Budgets Budgets Budgets

Budgets, Budgets, Budgets

The 2005-06 Budget season has begun with the release of the Victorian, ACT and Northern Territory Budgets on May 3 and the Federal Budget due to be brought down next week.

Other State Budgets are due to be released later in May and June.

Here we provide the highlights of the Victorian, ACT and Territory Budgets. Summaries of other State Budgets will be included in the May Newsletter.

Details of the Federal Budget will be included in a Special Newsletter to be published next week.

2005-06 Victorian Budget Highlights

Victorian Treasurer, John Brumby, described the Budget as being "about opportunity and prosperity", saying: "It is about using the proceeds of a strong and dynamic Victorian economy to invest for the future - generating new opportunities and greater prosperity across the State and making Victorian the best place in Australia to raise a family."

Key elements include:

Operating surplus of $365 million in 2005-06

Expected economic growth of 3.0 percent in 2005-06

Public sector savings across government departments of $532 million over the next four years

$2.3billion for infrastructure investment, including $473 million for health and community services related infrastructure and redevelopment of the Royal Children's Hospital, $300 million for the redevelopment of the Melbourne Markets, $660 million for transport infrastructure, $158 million for justice infrastructure including a statewide police stations program and $11 million towards the redevelopment of Melbourne Olympic Park

Land tax cuts worth $23 million over five years

Abolition of bank account debits tax from 1 July 2005, at a cost of more than $250 million a year

Abolition of rental business duty from 1 January 2007, at a cost of around $65 million a year

In education, $89 million to connect every government school in the State to the SmartONE fibre-optic broadband network, $94 million to build or complete 16 new and replacement schools, $31 million for new specialist facilities in secondary schools and an $151 million for non-government schools

In health, a $578 million increase in finding over the next four years, including a special allocation of $30 million over two years for a "blitz" on elective surgery waiting times for up to 10,000 patients experiencing long times to treatment, $8.5 million for a statewide Health Assist Line and$110 million rebuilding emergency departments across the State

In the area of community safety, the Budget boast Victoria's crime rates is 23% below the national average and provides $78 million to build or complete 54 metropolitan and country police stations and provide 12 new mobile police stations as well as $57 million for resources to fight organised and major crime

More than $780 million has been provided over four years to implement the Government's social policy statement - A Fairer Victoria - which delivers new support for families, children, indigenous Victorians, young people at risk and the elderly

The First Home Bonus will be extended for a further two years - providing a $5000 grant until the end of December 2005 and a $3000 grant for an additional 18 months until 30 June 2007

In transport, over $660 million in capital funding for the Metropolitan Transport Plan, including $200 million boost for public transport and roads in Melbourne's outer growth suburbs, $96 million investment in road and rail networks throughout regional Victoria and $35 million over four years to provide a 25 per cent discount on licence costs to motorists who incur no demerit points in the three years leading up to their renewal

A 10 percent cut to the average WorkCover premium rate for 2005-06 to save Victorian businesses $170 million and reduce the average rate to 1.8 per cent – equal to the lowest level in the scheme's history

A $106 million investment over five years in new innovative energy technologies to ensure a secure energy supply, maximise industry competitiveness and reduce greenhouse

For the environment, an additional $92 million for the protection and care of parks

Victorian Treasurer, John Brumby's full Budget Speech is available here (1.3MB PDF file). The Victorian Government's special budget web site including all Budget Papers is available here.

2005-06 Australian Capital Territory Budget

ACT Treasurer, Ted Qunilan, described the fourth Stanhope Budget as delivering on the Government's commitments while being "both financially responsible and response to the needs to our community."

Key elements include:

General government sector debt of $91.5 million in 2005-06

Expected Gross State Product growth of 1.8 percent in 2005-06

Expected jobs growth of 1.0 percent in 2005-06

Increasing rates from 1 July 2005, will be equal to an average of $104 per annum, or $2 a week, for residential and rural properties and an average of $312 for commercial properties. This will generate an extra $13.8 million a year in revenue

$292.4 million for capital works, comprising 77.5 million for new works and $215 million for works in progress. Major projects include $6 million to upgrade the Childers Street Precinct in City West, $6 million establishment of a world-class recreational forest of over 1,500 hectares, with facilities for major sporting events at Stromlo Forest Park, additional funding of $16.1m for the Gungahlin Drive Extension and upgrades of fire systems at The Canberra Hospital ($2.6m) and Calvary Hospital ($1m)

In education, $677.899 million has been provided, representing an increase of $13.2 million on last year. Initiatives in this year's Budget include $2 million for the School Building Renewal Fund to provide additional capital funding to improve the quality of school infrastructure, $1 million in funding to support access and participation needs of students with a disability and $1.150 million to increase preschool hours recognising the benefits to children of early learning experiences. Non-government school funding is $147.6 million, representing an increase of $13.7 million

