There's belief that injecting taxpayer dollars into venture capital comes with high risks.

The Government's putting $100 million into the Elevate fund - which supports small business start-ups. 

It's diverting $61 million from its yearly Super Fund contribution, topped up with $39 million from the Budget.

The Taxpayers Union's James Ross says commercially viable businesses wouldn't need propping up by the Government.

"The fact that the Government is having to do that just proves how high-risk these investments are - and it proves the risks that the taxpayers are being exposed to."

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