The Hon Michael Sukkar MP
Securing Australia's Recovery
Last night, the Morrison Government, through the 2021-22 Budget, detailed the next steps in our plan to secure Australia’s recovery, following the devastating impacts of the coronavirus pandemic.
Thanks to the Government's decisive early action, our economic recovery has been the envy of the world. Already, Australia has over 74,000 more people in jobs than we had before the pandemic.
The Treasury Ministers team making final preparations before last night's Budget
The 2021 Budget is about locking in these gains through creating more jobs and guaranteeing the essential services we rely on. Under our plan, the unemployment rate is forecast to fall below 5 per cent by next year.
Personal income tax relief will provide further support for individuals and households. 10 million low and middle income earners will receive tax relief worth up to $1,080 for individuals or $2,160 for couples.
Extended temporary full expensing means 99 per cent of businesses employing more than 11 million workers can continue to write off the full value of eligible assets they purchase. Businesses and tradies will be able to keep investing in the assets they need to grow and expand.
Importantly, the JobTrainer fund is being expanded with $500 million to provide a further 163,000 places to help upskill those looking for work and meet skills shortages in critical industries. $2.7 billion is also being allocated to support more than 170,000 new apprentices and training places through the extension of the Boosting Apprenticeship Commencements program, providing a 50 per cent wage subsidy over twelve months for newly commencing apprentices or trainees.
In my own portfolio area, we're extending the New Home Guarantee for another year, providing an additional 10,000 places in 2021-22 as part of the First Home Loan Deposit Scheme for newly built homes. This scheme has been really successful in helping more Australians get into their first home sooner while providing crucial support for jobs in the residential construction industry.
We're also establishing the Family Home Guarantee, which will help single parents purchase a family home with a deposit of just 2 per cent. For single income parents, saving a deposit is the hardest part of getting a home of their own. The Family Home Guarantee will help these families jump the deposit hurdle and into their own home sooner.
Some of the other highlights of the Budget include:
✅ $15.2 billion in additional infrastructure commitments across the country - including $1 billion for road safety upgrades and a further $1 billion for community infrastructure - on top of our 10-year $110 billion infrastructure pipeline;
✅ A $1.7 billion investment in child care to cut the cost of living for around 250,000 families who will be better off by an average of $2,200 per year;
✅ Measures to encourage more R&D and manufacturing onshore including tax concessions for income earned from patents developed in Australia;
✅ New medicines listed on the Pharmaceutical Benefits Scheme to treat breast cancer, lung cancer, severe osteoporosis, severe asthma and chronic migraines; and
✅ Nearly $18 billion in new funding to significantly improve the aged care system – including another 80,000 new home care packages.
The steps we're taking through the Budget will help create more jobs while reducing debt as a share of the economy, ensuring a sustainable and resilient recovery. For more details about what's included, please find further information below or visit budget.gov.au.
The Hon Michael Sukkar MP
Federal Member for Deakin
Minister for Housing & Assistant Treasurer