The Hon. Beverly McArthur, Member for Western Victoria, 25 February 2025

The Labor Government’s Emergency Services and Volunteers Fund levy will increase the financial strain on ratepayers during a cost-of-living crisis, particularly in rural and regional communities.

The new tax is set to be collected by local councils on 1 July 2025.

During question time, the Member for Western Victoria, Bev McArthur told the Treasurer, “You expect local government to bear a significant administrative and financial burden, collecting the funds to prop up your budget.

“As one regional mayor wrote to me, the levy is effectively a state-imposed tax disguised as a local charge.

Mrs McArthur asked, “Why should local councils be expected to be the unpaid tax collectors and administrators of a state government tax?”

The Treasurer’s response to the question shocked members in the chamber when she said, “I accept that no-one likes paying more for things – I get it – but when you want to rely on a response, when you want a fire truck to rock up to your house… People expect the phone to be answered when they call 000.”

The Treasurer’s response drew attention to the years of issues at Triple Zero Victoria, including an outage in November leaving staff to work with pen and paper, and long delays causing at least 33 preventable deaths found by a 2022 independent investigation.

Mrs McArthur said, “This levy is nothing short of a tax grab.”

“Labor is forcing rural communities to foot the bill for a state-imposed tax disguised as a local charge, at a time when people are already struggling with the cost of living.

“This is an outrageous move that will leave farmers, small business owners and families paying the price for the government’s lack of foresight.”

Mrs McArthur further pointed out the disproportionate burden the levy places on farmers and small businesses to the Treasurer, saying “In some areas, locals are facing up to a 400 per cent increase in their taxes, and farmers will be hit with at least a 70 per cent hike.

“It’s unfair and damaging.

“Rural Victorians are already doing more than their fair share, and now Labor expects them to carry the financial burden of this ill-conceived levy.”

The Labor Government’s failure to direct the new funds toward improving emergency services in rural areas is felt by CFA brigades across the state, particularly in relation to aging equipment and fire trucks.

Mrs McArthur said, “One brigade in my electorate will be forced to collect $2 million for their local area, but they are still using a 32-year-old truck.

“Why is the money not being spent on desperately needed frontline services when the people who are paying this tax are paying a disproportionate amount?

“Instead of investing in the frontline services that rural Victorians desperately need, Labor is busy creating more taxes that will hurt the very people they claim to serve.

“This is an insult to hard-working communities who already contribute so much.

“It’s time for the government to stop creating more taxes and start properly supporting rural Victorians with the resources they need and deserve.”