Premiers vow to fight for partnership deals

TONY Abbott faces a showdown with the states over health and education funding.

TONY Abbott faces a showdown with the states over health and education funding amid fears the government will use Tuesday’s budget to tear up or slash national partnerships worth hundreds of millions of dollars.

Victoria, South Australia and Queensland expressed concern yesterday about the future of agreements that have helped underpin basic care such as hip surgery and amputations and access to 15 hours a week of kindergartens.

The Victorian budget this week was forced to exclude national partnership funding from the Abbott government on kindergarten education and sub-acute hospital care, sparking warnings of service cuts.

The Napthine government has also written to kindergarten providers warning the state will guarantee only a 10-hour kindergarten week due to the uncertainty about federal funding.

It says partnership funding of almost $1bn is at risk.

A spokeswoman for Queensland Treasurer Tim Nicholls, due to deliver his budget on June 3, said he knew the federal government understood the importance of the agreements, but “Queensland does share Victoria’s concerns”. South Australian Premier Jay Weatherill vowed to oppose any funding changes.

The agreement with Victoria on improving public hospital services was worth $100m “ongoing’’ and expires in 2013-14, while the deal on universal access to early childhood education was worth $158m over 18 months and expired in 2014-15, the Victorian government said. The Victorian budget papers show sub-acute bed days falling from 733,000 this financial year to 648,000.

Despite unveiling an $11bn election war chest via surpluses rising to more than $3bn, Victorian Treasurer Michael O’Brien said yesterday the state would not be making up any gaps left by Canberra.

“Obviously, if federal money continues, that will flow directly through to Victorian hospitals,’’ he said. “If federal money doesn’t continue then it won’t get to Victorian hospitals.’’

Mr Weatherill said yesterday that the commission of audit had recommended breaching the national health agreement and Can­berra’s funding commitment to health. “National partnerships are the foundations that support everyday services that South Australians rely on,” he said.