The Prime Minister has announced a $1.1-billion funding boost for Queensland’s flood affected areas.

The joint Commonwealth-State deal was announced today at a function in Brisbane.

Vivien Von Drehnen reports.


Ms Gillard says the money will go to areas most in need, reconstructing communities, creating more than 1,500 jobs.

Julia Gillard, Prime Minister: “South-West Queensland will receive $700-million for road reconstruction and repairs and $435-million will go to roads in the darling downs.”

There’s $18-million for the Grantham area alone which was devastated by the January floods.

The Prime Minister was brought up to speed on the recovery effort there, praising the work of the Queensland Reconstruction Authority and the Lockyer Valley Council.

With an additional $18-million allocated to rebuilding Grantham, Acting Premier Andrew Fraser hopes residents begin to move into new homes by Christmas.

Andrew Fraser, Acting Premier: “It’s been a tough year for many people, it’s been a particularly tough year out in Grantham, and what this means is potentially we’ve got people in their homes, in new homes by Christmas and I think that would be something that would not only be great for them, but the whole of Queensland.”

Local Mayor Steve Jones says the re-building of homes above the flood area, is well underway.

Steve Jones, Lockyer Valley Mayor: “Within the next couple of years, I think we’ll have ninety five to ninety eight per cent of the people moved up out of the flood area, and with the interest that we’ve got on further blocks that we’ll be developing for sale, I think we could find we could have an additional three to four hundred families.”

The PM wouldn’t be drawn on questions about cabinet leaks, leadership challenges or opinion polls.

Julia Gillard, Prime Minister: “The commentators will write a million words about a million opinion polls betyween now and 2013. In 2013, I will be judged on what’s been achieved for the australian people.”

Vivien von Drehnen, QUT News.