Millions stripped from Tourism Australia in federal budget

LEICHHARDT MP Warren Entsch is "not 100 per cent comfortable" with advice he has received that Tourism Australia will have the same spending power after losing $14 million from its budget.

Tuesday night's Federal Budget announcement reduced the government agency's funding from $143 million to $129 million in a move slammed by tourism advocacy groups.

Mr Entsch said Tourism Minister Richard Colbeck's office said the cuts were due to currency fluctuations and an efficiency dividend - an annual funding cut meant make government organisations more cost-effective.

"While it may look like tourism has less funding in Australian dollars, when you take exchange rates into account, they say Tourism Australia has virtually the same spending power as it had last year," he said.

Member for Leichhardt Warren Entsch says he will not accept his government’s claims of Tourism Australia retaining its spending power despite a budget cut without further investigation.
Member for Leichhardt Warren Entsch says he will not accept his government’s claims of Tourism Australia retaining its spending power despite a budget cut without further investigation. MARC McCORMACK

Mr Entsch intended to raise his concerns in the party room if the government's explanation turned out to be misleading.

"I'm not going to blindly accept it," he said.

"I will be digging deeper.

"The fact that the industry is doing very well in some areas is a reason to invest.

"You don't just start dragging away from when it's starting to perform exceptionally well."

News Corp Australia

TOP FIVE: Big hitting teens shine at state championships

Premium Content TOP FIVE: Big hitting teens shine at state championships

Teens have continued to shine at the cricket boys championships

$400m cannabis farm to create 1000 jobs

Premium Content $400m cannabis farm to create 1000 jobs

Australia’s fledgling medicinal cannabis industry is ramping up

DON'T MISS IT: Activate your free bonus for big rewards

Premium Content DON'T MISS IT: Activate your free bonus for big rewards

Did you know you can get even more – for free?