DR JOE WELCOMES END TO UNFAIR LEVY

The Independent Member for Wagga Wagga, Dr Joe McGirr, has welcomed news that the NSW Government will end the controversial Emergency Services Levy (ESL), with the government saying it will help to reduce insurance costs for households and businesses. 

Dr McGirr said the ESL was an inefficient and outdated mechanism that placed an unfair burden on some sections of the community.  

“The current system funds emergency services through a tax on insurance premiums, which means that only those with insurance have to pay – and that is clearly unfair, as emergencies affect us all,” he said.  

“The system has also pushed up premiums by an estimated 18 per cent which is not only a heavy burden on homeowners, but also creates a risk that some people cannot afford to insure their homes, with potentially disastrous consequences.”  

Treasurer Daniel Mookhey has now begun consultations with key stakeholders to discuss reforming the way emergency services are funded.  

Dr McGirr will write to the government to request that the consultations include investigations into how insurance premiums might be reduced.   

He said the levy also put enormous pressure on local councils which carry a large proportion of the load, potentially leading to cuts in important services to local communities.  

“Of course, it’s essential that we properly fund our emergency services so that they can continue their outstanding work in serving and protecting our community, but we need to do that in a way that equitably shares the cost,” Dr McGirr said.  

“It’s critical that communities are fully consulted on the new mechanism so that everyone pays their fair share, and our emergency services get the support they need.  

“I look forward to working with the government to find the best and most efficient means of funding emergency services in a way that is effective and affordable for all.” 

 

Joe McGirr