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Last Updated: Wednesday, 11 June 2025 15:42

Published: Thursday, 05 June 2025 06:50

Figures show the huge reduction in Financial Assistance Grants (FA Grants) received by Toowoomba Regional Council (TRC) is having a significant impact on Council’s ability to keep its budget in surplus.

Toowoomba Region Mayor Geoff McDonald said the decrease in FA Grants had contributed to recent budget difficulties.

“The Federal Government provides this money for the day-to-day running of Councils, just like a wage supports a household.

“FA Grants are used to take the pressure off ratepayers to fund our business-as-usual activities, just like a household wage might help pay for fuel, electricity, rent or mortgage repayments.

“This money helps us keep our budget balanced and in surplus. Without it, our bottom line is hurting,” Mayor McDonald said.

“In the 2021/22 financial year, TRC received over $19 million in FA Grants. The amount we received this year was just $5.5 million, a $13.5 million decrease.  

“For a household, it’s the equivalent of going from a double-income home to a single income while still trying to fund the same expenses,” he said.

“To deal with these cuts, we need to look at other ways of making up that revenue, or by putting a pause on services we deliver to our community.

“The reductions have been explained to us as being because of TRC’s sound financial position however our community shouldn’t be punished due to disciplined financial management, which is exactly what has happened,” he said.

“To make matters worse, in the formulation of our 2025/26 Budget, there is no certainty at all regarding the amount or timing of FA Grants we will receive next financial year. The equivalent for a household to this might be turning up for work every day not knowing how much you’ll be paid for the fortnight,” he said.

“Earlier this year, TRC joined the Local Government Association of Queensland’s campaign calling for fairer funding of local governments across Queensland, and we will continue to advocate for a better deal on behalf of our community.”