Intergovernmental financial relations in Australia

The current pattern of intergovernmental relationships in Australia reflects a wide range of factors : historical, institutional, legal, societal, economic, political and geographical. Since these factors are quite fluid, it is not surprising to find that the structure of intergovernmental relations is constantly changing. The relationships which have evolved are complex and characterised by a range of concerns and tensions as to the appropriate powers and responsibilities of the central and sub- national governments. Despite the importance of these relationships, their complexity has often caused them to be poorly understood. The principal aim of this paper is to outline the current pattern of intergovernmental relations in Australia, describe its historical evolution and highlight some of the major issues arising from the present arrangements.