Australia's Federal Budget Update Projects $786.6 Billion Spending Amid Security Allocations After Bondi Massacre
Treasurer Jim Chalmers announced a mid-year Budget update revealing Federal Government spending is projected to reach $786.6 billion for the financial year, an increase from the previous forecast of $777.5 billion. Spending is expected to account for 26.9% of GDP by 2025-26, the highest since 1986, outside of COVID.
The predicted deficit is $36.8 billion, reduced from $42.1 billion. Interest payments are projected to grow by 10.7% over the next decade. Following the Bondi massacre, $2 million is allocated to Jewish House Bondi for crisis services, part of a $104 million package for security around Jewish institutions.
Additionally, $6 million is designated for the Independent Parliamentary Expenses Authority due to recent scandals. Spending cuts include $424.7 million reprioritized from uncommitted funds for the Hydrogen Headstart program.
