Yahoo Finance Budget 2022 at a glance: The key numbers you need to know
The promise of returning to surplus is well and truly dead and buried. A decade of deficits now awaits.
After leading the nation through the Covid-19 pandemic, the Liberal Party is no longer the self-appointed frugal side of politics and small government.
Here are some of the key economic figures and forecasts from the 2021-22 federal budget:
Australia will clock a budget deficit of $78 billion in 2022/23. That's down from a $161 deficit last year and down from $214 billion in October 2020 Budget.
Commonwealth net debt is set to rise to $714.9 billion – that equates to more than 31.1 per cent of GDP next year in 2022/23.
The government's debt is tipped to peak at $1.16 trillion in 2025-26.
Economic growth is forecast to rise by 3.5 per cent in 2022/23.
Inflation is projected to remain tamed, peaking at 4 per cent this year, before going lower the following two years, down to 2.75 per cent in 2023-24.
The unemployment rate is forecast to be 3.75 per cent next year. If that happens, it will be the first time in half a century.
The Wage Price Index – an aggregate of the nation's wages – is projected to jump by 3.25 per cent next year.
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Cost of living tax relief
$420 cost of living tax offset for low and middle-income earners, and a $250 cost of living payment for pensioners, welfare recipients, veterans and concession card holders.
Halving petrol and diesel excise for six months, delivering a saving of $300 for the average household.
From July 1, the PBS Safety Net threshold to be reduced for general and concessional patients lowering out-of-pocket costs for medicines for 2.4 million people.
Tax relief for business
Support for small businesses to adopt digital technology and train and upskill employees with new tax incentives.
$2.8 billion for apprentices and $2.2 billion to support Australian industries and universities to develop innovative companies and products.
A cash splash for the regions
$21 billion committed for regional transport, water and communications infrastructure.
Health spending
$6 billion extra for Covid-19 response including a winter response plan.
For women
$1.3 billion to support delivery of the national plan to end violence against women and children 2022-32.
$330.6 million for national womens' health strategy.
Housing
National Housing Finance and Investment Corporation to get a $2 billion top-up to support 10,000 more affordable homes.
Defence and National Security
$38 billion by 2040 to lift the defence workforce by 18,500 personnel.
$270 billion in defence capability investment through to the end of the decade.
$9.9 billion over 10 years to double the size and improve the capability of top cyber agency, the Australian Signals Directorate.
Infrastructure
$17.9 billion of priority road and rail infrastructure as part of a $120 billion 10-year pipeline of work.
Education
$228.5 million extra funding, covering an extension of national school reform funding and Indigenous board school grants.
Aged Care
$468.3 million extra to implement royal commission recommendations.
$345.7 million for residential aged care pharmacy services.
Indigenous communities
$1.5 billion over five years for Indigenous Australians in addition to the existing $6.7 billion Indigenous Advancement Strategy.
The environment
Extra $1 billion for Great Barrier Reef.
Disability
$39.4 billion for National Disability Insurance Scheme.
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