Media Release

01 July 2015

O’Brien: Labor’s $42 Million Fire Services tax hike hits today

Wednesday 1 July 2015

 

Labor’s $42 Million Fire Services tax hike hits today

From today, Victorian households and businesses face a massive hike in their fire services property levy (FSPL); another broken Labor promise on tax.

Despite a pre-election pledge to hold all tax increases to CPI, the Andrews Labor Government is gouging an additional $42.1 million from Victorian property owners in this financial year – an increase of 7.2 per cent.

By comparison, the current CPI for Melbourne is one per cent.

Residents in the Metropolitan Fire Brigade area see the FSPL variable rate increase from 6.5 cents to 8.6 cents for each $1000 of capital improved value. Residential rates in the Country Fire Authority area rise from 10.9 cents to 14.4 cents.

Every category of property owner faces higher FSPL rates under Labor. This means that all property owners – including residents, commercial businesses, farmers, churches and sporting clubs – will face a fire services tax slug from 1 July.

This tax increase does not fund any of Labor’s election commitments for the MFB or CFA.

Instead, it will go to fund some of the pay claims made by the United Firefighters Union, such as claiming a full day of overtime even if only 20 minutes is actually worked and an annual 9.7 per cent pay rise.

Estimated increases for average residential properties across Victoria’s local government areas are attached. Increases range up to 12.9 per cent in Manningham and 13.4 per cent in Queenscliffe.

 

Quotes attributable to Shadow Treasurer Michael O’Brien:

“Many Victorian households will now face a jump of 10 per cent or more in their fire services levy from 1 July.

“This is another Labor broken tax promise that will hurt Victorian families.

“Daniel Andrews has hit every Victorian property with another tax hike through the fire services levy just to pay for the excessive demands of his union mates.

“Under the Coalition, Victoria’s fire services received record funding.

“Raising taxes to pay for inflated union demands doesn’t protect Victorians, it only makes life harder.”