ACT, Government Budget Update Signals Improvement, With New Health Funding and Housing Reforms Ahead
Umesh Dhakal
KNA- Canberra
A significant improvement has been recorded in the ACT’s mid-year budget update, reflecting progress in the Territory’s financial position, while acknowledging that further work remains.
As preparations continue for the 2026–27 Budget, priorities are being maintained on delivering election commitments and strengthening the public services Canberrans rely on, including health, education, housing and critical infrastructure.
The update does not yet incorporate the impacts of the new National Health Reform Agreement, which is expected to deliver $4.1 billion in Commonwealth funding to the ACT public health system over five years from 1 July 2026. This funding is anticipated to provide long-term support for frontline health services.
At the same time, measures are being introduced to support the delivery of more social and affordable housing across Canberra. Lease variation charges are being reduced for eligible developments to improve project viability and accelerate construction.
Under the revised settings, developments of 10 or more homes will qualify where at least 15 per cent of dwellings are provided as social or affordable rental housing. Eligible developments may receive reductions of up to $250,000 per home where projects are owned and managed by registered Community Housing Providers, and up to $100,000 per home for social or affordable rentals not owned by registered providers.
These changes are also expected to support Community Housing Providers and developers to participate in the Housing Australia Future Fund, further accelerating housing delivery.
The reforms align with the ACT Government’s broader housing strategy to enable 30,000 new homes by the end of 2030, including 5,000 additional public, community and affordable homes, while maintaining a focus on supporting the community and delivering long-term service improvements.
Source: ACT/GOV/ Fiancé-eco
