7 November 2024

Barr cedes Treasury to Steel as new cabinet roles point to public service shake-up and budget discipline

| Ian Bushnell
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Labor’s new cabinet: Tara Cheyne, Suzanne Orr, Chris Steel, Rachel Stephen-Smith, Andrew Barr, Yvette Berry, Dr Marisa Paterson and Michael Pettersson. Photo: Ian Bushnell

Chief Minister Andrew Barr has finally relinquished the Treasury portfolio to Chris Steel, and Rachel Stephen-Smith will take up a new portfolio for the public service as Labor’s new cabinet pointed to tight budget management and a shake-up of an underperforming bureaucracy over the next four years.

As flagged on Wednesday (6 November), only the two new Labor members, Caitlin Tough and Taimus Werner-Gibbings, will not be ministers in Mr Barr’s government.

However, the emphasis is clearly on keeping the budget under control as the government manages its $10 billion infrastructure program and expects more efficiency from the public service.

Mr Barr, who retains economic development, Chris Steel and Ms Stephen-Smith, who will also be Finance Minister, and Deputy Chief Minister Yvette Berry, will be at the centre of power as members of a new economic team and the expenditure review committee.

READ ALSO COVID report worse than a missed opportunity, it ensures we will be victims of more government overreach

Major Projects Canberra will be remodelled as a new agency called Infrastructure Canberra, which will add some of Canberra’s other big projects to its responsibilities.

Mr Barr will also chair a cabinet sub-committee that will focus on the delivery of infrastructure projects across portfolios.

Tara Cheyne will step up to fill the vacant Attorney-General role now that Shane Rattenbury is sitting on the crossbench, as well as being manager of Government Business.

The three new members of cabinet are Dr Marisa Paterson, Suzanne Orr and Michael Pettersson.

Mr Barr denied the forming of a new economic team showed concern about the Territory’s budget situation or credit rating, but he did acknowledge that the infrastructure program had to be managed carefully.

“The credit rating agency has been quite clear with us in relation to the scope of the Territory’s infrastructure program. The program is very full and very busy for this parliamentary term,” he said.

Mr Barr said he had argued the importance of the budget in negotiations with the crossbench since the election.

“We were very clear in our election promises that we would stick within the parameters that were outlined in the pre-election budget update and we’ve made our views quite well known on that.”

Mr Steel stressed several times the importance of responsible budget management, particularly around Labor’s commitments on infrastructure, housing, cost of living, health and jobs.

“We’ve got a significant agenda there and responsible management of the budget is critical to enable that to be delivered,” he said.

Two new ministers, Marisa Paterson and Michael Pettersson, with Deputy Chief Minister Yvette Berry (left).

The economic team would also focus on reshaping the public service and managing Commonwealth-State financial relations.

Mr Barr said the public service had let the government down in some areas, particularly IT procurement, where in one project, $78 million had to be written off.

“We’re not announcing sweeping changes today, but we are announcing an intent to look across the structure of the ACT public service to see how we can shape that in a way to deliver more services, more effectively,” Mr Barr said.

Ms Stephen-Smith ruled out job cuts and said the shake-up was about ensuring frontline services were delivered with the greatest efficiency to deliver the biggest benefit to the people of Canberra.

“We’re absolutely not talking about cutting public service jobs and what I can absolutely guarantee to the ACT public service and the unions that represent them is that I will be sitting down and talking to people and ensuring that there is a process of consultation and engagement as we go through any changes that will be made as part of this process,” she said.

In fact, the government, where it could, would insource services that were not being delivered effectively from outside the public service.

Mr Barr said the new cabinet was an opportunity to separate the Chief Minister and Treasurer roles, which the Greens and the independents had raised during the campaign.

“I did indicate in the last term that I would not be Treasurer forever and that there would be a time to hand over the portfolio. That time is now,” he said.

It would also free him to manage relations with the crossbench, focus on the infrastructure program and guide the cabinet team, he said.

READ ALSO IT access breaches across APS growing security concern, parliamentary inquiry finds

Ms Cheyne said that as Attorney-General she would lead a reform program, particularly in the criminal justice sector.

“I will be working very closely with Dr Paterson [in Corrections] as we go forward, particularly about reducing incarceration rates,” she said.

“It’s not the only answer but one of the big answers I believe is restorative justice.”

The 2024 ACT cabinet is:

Andrew Barr

Chief Minister, Economic Development, Tourism and Trade.

Yvette Berry

Deputy Chief Minister, Education and Early Childhood; Homes and New Suburbs; Sport and Recreation.

Rachel Stephen-Smith

Health, Mental Health, Finance, Public Service.

Chris Steel

Treasurer, Planning and Sustainable Development, Heritage, Transport.

Tara Cheyne

Manager of Government Business, Attorney-General, Human Rights, City and Government Services, Night-Time Economy.

Suzanne Orr

Aboriginal and Torres Strait Islander Affairs; Climate Change, Environment, Energy and Water; Disability, Carers and Community Services; Seniors and Veterans.

Michael Pettersson

Business, Arts and Creative Industries; Children, Youth and Families; Multicultural Affairs; Skills, Training and Industrial Relations.

Marisa Patterson

Police, Fire and Emergency Services; Women; Prevention of Family and Domestic Violence; Corrections; Gaming Reform.

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Gregg Heldon1:20 pm 07 Nov 24

Oh goody, another portfolio that Steele can royally screw up. Treasury. And I thought our finances were already down the toilet. They’ll be around the S-Bend soon enough.

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