Pollies brawl over claims regions $4 billion better off in budget

The Nationals have slammed the government for sacrificing the bush in its quest to cut spending. But under questioning during a senate estimates hearing, departmental officials revealed Labor's recent budget had increased regional spending by $4 billion within the Infrastructure Investment Program.

Regional Development Minister Catherine King said Nationals politicians should "apologise for misleading" Australians about the government's approach to investing in infrastructure projects for people who live in regional Australia.

READ MORE: 'Barnaby money' cut, govt invests in rural health, telcomms, net-zero and ag

However, Nationals senator Bridget McKenzie said the $4 billion figure only referred to one specific program.

"That does not include the dam funding that's been axed, or the $9.1 billion from the Regional Accelerator Program or the energy security and regional development plan," Senator McKenzie said.

"I just need that to be very, very clear about that, because if you weren't playing at home with all your budget books and highlights, it would be easy to assume that regional Australia was better off in this budget, not worse."

Assistant Regional Development Minister Anthony Chisholm said regional Australia was "absolutely" better off, because the process was transparent and taxpayers could be sure their money was being well spent.

"If we're talking about undermining the Australian peoples' confidence in government decision making, the former Prime Minister would be at the top, the Deputy Prime Minister [Barnaby Joyce] would be second and [Senator McKenzie] would be a close third," Senator Chisholm said.

"Unlike the previous government, we set out funding that is deliverable, we do it in a way that is orderly because we're actually trying to bring back integrity and transparency into government decision making.

"We do not believe that deals done by the Deputy Prime Minister holding the Prime Minister to ransom over a net-zero deal is in the best interest of regional Australia."

READ MORE: More than $6 billion in dam funding scrapped or deferred by Labor

Nationals Senator Matt Canavan clarified the term regional referred to anywhere outside a capital city, including Gold Coast, and was sceptical because department staff could not provide a short-term spending figure, only the 10-year outlook.

"This is all in the never-never, it's free beer tomorrow... we're not mugs in the bush," Senator Canavan said.