• 2018/19 Victoria State Budget - UDIA Wrap Up

    2018-05-01

    2018/19 Victoria State Budget - UDIA Wrap Up

     

    The Labor Government has recognised that booming population growth demands significant investment in roads, rail, health and education with the 2018/19 Victoria State Budget, handed down on 1 May 2018.

    This budget tells us that approximately 47 per cent of Victoria’s tax income is derived from property, making it the most fundamental plank of our economic future. There’s no doubt that property will play a huge role in funding the evolution and improvement of our communities, our cities and our regional areas through the raft of major investments announced in today’s State Budget, which includes record investment in infrastructure for our newest and fastest growing communities.

    UDIA Victoria applauds Government’s foresight shown through the $172 million investment to help fill skills gaps, which is a live issue for the urban development industry.

    While the 2018/19 Victorian Budget lays good foundations for our state’s future, the absence of meaningful funding towards increasing housing supply is a shortfall that can’t be ignored. UDIA will continue engaging with the Andrews Labor Government to ensure more is done to facilitate development and in turn balance up supply and demand, which will be enormously beneficial for the affordability pressures affecting so many Victorians.

    Key Points
    • Taxes on property now represent approximately 47% of the State Government’s taxation revenue, yet there is relatively minor spending on planning and housing in this budget
    • No new taxes
    • Major investments in roads, rail, health and education across the state, including:
    o             $13.7 billion in infrastructure investment
    o             $4 billion on roads
    o             $1.9 billion for public transport
    o             $1.3 billion for schools
    o             $4.3 billion for regional VIC, focused on roads, rail, schools and healthcare
    • $172 million to help fill skills shortages, with particular focus on the skills required to build Victoria
    • $14.7 million to slash red tape by putting an end to protracted permit applications for simple projects, $9.7 million to process more planning permits, and $3.5 million to help councils do faster subdivision approvals
    • Estimated book value of over $1 billion of GAIC funds over the next five years; Over $115 million committed through GAIC funds to land acquisition for school sites, with a planned $205 million committed to projects in the next four years.

    Read the full UDIA Victoria 2018/19 Victorian Budget summary for the urban development industry.

    Read the UDIA Victoria media release.

    Read the 2018/19 Victorian Budget papers.