Leader of the Opposition Angus Taylor has used his Budget in Reply to announce the next stage of the Coalition's plan for a fairer, freer and better Australia.
After four years of higher taxes, more debt, fewer homes, weaker borders and falling living standards under Labor, the Coalition is putting forward seven policies to restore Australians' standard of living and protect our way of life.
Our plan will reward hard work, restore home ownership, secure Australia's future and put Australians first.
The seven key measures announced are:
- Tax Back Guarantee: ending Labor's inflation tax by indexing income tax thresholds to inflation.
- Migration and Housing Pledge: capping migration based on how many homes Australia builds.
- Putting Australians First: reserving welfare payments and the NDIS for Australian citizens.
- Future Generations Fund: banking resource windfalls to pay down debt and build national infrastructure.
- Fuel Security Plan: delivering more fuel, more storage and more security for Australia.
- Boosting Small Business Investment: allowing small businesses to immediately write-off assets costing up to $50,000.
- Strengthening Australia's Security: committing to a whole-of-nation National Security Strategy and at least 3% of GDP on defence.
The Leader of the Opposition Angus Taylor said the Coalition's plan is about a fairer, freer and better Australia.
"It is about letting Australians keep more of what they earn, restoring the dream of home ownership, backing small business, securing our fuel supplies and putting Australians first," Mr Taylor said.
"Labor's Budget was one of broken promises, higher taxes, more debt, fewer homes and lower living standards.
"The Coalition's Plan is about lower costs, more homes, stronger borders, secure energy and a fair go for Australians who work hard, save hard and want to get ahead.
"Government does not grow the economy, private enterprise does. The job of government is to get the big things right, get off people's backs and back Australians to build, invest, work and succeed.
"We will restore Australians' standard of living and protect our way of life."
Tax Back Guarantee
The Coalition will end Labor's inflation tax through a new Tax Back Guarantee.
Under Labor, inflation has pushed up prices, wages and tax bills. Australians are not better off, but they are paying more tax as if they are.
From 2028-29, a Coalition Government will index the bottom two income tax thresholds to inflation.
This will fully protect around 85 per cent of income earners, with relief of around $250 in year one, growing to more than $1,000 a year in year four.
From 2031-32, the Coalition will index the top two thresholds as well, fully protecting all income earners from inflation.
This is generational tax reform that is fair, simple and honest.
It means Australians will not be pushed into higher taxes simply because prices have gone up.
Any government that wants to tax Australians more should have the courage to take that tax increase to an election.
Migration and Housing Pledge
The Coalition will restore common sense to housing and migration by ensuring Australia only brings in as many people as it can house.
Under the Coalition's pledge, net overseas migration will be capped each year at the number of new homes completed in Australia.
Each year, the Minister for Housing will report to Parliament on the number of new homes completed. That number will then set the ceiling for net overseas migration in the following year.
If Australia does not build enough homes, migration must come down.
In the first years of a Coalition Government, migration will need to be significantly below the cap to allow the housing market to catch up after Labor's record migration surge.
The pledge will be backed by a housing supply package, including a $5 billion Housing Infrastructure Fund to unlock up to 400,000 homes by funding critical last mile infrastructure such as water, sewerage, power and access roads.
The Coalition will also slash the National Construction Code, while preserving core safety standards, to reduce the cost of building a new home by up to $70,000.
Labor built bureaucracy. The Coalition will build homes.
Putting Australians First
The Coalition will put Australians first by reserving welfare payments and future eligibility for the NDIS for Australian citizens.
From 1 July 2028, access to 17 welfare payments and benefits will be limited to Australian citizens only.
Future eligibility for the NDIS will also be limited to Australian citizens.
Existing recipients of these benefits and the NDIS will be grandfathered. Humanitarian entrants, emergency assistance, domestic violence and child protection services will remain exempt. Existing international social security agreements will be honoured.
The Coalition will also preserve existing arrangements for eligible New Zealand Special Category Visa holders currently covered under the NDIS framework.
