Budget 2024: Why Jim Chalmers is ignoring Daniel Mookhey and selling the bigger picture

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Budget 2024: Why Jim Chalmers is ignoring Daniel Mookhey and selling the bigger picture
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Despite the global tensions and the national gamble on the “Future Made in Australia”, the treasurer is about to hand down another surplus next month.

and decelerating growth in several other countries is a convenient backdrop to the promise of greater budget spending to stimulate economic growth in Australia.

and the national gamble on major new funding for various projects under the “Future Made in Australia” umbrella, for example, Jim Chalmers is about to hand down another surplus next month. This political trade-off was negotiated with the federal Coalition government and continued by Labor to ensure WA retains 70 per cent – rising to 75 per cent come July – of GST revenue raised in the state. The political cost of changing that equation would be higher than the very high cost to the federal budget.But that’s just part of the fiscal jigsaw.

Chalmers says he is neither surprised nor especially troubled that NSW Treasurer Daniel Mookhey has raised these issues. Bigger, stronger states such as NSW and Victoria – as well as WA – favour moving to a system based on population size, while smaller states fear losing out. With the Productivity Commission due to report on this in 2026, the Albanese government has zero interest in further stirring up the argument before it’s necessary.

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