
Australia has three levels of government: federal, state or territory, and local. The federal level includes the federal Parliament, which consists of two houses: the House of Representatives and the Senate. The state or territory level includes the state or territory parliaments, which are located in the capital cities of each of the six states and two territories. The local level includes the local councils, which are located in each local council division. While the Australian Constitution does not mention local councils, each state has a local government Act that provides rules for the creation and operation of councils. The Australia Act 1986 was a significant piece of legislation that formally severed all legal ties between Australia and the United Kingdom, eliminating the possibility for the UK to legislate or be involved in the governing of Australia.
| Characteristics | Values |
|---|---|
| Name of the Act | Australia Act 1986 |
| Purpose | To bring constitutional arrangements affecting the Commonwealth and the States into conformity with the status of the Commonwealth of Australia as a sovereign, independent and federal nation |
| Effect | Removed the power of the British government to be involved in the governing of an Australian state; eliminated the possibility for the UK to legislate with effect in Australia; formally severed all legal ties between Australia and the UK |
| Passed by | The Parliament of Australia and the Parliament of the United Kingdom |
| Came into effect | 3 March 1986 |
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What You'll Learn

The Australia Act 1986
The Australia Act (Cth and UK) formally severed all legal ties between Australia and the UK. The Acts came into effect simultaneously on 3 March 1986. The UK version of the Act came into force at 05:00 GMT on 3 March, while the Cth version came into force simultaneously in Canberra, where it was proclaimed by Queen Elizabeth II at Government House.
The Australia Act (Cth) was assented to by the Governor-General of Australia, Sir Ninian Stephen, "In the name of Her Majesty" on 4 December 1985. However, as Queen Elizabeth II was due to visit Australia in 1986, it was arranged that she would assent to both versions of the Act and then proclaim them so that they would come into force at the same moment in both countries. She assented to the UK version on 17 February 1986 and proclaimed that it would come into force at 05:00 GMT on 3 March.
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Federal, state and local governments
The Australian government is divided into three levels: the federal Parliament, six state parliaments, and over 500 local councils. This system of government was established in 1901 when the six British colonies united to form the Commonwealth of Australia.
The federal Parliament, located in Canberra, is responsible for making laws for the entire country. It has the power to make laws for the territories, including the Australian Capital Territory (ACT) and the Northern Territory (NT). The federal Parliament also has the authority to grant financial assistance to the states, which makes up about half of the states' total revenue. This allows the federal government to influence areas such as education, health, housing, and transport, which are primarily state responsibilities.
Each state has its own constitution, parliament, and laws. The state parliaments are located in the capital cities of each state, and they make laws that are enforced within their respective states or territories. In addition to their own constitutions, the states also have local government Acts that provide the rules for the creation and operation of local councils. These councils are responsible for looking after the particular needs of their local communities.
Local councils are not mentioned in the Australian Constitution, but they derive their powers from state parliaments and can make and enforce local laws, known as by-laws. On average, each council looks after about 28,400 people, with the largest council by population being the Brisbane City Council, responsible for nearly 1.2 million people. The ACT is unique in that it blends the territory and local levels of government, with the Assembly and ACT Government performing local-level responsibilities.
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Local councils
The first official local government in Australia was the Perth Town Trust, established in 1838, only three years after British settlement. The Adelaide Corporation, the first council, was established in 1840, followed in 1842 by the City of Melbourne and the Sydney Corporation. From the 1850s onwards, the number of elected councils grew rapidly.
Today, there are over 500 local government bodies across Australia, consisting of elected members and staff. On average, each council looks after about 28,400 people. The largest council by population is Brisbane City Council, which is responsible for nearly 1.2 million people. Local councils are responsible for managing public services and land use at the community level, including local roads, footpaths, cycle ways, street lighting and signage, waste management, traffic lights, and dog and cat registration. They are financed by local land taxes, known as "rates", and grants from state and Commonwealth governments.
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Territory parliaments
Australia has six state parliaments and two territory parliaments, known as legislative assemblies. The two territories are the Australian Capital Territory and the Northern Territory, and their parliaments were created by the Commonwealth Parliament.
The Australian Capital Territory and the Northern Territory are unicameral, with a single house called the Legislative Assembly. The Australian Capital Territory is unique in Australia as its parliament combines the responsibilities of both a local and state government. The Northern Territory and the Australian Capital Territory were granted self-government by the federal Parliament, which passed the Northern Territory (Self-Government) Act 1978 and the Australian Capital Territory (Self-Government) Act 1988.
The Australian Capital Territory Legislative Assembly has 25 members, elected for four-year terms from multi-member constituencies, using the Hare-Clark system of proportional voting. The Northern Territory has two senators who represent the residents of the territory, as well as the Australian external territories of Christmas Island and the Cocos (Keeling) Islands.
In addition to the Australian Capital Territory and the Northern Territory, there are eight other Australian territories, including Norfolk Island, Christmas Island, and the Cocos (Keeling) Islands. These territories are governed according to Australian federal law and the laws of a state. Most have an appointed administrator.
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Federal Parliament
Australia has three levels of government: federal, state or territory, and local. The federal government is located in Canberra, the nation's capital. The decision-making body of the federal government is the Federal Parliament, which consists of two houses: the House of Representatives and the Senate.
The House of Representatives is made up of elected representatives, each representing a separate division or electorate in Australia. The leader of the federal government, the Prime Minister, is elected by their fellow party members as the leader of the party that has won the majority of members elected to the House of Representatives.
The Senate, also known as the 'state's house' or the 'house of review', plays a joint role with the House of Representatives in reviewing, debating, and voting on proposed laws. Senators are elected to represent a whole state or territory, with 12 senators for each state and two senators for each territory.
The federal government is responsible for areas such as foreign affairs, social security, industrial relations, trade, immigration, currency, and defence. It also shares control with state and territory governments in some areas, including the environment, public health, and education. While the federal government does not make laws for the states, it can influence state-level decision-making through its power to grant financial assistance to states on terms it decides. This allows the federal government to direct how states spend the money they receive, impacting areas like education, health, housing, and transport.
The federal government raises funds through taxes on incomes and company profits, fuel excise, and customs duties. The Treasurer delivers the Budget to Parliament annually, outlining how the government will raise and spend money. The government must then gain approval for its budget by asking Parliament to pass a series of bills called Appropriation Bills.
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Frequently asked questions
The Australia Act 1986 added a third level of government to Australia. The act is made up of two separate but related pieces of legislation: the Australia Act 1986 (Cth) and the Australia Act 1986 (UK).
The purpose of the Australia Act 1986 was to sever all remaining legal ties between Australia and the United Kingdom. The act removed the power of the British government to be involved in the governing of an Australian state and eliminated the possibility for the UK to legislate with effect in Australia.
The three levels of government in Australia are: local councils, state/territory parliaments, and federal Parliament.
The responsibilities of each level of government in Australia vary. The federal government is responsible for areas such as foreign affairs, social security, industrial relations, trade, immigration, currency, and defence. State and territory government responsibilities include justice, consumer affairs, health, education, forestry, public transport, and main roads. Local government responsibilities include local road maintenance, garbage collection, building regulations, land subdivisions, public health, and recreation facilities.











































