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The state government has hit back hard against an interim Productivity Commission report into the GST, calling it an outright attack on Western Australia. The Commission has called for an end to the GST deal struck in 2018, describing it as a costly mistake, that needs to be reversed. The response in WA has been visceral across the political divide.

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00:01The GST is supposed to help each jurisdiction provide services and infrastructure to the same standard, level the playing field.
00:09But WA's mining boom drove up the state's ability to fund itself, meaning it received less GST.
00:15When mining royalties fell after the global financial crisis, WA was caught short.
00:21Reforms in 2018 due to political pressure from WA set a GST floor to address that volatility.
00:27And you can see, even as those royalties went up, so too did the GST.
00:31But the Productivity Commission has found, while no other state was worse off, only Western Australia has benefited from those
00:38reforms.
00:39The Commission's recommendation to scrap the 2018 deal has infuriated the WA government.
00:45These East Coast clowns simply do not understand Western Australia.
00:50It's simply illogical. It doesn't support economic growth.
00:53The decision setting off alarm bells at Government HQ.
00:56This is now getting very bad.
00:59Ah, this isn't good.
01:01Yeah, while we're gone, they're going to take our GST.
01:04The government continuing its tirade outside.
01:07They have not been worse off, at all.
01:09We should not be penalised for doing the heavy lifting on economic activity.
01:14The Productivity Commission is suggesting getting rid of the GST floor and addressing any royalty volatility as it arises.
01:20It's cost a lot more, and it hasn't delivered the benefits that we thought it might at the time.
01:26The Prime Minister has repeatedly promised WA there would be no change, now saying...
01:31I assure Western Australians of this. You will get your fair share.
01:37The definition of fair up for interpretation.
01:40It was unfair. It's made Australia unfairer, and it's made Western Australia richer. Unfair.
01:45Every state and every territory, with the exception of Western Australia, wants change.
01:50The Prime Minister's word now being called into question.
01:53Anthony Albanese, who backtracked on negative gearing, who backtracked on capital gains tax.
01:59How can any West Australian trust that he is not going to backtrack on what is right for West Australians?
02:06I hope he will now have the fortitude to break a promise that he shouldn't have made to keep shovelling
02:13money across the Nullarbor.
02:14A bitter fight over billions entering a new phase.
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