AFIA Federal Budget Analysis
AFIA’s Federal Budget 2025-26 analysis reveals a backdrop of modest economic growth and persistent challenges. While inflation is easing and labour market conditions remain relatively strong, households continue to face cost-of-living pressures and higher interest rates.
The global environment is also uncertain, with rising trade tensions and new tariffs from the United States weighing on business confidence and export demand. Domestically, natural disasters have disrupted activity, and weak productivity continues to constrain the economy’s longer-term potential.
Here are the key takeaways for AFIA members:
$2 billion for the Clean Energy Finance Corporation (CEFC), which can help AFIA members to provide further finance for low-emissions consumer technology.
$1.8 billion in energy bill relief, which will help ease the squeeze on households and small businesses doing it tough.
$17.1 billion in personal income tax relief for all Australians over five years from 2024-25.
An increased Medicare levy low-income threshold for singles, families, and seniors and pensioners from 1 July 2024.
$784.6 million over four years to lower the PBS general co-payment, providing further cost of living relief.
$12 million to support and protect small businesses and franchisees.
$58.8 million to support housing, including $54 million to support supply and an additional $0.8 million in additional investment in the Help to Buy scheme to support first home buyers.
$6.7 million to extend the operation of the National Anti-Scam Centre.
$8.7 million over three years to the Office of the Australian Information Commissioner (OAIC) to support enforcement activity, and $5.3 in 2025-25 to continue regulatory oversight of the Digital ID program.
Read our economic analysis here, and how the announcements align with AFIA’s strategic priorities here.