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Federal budget: Toowoomba Chamber of Commerce slams lack of wins for Groom in budget ahead of election

Toowoomba has missed out on new infrastructure projects in the new federal budget but there are plenty of regional-based incentives. Find out the latest from the city’s economic leaders:

(From left) TSBE CEO Ali Davenport, RSM Australia director Will Laird and Mayor Paul Antonio.
(From left) TSBE CEO Ali Davenport, RSM Australia director Will Laird and Mayor Paul Antonio.

UPDATE: The head of Toowoomba’s leading economic lobby group has called the new federal budget a mixed bag for the city, noting there was little direct infrastructure investment but plenty of regionally-focused goodies that could benefit residents and business owners.

Toowoomba and Surat Basin Enterprise CEO Ali Davenport, who was a speaker at the Toowoomba Chamber’s budget breakfast on Thursday morning, said future budgets needed to address issues with housing, skills shortages and water security.

The new budget, handed down by Treasurer Josh Frydenberg on Tuesday night, contained little new spending in the seat of Groom but featured new schemes for regional first-home buyers, small business owners, manufacturing and universities.

The government has also committed to expand migration numbers, while also addressing dire skills shortages felt across many areas.

Ms Davenport said while she was happy with some elements of the budget, it could have been improved.

“The government has to be fiscally responsible and every single region will want more for themselves, but there are three areas of focus that if you go to any regional area, they say they need water, access to skilled workers and housing,” she said.

“They are the three areas that I would love to see more of in every budget, because it will impact every regional area.

“There was certainly some funding for skills and there was some funding for apprentices and migration increases.”

Keynote speaker and RSM Australia director Will Laird said he excited by a number of promises in the budget that could benefit Toowoomba, especially around the Inland Rail, first homebuyers support and regional manufacturing developments.

“The Inland Rail going to Gladstone is a significant piece,” he said.

“It’s still got to go through a business case process, but subject to that, they will support it.

“The social housing piece could’ve been stronger, but I do think the Regional Home Guarantee is new and we haven’t explored that.

“The ones that excite me are the regional manufacturing initiatives, because manufacturing is something we want to get into.”

Chamber of Commerce CEO Todd Rohl; Groom MP Garth Hamilton.
Chamber of Commerce CEO Todd Rohl; Groom MP Garth Hamilton.

EARLIER: Toowoomba’s community leaders have been left disappointed by the Federal Government’s newest budget, saying it promises little new for Groom and lacks vision for the region’s future.

No new major project in the conservative seat was included in Josh Frydenberg’s latest budget on Tuesday night, which was heavy on short-term tax cuts and financial relief for new parents and motorists as the Coalition gears up for a May election.

More importantly, Groom appears to have missed out on the $3.9bn in infrastructure funding promised in Queensland, which includes big bucks for regions like Sunshine Coast and North Queensland.

The Treasury has predicted 63,000 Toowoomba residents will benefit from some form of tax relief of up to $1500, while nearly 20,000 businesses will enjoy a 20 per cent deduction on digital and technology expenses.

The Toowoomba region is expected to see a significant chunk of funding from a $150m pool to invest in more freight hubs along the Inland Rail, while the final $3m in funding to refresh the Oakey Army Barracks has been actioned in this budget.

Toowoomba Chamber of Commerce CEO Todd Rohl said while he welcomed many of the measures, he said the budget had not addressed many of the systemic issues that were plaguing Groom residents and business owners.

He was also disappointed by a lack of a major project.

“It’s fair to say that there were a couple of little morsels, which is a good thing,” Mr Rohl said.

“From a Toowoomba perspective, I don’t see any new big items that would be substantially beneficial.

“I don’t think the skills shortfall has been addressed well enough, particularly around migration numbers.

“I’m a bit concerned about the decrease in climate change funding — it’s short-sightedness to not look at the economic effects of doing less.

“The (tax cuts) are welcomed of course, but what’s the long-term plan and vision? It does smell like an election budget.”

According to Immigration Minister Alex Hawke, an extra 30,000 places will be added to the government’s skilled migration program.

Regional visa numbers have also more than doubled to 25,000 places.

Along with its annual federal assistance grants, the Toowoomba Regional Council will get an extra $4.092m from an extension to phase three of the Local Roads and Community Infrastructure program.

Toowoomba Mayor Paul Antonio said while he thought the overall budget was “responsible”, he said the Federal Government had again failed to understand the funding requirements for local councils.

“Local government is still clambering to get the message across that with the percentage of infrastructure we have, that we need more money,” he said.

“We’re getting about half a per cent (from the overall tax take) of funding, when back in the day it was one per cent.

“It represents a lack of understanding of the local infrastructure we have to look after.

“I’m not disappointed in the budget overall but we have been advocating for a fair go for a long time.”

Mr Antonio said he was happy to see funding for the Oakey Army Barracks, Inland Rail projects and anti-mobile black spot projects, while also noting his optimism that fast rail projects on the Sunshine Coast will be advanced.

“We’re also pleased to see some positivity around the rail upgrades for the Sunshine and the Gold Coast,” he said.

“It’s all part of the plan for a 45-minute region — once they get these projects up, we will up next.”

Concerns budget spending will increase inflation are ‘overstated’

Groom MP Garth Hamilton denied the budget ignored Toowoomba, pointing to the $25m for the Railway Parklands as part of the SEQ City Deal, defence spending, cost-of-living relief and Inland Rail funding.

“We will see that flow on from the $38bn to increase our defence personnel numbers — that’s to recruit 18,500 ADF staff by 2030, and that will be seen at our barracks at Oakey and Cabarlah,” he said.

“We’re still seeing the continuation of the tax incentives, to allow businesses to write off assets and the new 20 per cent deduction on digital and technology expenses.

“We’re securing and harnessing the $5bn that’s already invested in Inland Rail, and that’s what Groom is looking forward to getting (through the rail interface program).”

Mr Hamilton also told The Chronicle the city was getting its fair share for its economic output.

“This is about driving the entire national economy, and Toowoomba benefits when Australia is doing well,” he said.

Mr Hamilton’s Labor opponent Gen Allpass slammed Groom’s performance in the budget, saying it missed the mark.

“I would say there’s no plan beyond May, nothing can make up for a decade of failure and cuts to pensions and wages,” she said.

“We saw a panicked and desperate budget from a panicked government.

“I will always support cost of living relief, but I do question the timing of this huge cash splash, that does not plan beyond May.”

Independent candidate Suzie Holt said the budget displayed a lack of vision for the region.

“Given the cost-of-living pressures, people in our region will be glad for the one-off payments that are being offered,” she said.

“However, this does nothing more than take the sting out of these cost-of-living pressures.

“It is the role of the Federal Government and representatives to offer a long-term vision that

provides opportunity, which is nonexistent in this budget.

“The $7.1bn included in the budget for regional Australia has been flagged for regions other than Groom.”

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Original URL: https://www.thechronicle.com.au/news/toowoomba/federal-budget-toowoomba-chamber-of-commerce-slams-lack-of-wins-for-groom-in-budget-ahead-of-election/news-story/8292ba0a72c104bceef0beee194a4158