20-05-2025
Who are the winners and losers in Victoria's 2025 state budget?
With a focus on the cost of living, families are among the biggest winners in this year's Victorian budget.
The budget has been described as "responsible" by the treasurer, and promises a $600 million surplus for the first time since the pandemic.
The government is still grappling with rising debt, and plans to axe thousands of public service jobs.
While the list of winners looks long, with the exception of health, many of the investments are expanding on existing programs or are relatively small initiatives.
So, who are the winners and losers?
Winner: Health
This year's budget features an $11.1 billion investment in Victoria's healthcare system.
The government says that's "almost a third of this year's expenditure".
It includes $634 million for new hospitals across Frankston, Footscray, Craigieburn, Cranbourne and Phillip Island.
The roles of pharmacists will also expand in a bid to help Victorians avoid costly GP appointments. They'll be able to treat more conditions and consultations will be free. Winner: Families
With a focus on cost of living, families are among the big winners of this year's budget.
Families with young children will save around $2,600 per child with free kinder offered for every three and four year old.
It's an extension of the already existing Free Kinder program. Winner: Public transport users
Victorians under the age of 18 will be offered free public transport anywhere in the state, throughout the entire year.
That's expected to save families upwards of $700 per child each year.
The government is also expanding its free public transport program for seniors on weekends. Loser: Taxpayers
Net debt is forecast to grow to a record $194 billion in three years' time, up from $167.6 billion this year.
The government says it's not introducing any new taxes in this latest budget but last week a new emergency services levy passed through parliament which is expected to bring in $600 million.
The controversial levy will be charged alongside council rates and will raise funds for fire services, the State Emergency Service, triple-0 and the State Control Centre.
Victoria will pay $7.6 billion in interest in 2025-26 which is set to grow to more than $10 billion in three years. Loser: Public servants
The government has flagged thousands of public servant jobs will be cut as it looks to save $3.3 billion.
The exact number of jobs to go and which ones they will be have not been identified.
Instead, the government says it will wait for the Silver review — a report looking into the public service sector which is due to be handed down by the end of next month. No change: Infrastructure
Two major projects are expected to be complete this year. Those are the West Gate Tunnel and the Metro Tunnel projects.
But infrastructure projects across the board have blown out by $3.3 billion.
That includes a previously reported blowout of $827 million for the Metro Tunnel project.
According to analysis, 518 budget-funded projects show a 1.9 per cent increase in costs since last year's budget. Winner: Community safety
The government says it's focusing on community safety, investing $1.6 billion in crime prevention.
Of that, $727 million will go towards implementing the state's bail reform measures, while $176 million will be put aside to expand rehabilitation and support services to reduce reoffending.
With pressure mounting on the government to provide more support to Victoria Police, it's investing $92 million in police recruitment. Winner: Home owners
The government is committed to building 800,000 new homes by 2034.
Last year the government announced a temporary slashing of stamp duty for new apartments, units and townhouses, when they are purchased off-the-plan.
That concession will be expanded for an additional year until October 2026.
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