Following extensive consultation with the states and territories and local communities, the Australian Government will change the proposed new Disaster Recovery Funding Framework to deliver more funding for communities after disasters.

The new Disaster Recovery Framework will ensure Commonwealth funding will flow to impacted communities faster and with less red tape, while building on our record investment in risk reduction.  

The changes will include:

• Retaining current cost-sharing arrangements, with the Commonwealth providing up to 75% of disaster recovery funding when certain criteria are met.
• Counter Disaster Operations will continue to be supported, subject to criteria.
• Revising funding activation thresholds to ensure all communities get the support they need when they need it.

The reforms are about making future support clearer, simpler, equitable and better aligned with long-term resilience.

The Government is drawing on findings and recommendations from the Independent Review of Commonwealth Disaster Funding, led by Mr Andrew Colvin AO APM. 

The review was in response to the increasing size, scale, intensity, cost and complexity of natural disasters. 

Next steps

Once the new Disaster Recovery Framework is finalised, the next phase will focus on practical implementation. The Commonwealth will work closely with states and territories to support this in a considered way.

For the upcoming Higher Risk Weather Season, current disaster recovery funding arrangements remain in place.

There will be no sudden change for communities this season. Further work with states, territories, local government and stakeholders will continue before new arrangements take effect.