In training, the Budget commits $103.4 million, providing 5,335,000 annual student curriculum hours provided by the Canberra Institute of Technology and other vocational education training providers

In health, total expenses of $689.9 million has been allocated, including news funding for the Elective Surgery Reform ($2m) to ensure patients with the highest clinical need have timely access to surgery, $278,000 for Dental Services to reduce the denture and general anaesthetic waiting list and $2 million for Hospital Equipment to increasing the medical equipment replacement program

In the area of community safety and justice, the Budget allocates $103.9 million, including almost $500,000 to create a new Human Rights Commission to incorporate the functions of the Community and Health Services Complaints Commissioner, the Discrimination and Human Rights Commissioner, the Disability Services Commission and includes establishing the office for the Commissioner for Children and Young People

Policing will receive $94.4 million, an increase of $3.5 million and includes providing for 10 additional police positions in 2007-08 and a further 10 in 2008-09 and providing $100,000 for the initial development of a child protection registration capability

In transport, $82.9 million has been provided including $4.840 million for the Bus Replacement Program to purchase an additional eleven new Compressed Natural Gas (CNG), wheelchair accessible, air conditioned buses and $923,000 for bus maintenance

In the area of sport and recreation, the Budget provides$ 63.4 million, representing an increase of $10.2, including $770,000 for maintaining and improving Manuka Oval and $1.7 million to upgrade Phillip Oval

ACT Treasurer, Mr Ted Qunilan's full Budget Speech is available here (750KB PDF file). The ACT Government's special web site including all Budget Papers is available here.

2005-06 Northern Territory Budget Highlights

Northern Territory Treasurer, Sid Stirling, declared the Budget was "backing Territorians", saying it delivers "less tax, local jobs and better skills." He states it delivers record tax cuts as well as "record health, education and police funding and record infrastructure spending - to keep the Territory moving ahead."

Key elements include:

Surplus of $46 million in 2005-06

Expected Gross State Product growth of 6.2percent in 2005-06

Expected jobs growth of 2 percent in 2005-06

Record infrastructure spending of $476 million, including $66 million for Power and Water capital investment, 21.7 million for Auslink Network, $7.3 million for Darwin City Waterfront and Convention Centre

Payroll tax and stamp duty cuts worth $40m million, including increasing the payroll tax threshold to $1 million on July 1 2005 and to $1.25 million from 1 July 2006, with stamp duty concessions for first home buyers to increase from $125,000 to $200,000

Abolition of electronic debit transaction duty from 1 July 2005, at a cost of $2.4 million

Abolition of debit tax from 1 July 2005, at a cost of around $6.2 million a year

In training, the Budget commits to train 10,000 Territorians over the next four years. Four new training initiatives are to be introduced, including a Work Wear Work Gear cash bonus of up $500, 40 new vocational education and training scholarships worth $4000 each, a Work Ready NT program boosting funding for school to work transition ad a new Build Skills program injecting money to improve skills of existing workers

In education, a budget of $582 million, including $266 million for early childhood and primary schools, $139 million for Government secondary schools and $81 million for non-government schools. The Budget also supports the employment of an additional 100 teachers and $74 million for new and ongoing capital works

In health, a total budget of $687 million, including $392 million for hospitals, $110 million for community health services and $87 million for aged, disability and mental health services

In the area of community safety, the police, fire and emergency services budget is $189 million, including $200,000 for mobile police stations in Darwin and Alice Springs and 25 additional police vehicles for Aboriginal community police officers

Supporting families the Budget provides $8.13 million for seniors and the pensioners concessions scheme, $3.7 million to subsidise child care and $500,000 for family support services

A total of $28.9 million has been provide tourism marketing and communications

In transport, $137 million for roads and National Highways, including $15 million for upgrades to the Victorian Highway

For the environment, $4.5 million has been provided for the Office of Environment and Heritage, $500,000 for the Mary River desalination project, $300,000 for the Darwin Harbour Regional Plan of Management and $1 million for heritage repairs and maintenance

NT Treasurer, Sid Stirling's full Budget Speech is available here (172KB PDF file). The NT Government's special web site including all Budget Papers is available here.

Federal, State and Territory Budget Dates

Victorian Budget — 3 May 2005

ACT Budget — 3 May 2005

Northern Territory Budget — 3 May 2005

Federal Budget — 10 May 2005

Tasmanian Budget — 19 May 2005

NSW Budget — 24 May 2005

South Australian Budget — 26 May 2005

West Australian Budget — 26 May 2005

Queensland Budget — 7 June 2005