The Hon Alex Hawke MP
Shadow Minister for Industry and Innovation
Manager of Opposition Business in the House
MEDIA RELEASE
Taxpayers have now bailed out a second iconic Aussie brand in as many months, with a new debt deal announced today by the Albanese Labor Government’s National Reconstruction Fund (NRF).
Labor’s flagship $15 billion industry fund has signed a deal with The Arnott's Group, with $45 million of taxpayer money being spent on a $1.75 billion debt refinancing.
The Arnott’s deal is not fresh capital to expand domestic production, but rather a refinancing of existing debt - a government bailout in all but name. Arnott's debt is reported to mature in 2026.
Last month, the NRF made a $36 million debt deal with Patties Food Group, which produces Four’n Twenty meat pies, among other popular brands.
Both The Arnott’s Food Group and Patties Food Group are owned by foreign companies.
Shadow Minister for Industry and Innovation, Alex Hawke, said Labor’s NRF was a slush fund for industry bailouts.
"Something is very rotten in our economy if a business in Australia can't sell meat pies and Tim Tams to Australians without taxpayer subsidies," Mr Hawke said.
"Labor is pouring money into foreign-owned companies while Aussie manufacturers go to the wall because of the government’s failure to deliver reliable and affordable energy.
"The Future Made in Australia agenda is swiftly becoming a Future Bailed Out in Australia."
The National Reconstruction Fund has been hit by a series of serious governance scandals, including a recent report from the Auditor-General which found that the NRF had been operating without finalised investment, impact or financial strategies.