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Albanese government keeps four defence sites in public hands after backlash

Victoria Barracks in Sydney and Melbourne, Fort Queenscliff and RAAF Base Point Cook will stay publicly owned following opposition to their sale.

Albanese government keeps four defence sites in public hands after backlash
Image: The Guardian World

At a glance

  • The Albanese government will keep four heritage defence sites, including Victoria Barracks in Sydney and Melbourne, in public hands.
  • The sites were part of a 2023 audit identifying underutilised defence properties earmarked for sale to raise about $3bn.
  • Opposition leaders said more defence sites, including HMAS Penguin and Lancer Barracks, should also be protected from sale.

The Albanese government has reversed plans to sell four heritage-listed defence sites, announcing on Sunday that Victoria Barracks in Sydney and Melbourne, Fort Queenscliff and RAAF Base Point Cook will remain in public ownership. The decision follows strong public opposition to the proposed selloff ahead of a cabinet budget meeting on Monday.

Defence personnel will eventually vacate the sites, and the government will work with the Australian War Memorial to convert them into public spaces that preserve their history for community use. Prime Minister Anthony Albanese described Victoria Barracks Sydney as holding a “special place in our nation’s history.” Defence Minister Richard Marles said the military must prioritise spending on capability and safety rather than maintaining costly properties.

The four sites were among 67 properties flagged in a multi-year audit completed in 2023 as underutilised, unfit for purpose and expensive to maintain. The government had hoped to raise about $3bn from sales, including $1.3bn from the two Victoria Barracks sites alone. A broader plan to sell 26 major metropolitan properties was expected to generate up to $2.4bn and save roughly $3bn in upkeep and security costs over a decade. Those properties include locations in Randwick, Sandringham, St Kilda, Petrie Terrace and Fremantle.

The government said proceeds from metropolitan sales could support housing development, with a long-term target of 6,000 new dwellings. Defence expects personnel to have left six sites by the end of the year.

Opposition figures welcomed the partial backtrack but said more sites need protection. Shadow defence minister James Paterson questioned whether the military should maintain a presence in Sydney and Melbourne, and said the Coalition would continue campaigning to save HMAS Penguin, Lancer Barracks, Irwin Barracks and other properties. NSW opposition leader Kellie Sloane called the barracks an irreplaceable part of military heritage.

The announcement came as the cabinet’s expenditure review committee met on Monday, shortly after the official interest rate was raised to an 18-year high of 4.85% to combat inflation. Treasurer Jim Chalmers said higher fuel prices linked to the Middle East conflict were the main driver of inflation, not the budget.

Source: The Guardian World.

Questions and answers

Which defence sites will remain in public hands?
Victoria Barracks in Sydney and Melbourne, Fort Queenscliff and RAAF Base Point Cook will stay publicly owned and preserve their historic elements for community use.
Why did the government decide to keep the sites?
The decision followed fierce public opposition and a campaign by veterans, politicians and heritage groups. Defence Minister Richard Marles said the military must focus spending on capability and safety.
How much money were the sales expected to raise?
Sales of the Sydney and Melbourne Victoria Barracks were expected to raise $1.3bn, while 26 major metropolitan sites could generate up to $2.4bn.
victoria barracksdefencealbanese governmentaustraliaheritage

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