Treasurer Josh Frydenberg has unveiled his federal budget 2021, which has designed to bring the country out of the COVID-19-induced recession.
The government’s big-spending budget has abandoned its quest for a surplus, instead focusing on infrastructure, aged care and the property sector.
Forward estimates now have the deficit falling to $106.6 billion next year and down to $57 billion in 2024-25 – a far cry from the government’s 2019 “back in black” campaign.
ANZPJ has broken down all the the talking points from the budget below.
What you need to know about the federal budget 2021:
Single parents with dependent children will be able to purchase a home with a deposit of just 2 per cent, with the government to provide a guarantee of 18 per cent of the purchase price. The single parent housing package scheme will be available to 10,000 people over four years.
The government will also keep the New Home Guarantee for a second year, providing an additional 10,000 places in 2021-22 – first home buyers seeking to build a new home or purchase a newly built home will be able to do so with a deposit of as little as five per cent.
There has been an increase to the maximum amount of voluntary contributions made under the First Home Super Saver Scheme, which allows people to build a deposit within their superannuation fund.
An additional $124.7 million in funding will also bolster public housing stocks, and help meet social and community housing responsibilities.
More than $10 million in major infrastructure projects is at the centre of the federal budget 2021.
The 10-year plan will bring spending across across all states and territories, with a $2 billion freight hub in Melbourne and a $2 billion to upgrade the Great Western Highway in New South Wales spearheading the government’s commitment to infrastructure.
Funding commitments on the Ballarat to Ouyen, Echuca to Robinvale, Green Triangle, Melbourne to Mildura, Stawell to South Australian border and Toowoomba to Seymour corridors also exist under key Roads of Strategic Importance initiatives
Morrison’s government has committed to funding 80,000 more home care packages over the next two years, while also mandating a minimum three hours and 20 minutes of care per day for people in residential care — with at least 40 minutes of that being with a registered nurse.
The $10.4 billion imitative will coincide with another $7.3 billion in spending planned to improve health services.
The funding comes after the royal commission’s damning findings into an aged care sector, wit the government agreeing to almost of the recommendations.
The government is extending its scheme that will refund Australians up to $1,080 come tax time next year.
Low and middle income earners will be given a tax offset to give households more money, with the biggest beneficiaries being people who earn between $48,000 and $90,000 a year.
A total of $1.4 billion will be invested in treatment services, including up to 57 additional mental health support centres and satellites for all ages, including a new Head to Health national network for older Australians.