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Health · Asia Pacific

Victoria’s auditor says pandemic spending total remains unknown

The Victorian Auditor-General's Office says the state cannot establish the full cost of its COVID-19 response because government-wide reporting of pandemic spending stopped after 2021-22. It said ending those reports did not meet the intent of its original recommendation.

AI-assisted synthesis · Based on 2 outlets' reporting · Article text read from 1 of 2 outletsHow it's made

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Coverage: Too few ratedL 0 · C 1 · R 0 · 1 unrated
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What happened

Key facts

  • The Victorian Auditor-General's Office said the full cost of the state's pandemic response cannot be established because cross-departmental spending reports stopped after 2021-22 (per thecourier.com.au).
  • The Victorian Auditor-General's Office said stopping the reports was contrary to the intent of its original recommendation (per thecourier.com.au).
  • The Victorian Auditor-General's Office had previously estimated the state's pandemic response cost at roughly $39.8 billion (per thecourier.com.au).

The brief

The Victorian Auditor-General's Office says the full cost of the state government's COVID-19 response remains unknown because government-wide reporting on pandemic spending stopped after 2021-22. In its latest report, the office said the end of those reports did not meet the intent of its original recommendation. The report says the total may exceed what has been accounted for.

The office had previously estimated the response's cost at roughly $39.8 billion. News24 described the government's COVID-19 bill as $40 billion in a headline about an audit. The rounded figure is close to the earlier estimate, but the auditor's central finding is that the full total cannot now be established from the cross-departmental reporting.

The Courier's account says the Department of Treasury and Finance linked the reporting change to a sharp decline in pandemic spending. The Victorian Auditor-General's Office, by contrast, said the decision did not fulfil the original recommendation's intent. The account gives no further explanation from the department for the change.

The report also notes that departments continued to write off expired personal protective equipment, with the amount estimated at more than $770 million over 2023-25. It describes that sum as a fraction of the $12.1 billion grants program, while cautioning that the full pandemic response costs may be higher than recorded.

These figures concern different parts of the response and do not resolve the overall total. A separate IBAC report found that the Victorian government spent an estimated $257 million in COVID-19 support grants on 9,000 businesses deemed ineligible. That amount was part of the $12.1 billion grants program.

The estimate concerns grants to those businesses; it is not presented as a calculation of the state's entire pandemic bill. The audit’s immediate issue is the gap in consolidated spending information after 2021-22.

The Victorian Auditor-General's Office has stated that the reporting stopped short of the purpose behind its recommendation, while the Department of Treasury and Finance associated the change with lower pandemic spending. The figures reported for expired equipment and ineligible grants add documented costs, but the overall response total remains unestablished.

Why it matters

  • Victorian taxpayers still lack an established total for the state’s pandemic response; the auditor’s earlier estimate was roughly $39.8 billion.
  • Departments’ write-offs of expired personal protective equipment exceeded $770 million over 2023-25.
  • The IBAC report estimated that $257 million in grants went to 9,000 ineligible businesses, within a $12.1 billion program.

What to watch next

  • Whether government-wide reporting of pandemic spending resumes after it stopped following 2021-22.
  • Whether the Victorian Auditor-General's Office issues further findings on the total pandemic response cost.
  • Whether departments report additional write-offs of expired personal protective equipment.

How it's being covered

Coverage analysisShow details
2 source articles · 2 unique outlets
Outlet political mix: Too few rated· 1 Center · 1 unrated
Where the outlets are based: US/Canada 50% · Asia 50%
Outlet political mix
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Left
Center
Right
0 outlets
1 outlet
0 outlets
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Geography
Where the outlets covering this story are based.
2 unique outletsDominant coverage: US/Canada
Limited coverage
  • Coverage is currently limited to 2 outlets.
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Timeline

Developments from this story's sources, dated background we compiled and fact-checked, and our earlier coverage. Each row says which.
  1. Victoria enacted the Public Health and Wellbeing Act, which includes powers to declare a state of emergency.
    Background · compiled and fact-checked by Updat3
  2. In March 2020, the state began imposing restrictions on gatherings and businesses; later that month, a national “stay at home” direction took effect across Australia, with exemptions for essential activities.
    Background · from our historical context
  3. The World Health Organization had characterized COVID-19 as a pandemic on 11 March 2020.
    Background · from our historical context
  4. On 16 March 2020, Victoria’s government declared a state of emergency under the Act, as Australia faced the spread of COVID-19.
    Background · from our historical context
  5. The Victorian government announced a $500 million Business Support Fund for businesses affected by COVID-19.
    Background · compiled and fact-checked by Updat3
  6. In 2023, the Victorian Auditor-General’s Office (VAGO) put the state’s COVID-19 response costs at about $39.8 billion, providing a statewide estimate against which later spending records could be assessed.
    Background · from our historical context

How we got here

In 2023, the Victorian Auditor-General’s Office (VAGO) put the state’s COVID-19 response costs at about $39.8 billion, providing a statewide estimate against which later spending records could be assessed. VAGO’s work on pandemic costs followed emergency expenditure across multiple Victorian government departments during the response.

The legal framework for that response pre-dated COVID-19: Victoria’s Public Health and Wellbeing Act 2008 sets out public-health powers, including provisions for declaring a state of emergency. On 16 March 2020, Victoria’s government declared a state of emergency under the Act, as Australia faced the spread of COVID-19.

Original sources

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