The 2025-26 Federal Budget is a budget for voter appeal, with over $7 billion in additional spending measures in 2025-26 and over $20 billion across five years. Most measures extend previously announced and budgeted items for another year and introduce personal income tax cuts, offering tax savings of up to $268 in 2026-27 and $536 from 2027-28. The Australian Taxation Office has allocated nearly $1 billion to extend and enhance its compliance programs.

Key Initiatives Include:

• Energy: $180bn for a $150 energy bill rebate extension.
• Healthcare: $8.5bn for Medicare, 50 new urgent care clinics, and a bulk-billed GP service; $1.8bn over 5 years for cheaper medicines on the PBS; $240m for women’s health.
• Education: $500m for a 20% HECS-HELP debt cut and repayment realignment.
• Housing: $800m to expand the ‘Help to Buy’ scheme.
• Families: Subsidised childcare for three days a week from January 2026.
• Lifestyle: Beer excise frozen for two years from August.

Economic Outlook Summary:

• Global trade tensions continue to impact economic stability, with indirect tariff effects significantly affecting Australia.
• Growth: 2.25% in 2025-26 and 2.5% in 2026-27.
• Deficit: -$42.1bn in 2025-26, with marginal improvement expected.

Click HERE to read the Federal Budget Overview for further details.