‘No change’: Anthony Albanese doubles down on GST ahead of leaders meeting

Western Australia is “a major driver of our national economy and they deserve their fair share of the GST”, Anthony Albanese has declared amid outrage in Perth over initial findings from a federally ordered GST review.

The former Coalition government commissioned the Productivity Commission to probe its 2018 GST reforms that introduced a 75 per cent floor aimed at preventing Western Australia’s share from dropping too low.

To avoid other states and territories losing out, the federal budget topped up the total pool.

Nine years on, the Productivity Commission’s interim report released this month gave a scathing review of the changes, calling them a “costly mistake” that has “made the system less equitable and more complex while costing Australian taxpayers almost $23bn to 2024-25”.

West Australian Premier Roger Cook has accused the “east coast clowns” behind the interim report of launching “an attack on every hardworking Western Australian”.

Fronting media alongside Mr Cook, the Prime Minister vowed on Monday there would be “no changes” and stressed Labor had no hand in ordering the report.

“This is a report commissioned by the Morrison government,” Mr Albanese said.

“What I believe is … there will be no change to WA’s GST arrangements whilst I’m prime minister.

“That is my view. That has consistently been my view. The floor of 75 per cent will absolutely stay.

“I think that WA deserves that because WA contributes to the national economy and helps to helps to drive that economy.”

Speaking after, Mr Cook praised Mr Albanese as a prime minister who “gets WA”.

“I think every Western Australian is both relieved and pleased to hear the words from the Prime Minister today that Western Australia’s arrangements for the GST will remain,” he said, adding that Mr Albanese’s words “finalises this debate”.

“The Prime Minister has provided an assurance to Western Australians that Western Australia’s arrangement for the GST will remain.”

Mr Albanese’s pledge came two days out from a meeting of state and territory leaders.