Queensland Budget: Winners and Losers explained
Premier David Crisafulli says Queensland is 'on the cusp of a golden era' and his government's first budget in a decade showed that it's prepared to spend big to get there.
Billions are being poured into housing, hospitals, and household relief.
But the plan also brings a record deficit, rising debt, and cutbacks in support for some.
So, who came out ahead and who's left wondering?
Winners
1. Home buyers get a boost
The centrepiece of the budget is the nation-leading 'Boost to Buy' scheme, aimed at reducing the deposit gap and opening the door to home ownership for more Queenslanders.
'The Bank of Mum and Dad — well, a lot of people don't have access to it,' Crisafulli said.
'In a lot of cases, it means that the great Australian dream's become a nightmare, and we don't want that.
'We want people who aspire to own a home, and what this does is it helps reduce that deposit gap.
'It is what we're calling Boost-to-Buy. It is nation leading.'
The government will co-invest:
Up to 30 per cent in newly-built homes
Up to 25 per cent in existing homes (capped at $1 million)
Combined with a $30,000 First Home Owner Grant and stamp duty exemptions for new builds, the LNP is making good on its promise to tackle declining ownership.
'Home ownership rates in Queensland are at 63.5 percent, that's the lowest in the country and my vision is to go from last to first within a decade,' Crisafulli said.
'We're doing everything we can to get people into a home.'
'It shows how confident I am about the Queensland property market.'
2. Middle-income families
From the grocery run to the school gate, families are being thrown a cost-of-living lifeline.
The government has pumped out $11.2 billion in concessions including:
$1300 electricity rebate for most households
50¢ public transport fares statewide
$100 'Back-to-School' vouchers for every primary school student
$200 sports vouchers for eligible kids
'That will support families with the cost of excursions, schoolbooks, uniforms,' said Treasurer David Janetzki.
3. Hospital patients and frontline services
The budget also tackles long-standing pressure points in Queensland's health:
$29.4 billion health budget (up 10.2 per cent)
$18.5 billion Hospital Rescue Plan
Funds to slash elective surgery waitlists by 30,000 patients
More paramedics, police, and teachers on the way
'For too long, Queenslanders have endured an ailing health system,' Janetzki said.
'We are front-loading the investments into jobs and services now in this budget.'
4. Regional Queensland
Nearly 70 per cent of the government's $18.6 billion infrastructure spend for the coming year will go outside of Greater Brisbane covering roads, rail, and renewables.
The four-year capital works plan is worth $107.3 billion and is expected to support 72,000 jobs.
Losers
1. Low-income households
While most Queenslanders receive a generous $1300 electricity rebate this year thanks to federal funding, around 600,000 vulnerable households, including pensioners and concession card holders, will get less.
They'll get just $386 in state electricity rebates, up only marginally from $372 last year, while most households will receive a $1300 rebate thanks to combined federal and state contributions.
The Queensland Electricity Rebate itself hasn't increased, remaining frozen at $372.20 despite rising energy bills.
It's led to criticism the state is leaning heavily on Commonwealth funds to deliver relief, while scaling back its own contributions.
Queensland Council of Social Service (QCSS) said this isn't enough and worry that many vulnerable Queenslanders might struggle to pay their power bills.
State funding for energy rebates has dropped from nearly $1 billion last year to $353 million this year, as the government winds back temporary cost-of-living relief and leans heavily on federal support.
2. Drivers face higher costs as discounts end
Several cost-of-living relief measures introduced last year have now either ended or been scaled back. Additionally, government fees and charges, including licence renewals and registration costs, will rise by 3.4 per cent.
Key rollbacks include:
The E-Mobility Rebate Scheme for electric vehicle buyers was discontinued in October 2024, with no further funding
The 20 per cent discount on vehicle registration ends mid-September 2025 and won't be renewed
Extra car rego discounts have collapsed from $399 million to just $36 million
As a result, government revenue from vehicle registration is forecast to jump more than 21 per cent next financial year.
While public transport fares remain locked in at 50 cents, rising fees, charges, and the end of one-off discounts mean many households will pay more out-of-pocket in areas like motoring and licensing.
The big picture
Queensland's total debt is forecast to hit a record $205.7 billion by 2028-2029, with an $8.6 billion deficit predicted this financial year.
But with cost-of-living relief scaled back, and spending focused on long-term infrastructure and housing, many families will feel the squeeze.
