The states must receive a proper revenue stream if they are to take full responsibility for front-line services such as health, education and law and order, Queensland Premier Campbell Newman says.
At the Liberal Party federal council on Saturday, Prime Minister Tony Abbott outlined a game plan to reform the federation by winding back the federal government’s role in core state responsibilities.
He told the Melbourne conference it would ensure state and territory governments were “sovereign in their own sphere”, and end waste, duplication and buck-passing between Canberra and the states.
Treasurer Joe Hockey said it was the best way to streamline the system.