General News
27 August, 2025
Flinders mayor calls for permanent funding boost
Kate Peddle says local government is not getting its fair share of revenue to provide essential services.
Flinders Shire mayor Kate Peddle has called on the federal government to urgently overhaul the Financial Assistance Grants (FAGs) system, warning that regional councils like Flinders Shire are being pushed to the brink while continuing to deliver essential services under impossible conditions.
“For more than 30 years, these grants have slipped in value – to just half a per cent today. That’s not just a statistic – it’s a direct hit to our ability to serve our communities,” Cr Peddle said
“The Treasurer is spending a lot of time talking about productivity. Our rural communities do the heavy lifting – we feed the nation, we power the state through our minerals, and yet in some cases we’re expected to live with third-world conditions.”
Cr Peddle explained the stark reality facing Flinders Shire.
“To fully recover the annual cost of delivering water, we’d need to increase rates by 25 per cent,” she said.
“That’s not sustainable, especially with the pressures already on our ageing infrastructure and cost-of-living. Our sewerage and water treatment plants need $35 million in upgrades – but our total annual budget is only $50 million.
“How is that achievable?”
While the federal government recently announced the bring-forward of $1.726 billion in 2025-26 FAGs entitlements, Cr Peddle said it didn’t go far enough.
Cr Peddle also highlighted that if the one per cent FAGs target was restored, Flinders Shire alone would hypothetically receive an additional $10 million annually.
“This is not new money – it’s a fair share of taxpayer revenue. It’s money from the Australian people, for the Australian people – and yet it’s been allowed to diminish over time,” she said, while pointing to the increased strain on councils as a result of cost shifting from other levels of government.
“The Crisafulli government won the election on the back of regional support. With a Cabinet that understands local government and regional realities, we are well placed for Queensland to make a case to Canberra. It’s time for the federal government to step up.”