Capital’s regional job shift

FEDERAL agencies may be moved into regional cities to further tackle growing unemployment.

And billions will be spent on regional infrastructure under new funding methods in the Federal Budget and government agencies may be relocated to address growing regional unemployment.

But the budget did not specify what areas the infrastructure fund will be spent in, nor did it set aside new money for new “city deals” in regional areas.

The government recommitted in the budget to moving agencies out of Canberra but did not reveal a timeframe or which entities may be moved.

But budget papers foreshadowed relocating “non-policy” agencies into regional areas struggling with high unemployment.

“The government can play a role in bringing diverse skills and job opportunities to those regional economies and is exploring the potential decentralisation of some Commonwealth agencies to regional centres,” budget papers said.

The budget revealed the Federal Government will fund a $4 billion Regional Investment Corporation to assist with farm debt and water infrastructure.

A $472 million Regional Growth Fund will target infrastructure needs across regional Australia including $200 million to expand the Building Better Regions program.

The budget has also targeted regional students with six community-run “study hubs” to be in regional areas. The location of the hubs was not revealed.

The number of university students in regional Australia was predicted to grow from 216,000 this year to 225,000 in 2020-21.

Treasurer Scott Morrison (pictured) said the growth experienced in major cities was not universal.

“Not all Australians have shared in this hard-won growth. Many remain frustrated at not getting ahead,” he said.

“This is especially true in areas where technological change, globalisation and the end of the mining investment boom has had a significant impact.”