Cabinet papers 1996-97: bigger cuts to ABC avoided

Cabinet papers rejected an option that would have resulted in cuts to the ABC and SBS of $125.6m in 1996.

The ABC offices in Ultimo, Sydney.

The ABC “thinks it has a god-given right to whatever money it wants”, former communications minister Richard Alston says as the release of cabinet papers from 1996-97 show the Howard government pulled back from more radical cuts to the public broadcaster.

A cut of $55 million to the ABC’s funding from 1997-98 and a review of the broadcaster’s charter by former Optus chairman Bob Mansfield was ultimately announced. But cabinet papers reveal there was a rejected second option that would have resulted in cuts to the ABC and SBS of $125.6m in 1996. The cabinet ­papers suggest it would have led to the shutdown of Classic FM, ­Triple J and the ABC’s metropolitan radio ­services.

The ultimate announcement was controversial enough, with leaks from Mr Alston’s department before his submission reached cabinet and accusations the Coalition broke an election promise to not touch ABC funding.

“No, it is not correct (to say we broke an election promise) … we promised to respect the triennium funding arrangement, which was due to finish anyway,” Mr Alston said. “What is the point of triennial funding if you don’t have the ­option of changing it at the end? We had a cut to all government ­departments and agencies of 10 per cent except defence. The ABC thinks it has a god-given right to whatever money it wants.”

Mr Alston said he could not ­remember why the $55m cut starting in 1997 was opted over the bigger cuts, but said it would have been because it was more politically viable. His cabinet submission at the time states: “Public reaction to the proposed Fightback reduction of $50m suggests that funding cuts of the order indicated by either ­option will provoke strong community criticism.

“Since press speculation concerning possible budget cuts to the ABC commenced, I have received more than 350 representations, many from rural Australia.”

The submission also make clear the government’s desire to see a more focused, and restrained, ABC that concentrated more on news, current affairs and rural communities.

“The charter was very vague … to entertain and to inform really could mean anything,” Mr Alston said. “It was too Sydney-centric. There was not enough attention being paid to the bush.

“And I did note on a trip to London that Classic FM there was one of the most popular radio stations in the country, and it was privately owned … There was no point in the ABC doing things that private ­enterprise and community stations already do.”

Mr Alston, who was president of the Liberal Party from 2014 to 2017, had numerous conflicts with the ABC in his seven-year stint as communications minister, most famously his complaints about its coverage of the Iraq war. He called on both sides of politics to continue holding the ABC to a high standard.

“Both sides must ensure that the ABC is accountable to the parliament and to the public,” he said.

“It can be very difficult … my own department was often on the side of the ABC. But there must be value for money … the ABC can be a law unto itself.”