Qld treasurer calls for GST overhaul at National Press Club

Queensland's treasurer David Janetzki criticised the federal government's GST distribution system in a historic address. ( AAP: Darren England )

Queensland's treasurer David Janetzki has criticised the federal government's decision not to scrap its GST deal with Western Australia and urged changes to the GST allocation system.

Mr Janetzki's address to the National Press Club follows the release of the Productivity Commission's interim report, which recommended the federal government scrap its deal with Western Australia.

Public consultation for the Productivity Commission review finishes today, with its report due to be handed down in December.

Queensland's treasurer has used a historic National Press Club address to renew his push for an overhaul of the GST system, saying the current carve-up "threatens the fiscal stability of the federation".

It follows the release of the Productivity Commission's interim report, which recommended the federal government scrap its deal with Western Australia, a suggestion the prime minister has since ruled out.

The interim report found the 2018 WA GST deal was a "costly mistake" that only benefited WA.

In an address delivered to the first ever National Press Club gathering in Queensland, David Janetzki said his battle is not with WA but rather the "unfair GST distribution".

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