PM Scott Morrison reverses Foodbank funding cut after outrage

Prime Minister Scott Morrison has intervened to reverse a $323,000 funding cut to Australia’s biggest food charity after outrage over the decision six weeks out from Christmas.

Prime Minister Scott Morrison has intervened to reverse a $323,000 funding cut to Australia’s biggest food charity after outrage over the decision six weeks out from Christmas.

The government launched an urgent review of the Department of Social Services’ funding decision yesterday afternoon after Foodbank blasted the move, saying it “beggars belief” at this time of year.

Farmers, Labor and the Greens also backed Foodbank in calling on the government to rethink the funding cut, with Opposition leader Bill Shorten dubbing the move a “mean and foolish decision”.

Prime Minister Morrison took to Twitter this morning to announce he would boost the charity’s funding back to its current rate.

“Yesterday I promised to review the Foodbank decision,” he wrote.

“I have listened and decided to increase the Food Relief budget by $1.5 million over the next 4.5 years and have asked the Minister to place more focus on relief in drought affected areas.”

Prime Minister Scott Morrisonn took to Twitter this morning to announce he would return the charity’s funding back to its current rate. Picture: AAP

“This maintains Foodbank’s funding at $750K per year, with Second Bite and OzHarvest funded as announced last week.

“Important that food relief in drought areas is delivered in a way that does not undercut local businesses. Minister will work with providers to get the right plan in place.”

Foodbank welcomed the decision, saying it had provided vulnerable Australians with certainty.

The Prime Minister and Social Services Minister Paul Fletcher initially defended the funding decision yesterday before announcing an urgent review in the afternoon.

“Our overall funding for food relief programs has not been cut. After applications from a number of NGOs, it’s now being applied to three organisations – Foodbank, OzHarvest and Second Bite – instead of two,” Mr Fletcher told News Corp in a statement yesterday morning.

He said the decision had been made “after a rigorous, competitive selection process, managed by the Department of Social Services” and added that Foodbank received $1.925 million in the latest round of grants, “more than any other organisation”.

Then in a statement yesterday afternoon, the Minister said he would investigate funding options to assist the charity under the new arrangements after speaking with Foodbank chief executive Brianna Casey.

Federal Opposition Leader Bill Shorten looks on as Foodbank chief executive Brianna Casey speaks to the media about the funding cut. Picture: AAP

This morning, Mr Fletcher said he would be inviting the chief executives of Foodbank, Second Bite and OzHarvest to meet with him for a roundtable discussion in coming days to finalise the arrangements for food relief funding and to “co-ordinate a continuing collaborative approach to food relief”.

He said the additional funding for Foodbank would be sourced within existing Department of Social Services resources.

“The Government looks forward to working closely with Foodbank, Second Bite and OzHarvest to maximise the benefit of the vital food relief services they provide for vulnerable and homeless Australians,” he said.

The National Farmers Federation, which yesterday said it was “baffled and disappointed” by the move which would hit drought-affected farmers, welcomed today’s decision, saying: “A great outcome for regional communities doing it tough in drought, your support is truly appreciated.”

Mr Shorten also hailed the Prime Minister’s announcement as a “great outcome for people power and common sense”.

Today’s decision boosts the total funding allocated for food relief over the next four and a half years by $1.485 million to $5.985 million for the period.