More on Fire Service Levy

COUNTRY VICTORIANS PUNISHED WITH FIRE SERVICES LEVY HIKE

Shadow Minister for Bushfire Response and Leader of The Nationals Peter Ryan has called on the Brumby Government to stop punishing country Victorians with yet another increase in the Fire Services Levy (FSL).
“The FSL, which helps fund fire services including the Country Fire Authority, is currently taxed at as much as 68 per cent for businesses in country Victoria – or $68 in addition to every $100 payable in premiums,” Mr Ryan said.
“Now it has been revealed that yet another FSL increase is on the way for businesses and home owners.”
Mr Ryan said the FSL system as it already stood discouraged people to insure because only those who took out insurance paid the levy.
“Despite the anger and frustration expressed by country businesses and home owners over the FSL, the Brumby Government has turned a blind eye – and now another FSL hike is likely by October,” Mr Ryan said.
“Under the changes, FSL charges will increase from 68 per cent to 84 per cent for businesses and jump from 26 per cent to 31 per cent for householders living outside of the Metropolitan Fire Brigade district.
“It beggars belief that with GST and stamp duty, a base $100 insurance premium in country Victoria will now cost as much as $222.”
Mr Ryan said at the same time, the FSL would actually decrease in metropolitan areas of Victoria.
“Country Victorians are being unfairly and unjustifiably punished because of this year’s bushfires and the effort that was mounted to fight them,” Mr Ryan said.
“While the Victorian Liberal Nationals Coalition agrees that the CFA must be adequately funded, it is clear that the system as it stands is unjust and unreasonable.”
Mr Ryan said in these troubled times the latest FSL increase could be enough to push businesses over the edge and force them to close, costing valuable jobs.
“Country Victorians are increasingly calling on John Brumby to implement a fairer system but the problem is just getting worse,” Mr Ryan said.
“The Premier must fully co-operate with the Federal Government’s Henry Review into Australia’s Future Tax System, as it investigates the FSL.
“John Brumby must acknowledge once and for all the huge burden the FSL places on country Victorians, and agree to implement a fairer, more equitable system.”