Australia is a generous country with a strong social safety net. But taxpayer-funded support should be there first and foremost for Australians.
If you commit to Australia, Australia will commit to you.
Future Generations Fund
The Coalition will establish a Future Generations Fund to ensure resource windfalls are used responsibly.
Where resource windfalls are higher than forecast, a Coalition Government will bank 80 cents in every dollar into the Future Generations Fund.
The Fund will help pay down Labor's trillion dollars of debt and invest in nation-building infrastructure.
25% of infrastructure flows from the Fund will support the regions that fuel, feed, and power our nation.
Australians know resource windfalls should help build the roads, rail, hospitals and schools our country needs.
They should not be squandered on Labor's self-indulgent spending.
This is about responsibility to our children and grandchildren. It is about making sure today's good fortune builds tomorrow's strength.
Fuel Security Plan
The Coalition will deliver more fuel, more storage and more security for Australia.
The Coalition will reduce pressure on families and small businesses by scrapping Labor's Safeguard Mechanism, a carbon tax on business that will cost refineries around $165 million by 2029-30.
A Coalition Government will keep pushing for a daily public fuel dashboard so Australians can see supply levels in real time, including where shortages are occurring and how much supply is available.
The Coalition will keep pushing for a Parliamentary Inquiry to learn the lessons of the current fuel crisis and make sure it never happens again.
To build strategic fuel security, the Coalition will more than double minimum stockholding levels to 60 days for petrol, diesel and jet fuel. This will put our total fuel stocks within reach of 90 days.
A Coalition Government will establish an $800 million Australian Fuel Security Facility to unlock more than 1 billion litres of new storage capacity, with a focus on diesel.
The Coalition will remove barriers to new and prospective refineries accessing the Fuel Security Services Payment, including support for non-conventional fuels such as biofuels and coal-to-liquid.
The Coalition will also unlock Australian fuel supply by reversing regulatory barriers, reforming the EPBC Act, fast-tracking nationally significant projects like Queensland's Taroom Trough and Western Australia's Browse project, and reinstating the $100 million Junior Minerals Exploration Incentive, including $50 million for oil and gas.
If fuel stops, Australia stops. The Coalition will make sure Australia has the fuel, storage and supply chains needed to keep the country moving.
Boosting Small Business Investment
The Coalition will back small businesses to invest with a permanent $50,000 instant asset write off.
Any business with a turnover of less than $10 million will be able to immediately deduct assets costing up to $50,000, on a permanent basis.
This will help tradies buy tools, farmers buy equipment, cafes upgrade kitchens, and small businesses invest with confidence.
When a builder buys a ute, they can do more jobs, take on a new apprentice and grow their business.
98% of Australian businesses are small businesses. When a small business invests, it grows. When small business grows, Australia grows.
This policy is a practical downpayment on the Coalition's plan to restore investment, lift productivity, grow wages and rebuild prosperity.
After four years of Labor, Australians are working harder, paying more and falling behind.
The Coalition will also fight Labor's changes to CGT and trusts which are an attack on small business.
Strengthening Australia's Security
The Coalition will make Australia stronger and safer in the face of global threats with a whole-of-nation National Security Strategy and real increased funding for defence.
Our National Security Strategy will address a critical gap and ensure all parts of government will work better together to prevent and respond to threats to our country.
Australians are facing increased threats of terrorism, organised crime, cyber attacks, foreign espionage, and overseas conflict. Yet, Labor has provided no clear vision for how Australia will overcome these threats to be safer and stronger. Without a plan Australians are vulnerable.
The Coalition's commitment to a National Security Strategy supported by a new dedicated National Security Adviser will ensure Australia has the plan and the expertise to exercise strength in a more dangerous world.
Without real investment, Labor's defence announcements aren't worth the paper they are written on.
By increasing defence spending to 3 per cent of GDP, the Coalition will provide real increases to defence spending so the men and women of the Australian Defence Force have the proper platforms, equipment and protection to fight for us.
The Coalition will back Australians who work hard, save hard and want to get ahead, because our country is worth fighting for.