Janetzki said: 'We're stepping in to save projects to deliver jobs and services that Queenslanders need.'
This marks a clear shift away from blanket relief, with the LNP now focusing on more targeted and means-tested support.
But the government remains optimistic about the state's future.
'We're on the cusp of a golden era in Queensland, we really are,' Crisafulli said.
'My message to people across the country — whether you're looking for a great place to live or a place to invest — we're open for business.'
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
7NEWS
31 minutes ago
- 7NEWS
Inside the 2025-26 Budget lock-up in Queensland's Parliament
A budget that's big on debt and low on the sugar hits has been revealed by Queensland's new Liberal National Party Government, which says it is facing the biggest redistribution of GST revenue in Australian history. Treasurer David Janetzki handed down the 2025-26 Budget in Queensland's Parliament on Tuesday afternoon, his first since the LNP won the election in October. Earlier that morning, 7NEWS headed into the lock-up to dig through the budget papers. It was busier-than-normal at parliament, even for a sitting week, with dozens of journalists converging on the house. 7News State Political Editor Marlina Whop leads the way and we take our seats on one of four long tables inside the room, before bundles of plastic-wrapped budget documents and brochures are handed out. The media have 30 minutes to get started before the Treasurer enters to give a presentation. We then keep pouring over the papers until a midday press conference. The budget shows that cost of living relief has been scaled back and Queenslanders will receive a modest number of sweeteners. For families, there's a $100 Back to School voucher to cover the cost of primary school essentials each year and previously announced $200 Play On! sports vouchers. For years, Queenslanders have received an electricity rebate in the state budget, which ended under the new government. However, the Electricity Rebate Scheme for vulnerable households will continue and increase by 3.8 per cent from $372 to $386 in 2025-26. 'This modest cost of living relief, frozen by the former government in 2022, will be indexed every year under the Crisafulli Government,' Janetzki tells parliament in his budget speech. Homeownership is a key focus of the 25-26 budget and, from July 1, first home buyers will be able to register their interest in a new government shared equity scheme. The government says it will help reduce the deposit gap, meaning a first home buyer with a deposit of just $15,000 could buy a home valued at $750,000. There are only 1000 spots up for grabs over two years, but the government says the program could be expanded if there is strong interest. Asked whether the program could make housing more expensive and encourage people to spend more than they would otherwise be able to afford, the treasurer refused to accept that the initiative won't get people into homes. Janetzki argued people would still have to go through normal lending processes. 'There are the normal lending criteria, the normal credit practices that must be adopted, and so they will be assessed in the usual way,' he said. The Crisafulli Government has its own debt to shoulder, too. Total debt will skyrocket over the next four years to a record $205.7 billion by 2028-29. It's more than $30 billion dollars higher than last year's budget forecast under the former Labor government, but lower than the $218 billion dollar figure the LNP predicted in the Mid-Year Fiscal Economic Review. An $8.6 billion deficit is predicted in 2025-26 before falling in the forward estimates to $1.1 billion by 2028-29. The treasurer blamed a hit to revenues from coal royalties and a GST reduction, arguing the government is stepping in to save projects and deliver jobs. 'We are front loading the investments into jobs and services now in this budget so Queenslanders can reap the benefits sooner,' Janetzki told media in the budget lock-up. 'We made a range of commitments at the election. We've seen a range of services that were left unfunded by the former government that we have stepped in to fund.' 'None of the promised cost of living relief' The Labor Opposition has defended their record in government. 'When we left office we had a stable rating from ratings agencies, that's a fact,' Shadow Treasurer Shannon Fentiman said. 'We had a (debt) figure of $172 billion, that's a fact. 'We have now had an outlook downgrade since the LNP have been in office, since they handed down MYFER, and we now have a debt figure that's higher despite them promising it would be lower. 'There is none of the promised cost of living relief.' In the LNP budget, $18 million will be saved with a hiring freeze on bosses in the public service. Government fees and charges are increasing by 3.4 per cent and a 20 per cent discount on car registration is ending in September, which means most drivers will pay an extra $10-20. The health operating budget has also increased by 10 per cent to $29.4 billion dollars. $18.5 billion will go to the Hospital Rescue Plan and more than $3 billion will go to tackle ambulance ramping in the 2025-26 budget. There's also a new Surgery Connect program that will aim to slash the elective surgery waiting list by 30,000 patients. The Australian Medical Association praised the Government's commitment to 4,500 health workers in 2025-26, while the Queensland Teachers Union slammed budgeted pay rises for frontline workers, as tense talks with unions on enterprise bargaining agreements continue. On Tuesday afternoon, more than 100 teachers rallied outside the gates of parliament, calling for a better pay offer from the government. 'What's currently on the table gets us third lowest paid teachers in the country and that does not recruit and does attract people to this profession in Queensland,' QTU spokesperson Cresta Richardson said. The Opposition will deliver its budget reply on Thursday.
