Treasurer's Message
Through the 2026-27 ACT Budget, the Government is making the most significant investment since self-government to supply more homes for Canberrans.
We are doing this because we understand the challenges many face in the housing market and we believe that current and future generations of Canberrans should have the opportunity to own their own home.
The Government is making generational investments in new affordable, community and public homes. At the same time, we are also making significant long-term investment in the repair and maintenance of public housing properties, including insourcing maintenance staff, to deliver more responsive services to tenants.
The Government has completely eliminated stamp duty for first home buyers in the Budget. This complements the tax reforms by the Australian Government which also prioritise first home buyers. Stamp duty has also been eliminated for unit-titled properties, supporting Canberrans, including downsizers, to move into 'missing middle' housing like terraces and townhouses.
The Government is continuing our microeconomic reforms to streamline planning and building processes, enhance construction productivity, and build more homes for Canberrans sooner. In the Budget, the Government has funded the establishment of a 'Canberra House' Pattern Book of high-quality pre-approved missing middle home designs that can be built without a development application. We have also halved the lease variation charge on missing middle housing projects to encourage builders to take up the Government’s zoning reforms.
The war in the Middle East has had a significant effect on the ACT economy over the first half of 2026. The Government has acted in a coordinated but targeted way, to address the supply-side shock, whilst at the same time incurring significant additional costs associated with rising fuel and other prices.
Despite these challenges the ACT economy remains resilient, with a growing economy, lower inflation than the rest of Australia and low unemployment. The ACT economy has grown faster than the rest of Australia with over 29 years of continuous economic growth, which is forecast to continue.
With inflation levels resulting in elevated interest rates, and uncertain conditions resulting from the war, the ACT Government has had to be measured in its steps towards budget repair and providing cost of living relief. The Government has targeted cost of living relief to Canberrans who need it most, with additional funding for food relief, family school expenses, tertiary student public transport concessions, reducing home energy costs and housing crisis support.
Through the Budget the ACT Government has recognised the important role the ACT’s community sector plays in supporting the most vulnerable people in our community, and the pressures faced by these vital partners. We have provided the sector longer-term funding certainty through the Budget and recognised the need for additional funding to meet demand in key areas including responding to homelessness and domestic, family and sexual violence. Further community sector funding reform is also underway to deliver a longer-term model that is focused on meeting the community’s changing needs.
Although there have been some economic constraints, the 2026-27 Budget continues our responsible approach to managing expenditure and revenue. New expenditure is focused on frontline services to meet the needs of our growing community. Supported by a new Restructure Fund, continued effort is being made by all ACT Government agencies to meet their budgets and focus on Government priorities. New measures will also be introduced to limit the use of external contractors.
The Government will continue to make generational investments in health, education and transport infrastructure while adjusting the infrastructure program to ensure it remains sustainable. This reflects the scale and complexity of delivering major city-shaping infrastructure over multiple years, with careful management of financial commitments to ensure affordability and fiscal sustainability.
The 2026-27 Budget implements a range of measures to support a more sustainable infrastructure program and ensures that the pipeline is responsive to local industry capacity. While this work has generated significant and necessary savings, the program continues a strong pipeline of investment delivering on election commitments and priorities like fully funding the new Northside Hospital project and enabling infrastructure to support the delivery of more homes across Canberra.
The work undertaken by the Government to improve the Budget position will ensure that Canberrans can continue to enjoy high levels of services, whilst we respond to external shocks and take responsible steps to ensure the Territory’s finances remain sustainable. With a growing economy, and the investments made in our community, Canberrans will continue to enjoy the best quality of life in Australia.
Chris Steel MLA
ACT Treasurer