Home > Ministerial Statements > Investing to Close the Gap Between Indigenous and Non‑Indigenous Australians > Investing to Close the Gap

Investing to Close the Gap

Closing the Gap in Indigenous disadvantage is a goal shared by all Australians.

The 2011‑12 Budget affirms our commitment to address Indigenous disadvantage. It provides $526.6 million over the next five years focused on:

Delivering investment to Close the Gap — we are building on the unprecedented reforms and investments already in place to boost education, health and family services and encourage personal responsibility for Indigenous Australians.
Increasing opportunities for economic participation and employment — we believe that economic participation and employment are fundamental to the wellbeing of Indigenous Australians, their families and communities.
Building mutual understanding and respect — we are supporting key initiatives to build mutual understanding and respect between Indigenous and non-Indigenous Australians. We understand that a strong partnership and engagement between Indigenous and non-Indigenous Australians is the basis for long-term change.

Closing the Gap is a long-term challenge facing the nation. It calls for sustained effort over many decades.

The Australian Government's agenda to close the gap is driven by three important imperatives: to overcome decades of under-investment in services and infrastructure; to encourage and support personal responsibility as the foundation for healthy, functional families and communities; and to build new understanding and respect between Indigenous and non-Indigenous Australians.

We know that Closing the Gap cannot be achieved by Government alone. We are working with Indigenous and non-Indigenous people, families, communities, businesses, non-government organisations and all levels of government to tackle this. But to do so, we need Indigenous people to take responsibility for nurturing healthy and functional families and communities.

All of this work is underpinned by a clear framework for change. In 2008, Australian governments agreed through the Council of Australian Governments (COAG) to establish the Closing the Gap framework, laying down ambitious targets to close the gap on a range of life outcomes.

Closing the Gap Framework

The Australian Government, together with the States and Territories through the COAG, has set specific and ambitious targets to end Indigenous disadvantage:

To close the gap in life expectancy between Indigenous and non-Indigenous Australians by 2031;
To halve the gap in mortality rates for Indigenous children under five by 2018;
To ensure access to early childhood education for all Indigenous four year olds in remote communities by 2013;
To halve the gap in reading, writing and numeracy achievement for Indigenous children by 2018;
To halve the gap in Year 12 or equivalent attainment rates for Indigenous young people by 2020; and
To halve the gap in employment outcomes between Indigenous and non‑Indigenous Australians by 2018.

These targets are underpinned by seven building blocks — priority areas where action is required:

Early Childhood;
Schooling;
Health;
Healthy Homes;
Economic Participation;
Safe Communities; and
Governance and Leadership.

Delivering Investment

The Australian Government is already investing more than $5.75 billion over the next three years, before new measures included in the 2011‑12 Budget, to help turn around decades of under‑investment and to make lasting long term improvements for Indigenous Australians.

The Australian Government, working with State and Territory Governments through COAG, has made historic investments across Australia in early childhood, schooling, health, housing, jobs, safety and leadership.

These landmark agreements with the States and Territories are critical to overcoming decades of under‑investment in essential infrastructure and services for Indigenous people, including:

$5.5 billion over ten years from 2008‑09 to 2017-18 to build and refurbish homes and related infrastructure under the National Partnership Agreement on Remote Indigenous Housing;
$1.6 billion over four years from 2009‑10 to 2012‑13 to improve the health of Indigenous people under the National Partnership Agreement on Closing the Gap in Indigenous Health Outcomes;
$564.6 million over six years from 2008‑09 to 2013‑14 to help ensure Indigenous children get a good start in life under the National Partnership Agreement on Indigenous Early Childhood Development;
$228.9 million over five years from 2008‑09 to 2012‑13 to create real jobs in Indigenous communities in government service delivery, along with additional measures to help Indigenous people get jobs and generate business income, under the National Partnership Agreement on Indigenous Economic Participation;
$291.2 million over five years from 2009‑10 to 2013‑14 to improve remote services under the National Partnership Agreement on Remote Service Delivery; and
$807.4 million over three years from 2009‑10 to 2011‑12 to continue work in the Northern Territory under the Closing the Gap in the Northern Territory National Partnership Agreement.

We recognise that this significant investment must be accompanied by substantial reform actively involving Indigenous people.

Under the National Partnership Agreement on Remote Service Delivery, governments are working together to improve the delivery of services to Indigenous people in 29 priority remote locations across the Northern Territory, Western Australia, Queensland, New South Wales and South Australia.

