Federal Budget 2024/25

On Tuesday evening, the treasurer Jim Chalmers handed down his third Labor budget.

A Budget surplus of $9.3 billion is forecasted for 2023-24 which will be short-lived with an underlying cash deficit of $28.3 billion is expected in 2024-25 (and a $42.8 billion deficit for 2025-26). The Budget noted a weak and uncertain global economy where growth is forecast to remain subdued over the next few years.

Inflation is expected to remain elevated at 3.5% for 2023-24, which is then expected to fall to 2.75% in 2024-25.

The Government plans to spend billions to cut energy bills and rent, lowering headline inflation and providing relief for voters grumbling about cost of living pressures ahead of an election next year.

This summary highlights some of the Government’s key initiatives.

Download the report for more details.

Cost of living and Government Assistance
  • Energy bill relief fund for all households and eligible small businesses
  • Pharmaceutical Benefits Scheme (PBS) changes
  • Social Security deeming rates freeze for a further 12 months
  • Strengthening Medicare and the care economy
  • Increase to rent assistance
  • Mental health support
  • Carer Payment improve flexibility
Tax and Superannuation
  • No changes to stage 3 personal income tax cuts
  • Small business instant asset write-off
  • Paying superannuation on Government funded Paid Parental Leave Payment (PPL)
Aged care
  • Regulatory reform and improved support
  • Making it easier to buy a home