West Australian
42 minutes ago
- West Australian
‘Sharp deterioration': Queensland budget sparks S&P Global credit warning
Queensland's finances are on shaky ground after a reduced slice of the GST, credit ratings agency S&P Global Ratings says. The updated rating comes as the state government released its budget Tuesday, showing next year's deficit will rise by $1.7bn to $8.6bn. 'Today's Queensland budget highlights a sharp deterioration in the state's finances,' S&P's government ratings director Anthony Walker said in a note. 'The negative outlook on the credit rating highlights the size and pace of the state's fiscal decline, rising debt levels and potentially weaker liquidity coverage. 'The new government has refreshed, rather than redesigned, the state's fiscal strategy, with a greater emphasis on stabilising its ratio of non-financial public sector debt to revenue. Debt continues to rise to fund operating deficits and a growing infrastructure budget.' S&P points to falling coal royalties, the reduced GST allocation and the previous Labor government's decisions for the state's fiscal deterioration. On Tuesday, Treasurer David Janetzki delivered the first Liberal National budget in more than a decade. The LNP administration has trimmed net debt to $205.7bn by 2028-29. Mr Janetzki promised the electorate Queensland was 'on a path to surplus', with the budget papers showing a healthier deficit of $1.1bn by 2029. 'We are front-loading investment into jobs and services that will bring long-term benefits to the Queensland people,' he said. But S&P points to elevated risks for the state's credit rating 'if fiscal and debt ratios are structurally weaker than in the past with little prospect of improvement within the next two years'. 'It shows debt is increasing to cover the state's weak operating position and fund its large infrastructure pipeline,' Mr Walker said. 'We don't believe Queensland is overly exposed to ongoing global uncertainties compared with other Australian states.'
Perth Now
43 minutes ago
- Perth Now
‘Sharp': Dark warning for major Aussie state
Queensland's finances are on shaky ground after a reduced slice of the GST, credit ratings agency S&P Global Ratings says. The updated rating comes as the state government released its budget Tuesday, showing next year's deficit will rise by $1.7bn to $8.6bn. 'Today's Queensland budget highlights a sharp deterioration in the state's finances,' S&P's government ratings director Anthony Walker said in a note. 'The negative outlook on the credit rating highlights the size and pace of the state's fiscal decline, rising debt levels and potentially weaker liquidity coverage. Premier David Crisafulli had promised debt would be lower under his government. Dan Peled / NewsWire Credit: News Corp Australia 'The new government has refreshed, rather than redesigned, the state's fiscal strategy, with a greater emphasis on stabilising its ratio of non-financial public sector debt to revenue. Debt continues to rise to fund operating deficits and a growing infrastructure budget.' S&P points to falling coal royalties, the reduced GST allocation and the previous Labor government's decisions for the state's fiscal deterioration. On Tuesday, Treasurer David Janetzki delivered the first Liberal National budget in more than a decade. The LNP administration has trimmed net debt to $205.7bn by 2028-29. Treasurer David Janetzki, centre, delivered the first Liberal National budget in a decade on Tuesday. Dan Peled / NewsWire Credit: News Corp Australia Mr Janetzki promised the electorate Queensland was 'on a path to surplus', with the budget papers showing a healthier deficit of $1.1bn by 2029. 'We are front-loading investment into jobs and services that will bring long-term benefits to the Queensland people,' he said. But S&P points to elevated risks for the state's credit rating 'if fiscal and debt ratios are structurally weaker than in the past with little prospect of improvement within the next two years'. 'It shows debt is increasing to cover the state's weak operating position and fund its large infrastructure pipeline,' Mr Walker said. 'We don't believe Queensland is overly exposed to ongoing global uncertainties compared with other Australian states.'
