’s dual purpose: to educate those in the eastern states about the benefits of WA’s GST deal while also empowering local residents to voice their perspectives.
Cook stated, “The bottom line is that WA’s GST is working for Australia, and my government is calling on business leaders and the community to come together as Team WA and help keep the share fair.” He elaborated that the campaign is intended to illustrate how WA’s GST revenue contributes to national infrastructure and projects that benefit all Australians.
Concerns have arisen regarding potential pressures from eastern states’ leaders on the federal government to amend the existing GST arrangements. Currently, WA is guaranteed a minimum of 75 cents in the dollar from GST receipts, a deal that was legislated in 2018. Nevertheless, there are fears that shifting political dynamics may jeopardize this arrangement.
Treasurer Rita Saffioti remarked, “The gloves are off” in the effort to protect WA’s fair share of GST. She pointed out that despite the reforms in 2018, WA still receives a lower proportion of GST compared to other states, with the state’s share having plummeted to under 30 cents in the dollar prior to the reforms.
Critics, such as economist Saul Eslake, have been vocal about their opposition to the current GST framework, previously describing the 2018 deal as the “worst public policy decision of the 21st century.” In 2024-2025, WA is projected to receive $7.4 billion from GST, which is essential for funding a range of infrastructure projects, including schools, hospitals, and transport systems vital to the state’s mining industry.
The potential loss of the current GST agreement could cost WA nearly $6 billion annually, a significant blow to the state’s economy. The Productivity Commission is expected to review the 2018 GST deal, which was designed to ensure a minimum return for WA despite fluctuations in resource revenues.
Political leaders and commentators from the eastern states have argued that WA, currently benefiting from high iron ore prices, does not require the additional financial support it receives through GST. Cook remains steadfast in his commitment to advocate for WA’s interests. “My vision is for Western Australia’s economy to remain the strongest in the nation, and that’s why it’s critical that WA keeps its fair share of the GST,” he declared.
In the coming days, Cook, Saffioti, and former under-treasurer Michael Barnes will meet with Prime Minister Anthony Albanese in Canberra, along with senior federal ministers, to reinforce WA’s position regarding the GST deal. The Cook Government argues that the economic engine of the nation must continue receiving adequate financial support.
As the campaign unfolds, some analysts, such as pollster Kosmos Samaras, express skepticism about the impact of the ad blitz on public perception in the eastern states. He noted the deeply entrenched regional biases that could hinder understanding and support for WA’s position. Nevertheless, he acknowledged that the Cook Government’s efforts to advocate for their constituents would resonate positively among Western Australians.
In a landscape where fiscal policies can significantly influence state economies, the Cook Government’s campaign seeks not only to defend WA’s GST deal but also to ensure that the financial foundations supporting essential services and infrastructure remain intact.
