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Palaszczuk Government won’t rule out new big business levy to fund mental health overhaul

The Palaszczuk Government will not rule out following Victoria’s lead to introduce a new tax on big business to fund a desperately needed $700-$800m overhaul of the the state’s broken mental health system.

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A payroll tax levy on big business to fund a major overhaul of the state’s fractured mental health system has not been ruled out by the Palaszczuk Government.

But the Opposition says Treasurer Cameron Dick should be looking for savings rather than a “dedicated funding stream” recommended by the parliamentary committee to pay for broadscale changes needed.

It comes as a host of mental health experts back the committee’s 57 recommendations and argue the $700m to $800m needed within five years won’t be found easily following years of underfunding.

Australian Association of Psychologists executive director Tegan Carrison.
Australian Association of Psychologists executive director Tegan Carrison.

“If we really want to make a dent in our mental health crisis, we really need to put our money where our mouth is,” according to Australian Association of Psychologists executive director Tegan Carrison.

“How the state government decides to fund that, I don’t care to be honest.

“It’s needed.”

Royal Australian and New Zealand College of Psychiatrists Queensland chair Brett Emmerson supported establishing a new funding source, arguing “they can’t do this with their existing funding bay”.

“This isn’t loose change,” he said.

“Queensland Health’s budget is about $20b, so even in five year’s time, finding $750m recurrently will be a challenge.”

Committee hearings discussed Victoria’s levy on payroll tax, through which it’s funding major changes to mental health services, but did not recommend whether Queensland follow a similar path.

Asked twice about Victoria’s levy, Premier Annastacia Palaszczuk did not commit either way.

Mr Dick said the government would give the report the “serious consideration” it deserved ahead of the June 21 Budget.

He said there would be good news in the budget as “revenue lines are coming back”.

“And so how we allocate that revenue, we’ll make that decision in the Budget in two weeks’ time, but then, as revenue returns in forward financial years, we’ll make additional investments as well,” he said.

Treasurer Cameron Dick. Picture: Tara Croser
Treasurer Cameron Dick. Picture: Tara Croser
Opposition treasury spokesman David Janetzki.
Opposition treasury spokesman David Janetzki.

Opposition treasury spokesman David Janetzki said the opposition “desperately” wanted more mental health funding.

“Our concerns are around, in the midst of a full blown cost of living crisis, the government is talking about a potential tax that would impact on hardworking families, families that may be struggling under the weight of mental health challenges,” he said.

Queensland Mental Health Commissioner Ivan Frkovic said extra funding was vital but “mental health reform requires considerable system change, not just additional dollars”.

Queensland Alliance for Mental Health chief executive Jennifer Black said any upcoming funding should be the start, not totality of investment.

She said the community sector could be better utilised to service about 150,000 Queenslanders currently missing out on any services.

“What we don’t want is to fund more of the same and sink more money into what we have now so we’d like to see some different things funded,” she said.

“But I think people are right, it’s going to take a lot of money to transform the system if they follow the recommendations.”

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Original URL: https://www.couriermail.com.au/news/queensland/qld-politics/palaszczuk-government-wont-rule-out-new-big-business-levy-to-fund-mental-health-overhaul/news-story/a4d3845f1cb73d5e4c3f7b8dc53b81ff