We have developed Local Implementation Plans with each community so investment priorities can be set in response to local needs.

We are determined to make these investments work. The 2010‑11 Budget established a Remote Service Delivery Flexible Funding Pool of $46.0 million over three years to cut through red tape and fund a broad range of projects. We also appointed the Coordinator General for Remote Indigenous Services in July 2009 to monitor and report on the progress of our commitments in the priority locations.

We have also demonstrated our commitment to reform under the National Urban and Regional Service Delivery Strategy, agreed by COAG in 2009. Three quarters of Indigenous Australians live in urban and regional areas. While the gap between Indigenous and non-Indigenous people is less marked in these areas than in remote locations, many urban and regional Indigenous people are significantly disadvantaged compared to non‑Indigenous people. We are working with State and Territory Governments to ensure services delivered in these areas are effective, accessible and culturally appropriate for Indigenous Australians.

The National Urban and Regional Service Delivery Strategy commits governments to coordinate and target the substantial funding already provided under mainstream and Indigenous-specific initiatives so that it effectively addresses Indigenous disadvantage in urban and regional locations.

We are continuing our significant investment in enhancing services to improve the lives of Indigenous people in the Northern Territory, through the $807.4 million provided under the Closing the Gap in the Northern Territory National Partnership Agreement.

Following extensive consultation with Indigenous people across the Northern Territory, the Government made changes to the Northern Territory Emergency Response (NTER) to recognise the dignity of Indigenous people and their role as partners in creating change. We have repealed laws suspending the operation of the Racial Discrimination Act 1975. We have redesigned five-year leasing arrangements, alcohol and pornography restrictions, community store licensing and law enforcement powers. We have also introduced a new non-discriminatory income management scheme across the Northern Territory to protect children, help disengaged young people and better support families at risk.

Action to Close the Gap in the Northern Territory

Through targeted investment to address Indigenous disadvantage in the Northern Territory, including the Closing the Gap in the Northern Territory National Partnership, we have already delivered:

Extra police — more than 60 extra police have been placed in more than 20 communities;
Night patrols — 80 communities have Government-funded night patrol services;
Safe houses — 22 safe places are operating in 15 communities to provide a place for children, women and men to go when it is unsafe at home;
Mobile child protection team — over 2,455 cases investigated in over 55 communities between July 2008 and November 2010;
School Nutrition Program — more than 7,000 meals (breakfasts and lunches) are provided to around 4,500 children daily;
Child health checks — 10,600 child health checks and more than 24,000 follow-ups for audiology, dental and ear, nose and throat procedures;
More health professionals — more than 450 Remote Area Health Corps placements; and
Extra teachers — 146 extra teachers funded by the Government.

Building Mutual Understanding and Respect

This year we celebrated the third anniversary of the Australian Government's Apology to Australia's Indigenous Peoples. The Apology was a long-overdue acknowledgement of past harm. It marked a new beginning in our relationship with Aboriginal and Torres Strait Islander people, and in our efforts to deal with unacceptable life inequalities. Recent developments underline the Government's commitment to mutual understanding, respect and genuine engagement with Indigenous people as we work to close the gap.

The National Congress of Australia's First Peoples to be fully established this year, with funding of $29.2 million over five years from 2009‑10 to 2013‑14, is central to building new partnerships based on mutual respect and understanding. The Congress is a representative body that will engage and partner with governments, the corporate and community sectors on policy design. We expect the Congress to provide effective and well-developed policy advice, which reflects the views of its members.

The Government's commitment to progress recognition of Indigenous Australians in the Australian Constitution is another important step. We have appointed an expert panel, with funding of $11.2 million over two years from 2010‑11 to 2011‑12, to lead discussion about Indigenous constitutional recognition, encourage the public to put forward their views and develop possible options for constitutional change in a report to the Government in December 2011.

The Government recognises that ending the disadvantage caused by decades of under‑investment will take time. In the third annual Statement to the House on Closing the Gap in February of this year, the Prime Minister said:

The framework is in place and delivery has begun…

Parliament should be in no doubt. Prime Ministers will be reporting on Closing the Gap for decades to come.

This work will go on.

If www.budget.gov.au responds slowly or you are having trouble downloading a document, try one of the Budget Website Mirrors

Note: Where possible, Budget documents are available in HTML and for downloading in Portable Document Format(PDF). If you require further information on any of the tables or charts on this website, please contact The Treasury.