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Old 18th Sep 2020, 01:33
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Section28- BE
 
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ex ABC News (today): NSW paid $750,000 to lure Virgin to Sydney........


NSW paid $750,000 to lure Virgin to Sydney


Virgin has agreed to keep its headquarters in Brisbane.(ABC News: Chris Gillette)

The NSW Government paid a private consulting firm $750,000 to help with its failed bid to move Virgin Australia's main office to Sydney, it has been revealed.

As Virgin Australia went into administration, a tug-of-war broke out between NSW and Queensland in order to prop up the airline.

NSW Treasury paid $750,000 to private firm Boston Consulting Group for advice on how to protect the airline and grow its presence south of the border.

Opposition MP Walt Secord said it was an extraordinary contract considering Treasury could have provided the advice.

"The NSW Treasury should have the economists and individuals who'd be able to do this work," he said.

Virgin Australia's winning bidder Bain Capital eventually agreed to keep Virgin's headquarters in Brisbane after a $200 million incentive from Queensland.
Link: https://www.abc.net.au/news/2020-09-...er-18/12674074

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