There is a major risk that Opposition Leader Campbell Newman’s decentralisation plan to move Queensland public servants out of Brisbane CBD and into the regions – particularly Cairns, Maryborough, and Gympie – would eventually result in an overweight and inefficient public service. With public servants underpinning regional economies, Governments would be very reluctant to cut the public service fat that accumulates from time-to-time.
Hence, if he becomes Premier, Mr Newman would be well advised to commission an assessment of the cost-effectiveness of relocating the public service to the regions. My intuition is that there may be gains from relocating public servants out of Brisbane CBD and to suburban hubs such as Toowong and Mt Gravatt, but that mass relocations to the regions would not be cost-efffective.
Queensland Economy Watch 
Thanks for that post which I have copied with link if that’s OK?! This is an idea being strongly pushed in Cairns by media, business leaders, and also the LNP, as a “good idea”. I completely agree with you and also note that there were comments made at the last Federal funding agreement about how to make the States more accountable for their efficiency.
The current pessimism and structural adjustment in Cairns from a construction bust overlooks that it is well placed geographically for many current trends in agribusiness, mining services, and proximity and flight connections to China.
Thanks KS. It’s great you’re confident about Cairns’s future. Let’s hope the Cairns regional economy picks up soon.
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