2019-20 Federal Budget Report: Executive Summary

The 2019-20 Federal Budget is back in the black, with the Morrison Government delivering the first budget surplus in more than a decade.  The budget is based on restrained spending and living within our means and, most importantly, no increased taxes.  Restoring the nation’s finance is a very strong focus.

 

The theme of the budget was the same as last year, delivering a strong economy through growth and job creation with tax measures backing small businesses and lowering personal taxes for working Australians.

These measures include delivering tax relief for small to medium enterprises through lower company tax rates, delivered 5 years earlier than originally planned and the expansion of the instant asset write-off to assets costing less than $30,000 to businesses with an aggregated turnover of less than $50 million.

The budget delivers $100 billion for infrastructure projects to build a bigger, better and safer community over the next decade.  Key projects include a fast rail between Melbourne and Geelong, road congestion reducing incentives and energy projects.

To fuel job creation and growth a new $525 million skills package has been announced with a particular focus on apprenticeships in certain industries and the creation of new training hubs.
$80 billion is to be spent on health care to guarantee essential services, including spending on mental health initiatives.

There is a clear environmental focus, providing $2 billion for emission reduction activities, working with farmers and indigenous communities.

The budget also has a strong focus on looking after our younger and older Australians through skills programs, education and superannuation measures.

This budget has no surprises and is representative of a Government going into an election. Whether a budget focusing on strong economic management, with a side of personal tax cuts is enough to re-elect the Government remains to be seen.