I am pleased to announce that today's Special Premiers'
Conference has endorsed a set of principles that will transform Commonwealth-State
financial relations as promised in the Howard Government's Tax
Reform: not a new tax, a new tax system.
These principles will provide the States and Territories with a stable
and growing source of revenue to fund important community services,
such as roads, hospitals and schools. It will allow the States to
reduce their reliance on a range of narrow and growth reducing taxes.
I congratulate State and Territory leaders on their co-operative and
constructive approach to today's meeting.
A copy of the Agreement on Principles is attached. This will guide
further work on the implementation details, leading up to our consideration
of a draft Intergovernmental Agreement at the 1999 Premiers'
Conference.
Canberra
13 November 1998