Anthony Albanese’s government is set to copy Jacinda Ardern and deliver a ‘wellbeing budget’
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Treasurer Jim Chalmers will hand over the Albanian Labor government’s first budget on October 25.
* Projected budget deficits for the next four years
* 2021/22 budget improved from previous forecasts to reach $32 billion deficit
* Debt continues to grow, reaching $892.3 billion as of October 14
* The net impact of Labor’s four-year election pledges during the election, as assessed by the Parliamentary Budget Office, was a deficit increase of $6.9 billion
* Additional $10.4 Billion Receipts Above Future Estimates
* Additional payments of $15.8 billion above future estimates
* Commodity price forecasts are expected to show a decline in revenue from the previous year
* Spending is expected to be higher, with pensions and other social benefits rising due to indexation
* Other key spending areas include NDIS, health, aged care and defense
* The cost of paying off government debt is expected to increase by 14 percent per year over the next four years, NDIS spending by 12.1 percent, health care by 6.1 percent and defense by 4.4 percent
* The government will gradually increase paid parental leave from 18 to 26 weeks in 2026
* The cheaper childcare package announced ahead of the election will cost $5.1 billion above estimated costs
* The aged care reforms will cost $2.5 billion
* Lowering PBS’s overall out-of-pocket contribution to $30 will cost $104.3 million in 2022/23 or nearly $770 million over four years
* $2.4 billion equity investment in NBN over four years to extend fiber broadband access to 1.5 million buildings by 2025
* The discount on electric cars will cost $54.3 million in 2022/23
* Four major pledges will not be in the underlying cash balance (they will be in the cash balance total and will cost approximately $40.5 billion in total): Powering Australia – Rewiring the Nation, Help to Buy, National Reconstruction Fund and Housing Australia Future Fund
* Another 20,000 university places will cost $96.1 million in 2022/23
* Contribution of $150 million to the Cairns Naval District with the other half funded by the Queensland Government
* $15 million for free mental health care and financial support for small businesses
* Disaster-ready fund will cost $29.4 million in 2022/23
*Strengthening Medicare GP Scholarships Will Cost $198 Million By 2022/23
* $96.4 million additional aid for the Pacific is promised for 2022/23
* $100 million pledged to restore Homeland funding, Indigenous spending, plus $22.9 million for Indigenous health by 2022/23
* An additional $20.9 million in 2022/23 is marked for the ABC
* $144 million pledged for 2022/23 schools upgrade fund
* The free TAFE policy will cost $112 million in 2022/23
* The improvement in student wellbeing will be $201.5 million in 2022/23
* Expanding and strengthening existing ATO programs will result in a $3.1 billion improvement over future estimates (PBO)
* Plans to ensure multinationals pay their fair share of taxes will result in a $1.9 billion improvement over future estimates
* $88.5 million for 2022/23 to give back from the Great Barrier Reef Foundation
* An additional $204 million for the Great Barrier Reef to address gaps in the Reef 2050 Long-Term Sustainability Plan and accelerate reef conservation activities
* Savings from reducing public service spending on contractors, consultants and employment agencies would reduce payments by $3 billion from forward estimates. Treasury Secretary Katy Gallagher has also highlighted the creation of an internal advisory model for the APS to reduce reliance on private consultancies and increase public service capacity.
* Road and rail infrastructure is given a new priority from the March budget provided by the Morrison government
* The government will stop spending $3 billion on gasoline tax cuts for six months now that full tax is reintroduced
* Abolition of the cashless debit card has an unknown impact on the budget due to commercial in confidence
* Reducing uncommitted funding in the Community Development Grants program and eliminating the Regionalization Fund is expected to save $750 million over future estimates
*Abolition of the ABCC to save $140 million over future estimates
* Savings on advertising, travel and legal costs are expected to total $570 million over forward estimates
* An audit found $6.4 billion in additional spending over four years due to unfunded Coalition government health and aged care programs, capital destruction and “zombie” measures that are unlikely to ever be enacted into law.
* $900 million over four years to support the Pacific region and a new Pacific Engagement Visa to permanently migrate up to 3,000 Pacific Islands and East Timor countries to Australia
* Increase aid to Southeast Asia by $470 million and an economic strategy for the region
* $50 million three-year grants to support early stage critical mineral projects
*Changes to the third tax cuts in the federal budget are excluded. The cuts are legislated for implementation in 2024, taxing all income between $45,000 and $200,000 at 30 percent. The tax cuts are expected to cost $243.5 billion over 10 years.
(Based on Labor election promises and pre-budget announcements.)