2026 FEDERAL BUDGET - DELIVERING FOR CANBERRA
This Federal Budget is an ambitious Budget that I am really proud of — delivering reform that builds our national resilience, ensures that our economy works for all Australians, and makes responsible decisions that will make the Budget stronger and more sustainable into the future.
It's also a Budget that delivers important investments in our city that builds on Labor's ongoing commitment to Canberra and will make a real difference for Canberrans and their families.
There's a lot in this Budget for Canberra, so let's start with some of the investments in infrastructure and services that will help keep our city moving.
Investing in Canberra's Future
- A $50 million investment from the Albanese Labor Government to upgrade the Canberra–Sydney rail corridor and strengthen the link between our two cities. It forms part of a joint $100 million project with the ACT and NSW Governments, focused on delivering a faster, smoother trip between Canberra and Sydney. Work is set to get underway later this year.
- We will also invest in the transport network our growing city needs, with $50 million for the duplication of the Drake Brockman Drive in Belconnen and a further $4.6 million to progress planning work for the Molonglo East-West arterial road.
Investing in Canberra’s Cultural Institutions
- We are investing $20.2 million into the institutions that tell our story, including: $9.9 million for the National Film and Sound Archive and $3 million for the Museum of Australian Democracy as it prepares for its centenary.
-
ACT Jewish Community
- In the aftermath of the tragic events at Bondi last December, I have been working closely with the ACT Jewish Community to progress important upgrades to the National Jewish Memorial Centre in Forrest that would make the Memorial safer for visitors and play a significant role in building community cohesion. It is a privilege to share with you that the Albanese Government will invest $3.1 million into the National Jewish Memorial Centre to deliver this project in Canberra.
Investing in the future of RSPCA ACT
- As a proud animal lover, I'm also thrilled to let you know that this Budget delivers $30 million for an RSPCA animal welfare campus in Pialligo to serve as the new, modern home of RSPCA ACT as they provide safe and compassionate care for animals.
Investing in CSIRO
- We're also making sure CSIRO's facilities, research priorities and technologies are ready to meet the challenges of tomorrow through an additional $387.4 million funding boost. This investment is on top of the $278 million announced in December last year and CSIRO’s existing $1 billion annual funding allocation.
A fair go for first home buyers
When I'm out in the community, one of the issues Canberrans raise with me most often is the cost of buying a home.
For too long, Canberrans buying their first home have been priced out by a tax system that is more generous to property investors than it is to workers.
The Albanese Labor Government has listened and is taking steps to level the playing field for first home buyers by reforming the capital gains tax discount and trusts, introducing a new minimum capital gains tax of 30%, and limiting negative gearing to only new builds from July next year.
This is part of the most significant tax reform package in more than a quarter of a century, which is all about making sure if Australians work hard and save, they can afford to buy their own home.
We are also working to improve supply and unlock more sites for housing with a $50 million investment in the ACT for the power, roads and drains needed for new housing developments.
This builds on the more than $1 billion committed to the ACT by this government through housing programs including the Housing Australia Future Fund, the Social Housing Accelerator, the Housing Support Program, and the expansion of the 5% deposit scheme.
Taking pressure off Canberrans
The Albanese Government is acutely aware of the cost-of-living challenges that continue to be front of mind for Canberrans, which is why this Budget includes measures that will deliver practical relief for Canberra households, including:
- A new tax cut of up to $250 for 260,000 working Canberrans through the Working Australians Tax Offset.
- An instant tax deduction of up to $1000, benefitting 140,000 Canberran workers.
- Legislated tax cuts starting July 1 this year and next year, worth up to $536, on top of the first round of tax cuts delivered in 2024.
We're also extending access to public dental services, including through the Child Dental Benefits Schedule, and making sure more older Australians benefit from the addition of an RSV vaccine to the National Immunisation Program.
I'm proud to have worked alongside the Prime Minister and the Treasurer to deliver one of the most important and ambitious Budgets in decades.
A budget is not just a set of number and hundreds of decisions. It is a statement of values that tell a story about what we stand for as a progressive Labor Government. This Budget puts aspiration, national resilience, and the fair go right at the heart of the Albanese Labor Government's agenda.
It's a Budget that backs our city with the investments we need and delivers the practical cost of living relief that will make a real difference to Canberra households.
It also includes important reforms that give the next generation of Canberrans a fair go, particularly when it comes to housing, while also building a stronger, more resilient nation for the years ahead.
You can find out more information and all the Budget papers are available on the Treasury website
