The Federal election was called on 28 March 2025. As this website is hosted by the Department of Infrastructure, Transport, Regional Development, Communications and the Arts, the site will only be updated with material in line with the Caretaker Conventions. Please note that the content of this site relates to the Australian Government’s existing policy.

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The Australian Government will have provided over $70 billion under the Financial Assistance Grant program to local government since 1974–75 (including 2024–25). The grant is provided under the Local Government (Financial Assistance) Act 1995 (the Act).

The Financial Assistance Grant program consists of two components:

  • a general purpose component which is distributed between the states and territories according to population (i.e. on a per capita basis), and
  • an identified local road component which is distributed between the states and territories according to fixed historical shares.

Both components of the grant are untied in the hands of local government, allowing councils to spend the grants according to local priorities.

Local government grants commissions in each state and the Northern Territory recommend the distribution of the funding under the Financial Assistance Grant program to local governing bodies in accordance with the Act and the National Principles for allocating grants.

The Australian Capital Territory does not have a local government grants commission as the territory government provides local government services in lieu of the territory having a system of local government.

The grant is paid in quarterly instalments to state and territory governments for immediate distribution to local governing bodies.

The quantum of the grant pool changes annually in line with changes in population and the Consumer Price Index (the Act provides discretion to the Treasurer to alter this annual indexation).

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Financial Assistance Grant program 2024–25

In 2024–25 the Australian Government will provide almost $3.3 billion in untied funding to local governing bodies under the Financial Assistance Grant program. This includes just under $2.8 billion which was brought forward from the 2024–25 estimate and paid to states and territories on 28 June 2024. The remaining 2024–25 allocation to states and territories will be paid in four equal quarterly instalments scheduled for August, November, February and May.

Jurisdiction# General purpose
($)		 Local roads
($)		 Total
($)
New South Wales 713,626,332 293,119,007 1,006,745,339
Victoria 581,739,615 208,286,806 790,026,421
Queensland 466,267,781 189,292,735 655,560,516
Western Australia 245,557,008 154,475,973 400,032,981
South Australia 158,694,956 55,522,691 214,217,647
Tasmania 49,378,560 53,538,626 102,917,186
Northern Territory 21,693,326 23,666,039 45,359,365
Australian Capital Territory 39,874,738 32,395,630 72,270,368
Total 2,276,832,316 1,010,297,507 3,287,129,823

For information on the 2024–25 allocations to individual local governing bodies within each state and territory, refer to:

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Past Payments to Local Governments

The payment amounts made to local governments under the Financial Assistance Grant program from 2017–18 to 2024–25 can be viewed at the link below.

For information on the allocations to individual local governing bodies within each state and territory, refer to:

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Local Government National Report

For a more detailed explanation of the operation of the Act and the provision of funding under the Financial Assistance Grant program to local government, refer to the latest version of the Local Government National Report.

Local Government Grants Commissions

For further information on the respective local government grants commissions, refer to:

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