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'Relief and Reform': Pre-Election Budget Promises

The package includes $10.3 billion for health staffing, $9.2 billion for schools and a lower toll cap for 200,000 drivers.

  • On Tuesday, June 23, 2026, NSW Treasurer Daniel Mookhey delivered the Labor government's final budget before the state election, focusing on targeted cost-of-living relief for struggling families amid economic uncertainty.
  • Amid global economic uncertainty and interest rate hikes, NSW faces a $2.3 billion deficit for 2026-27, marking the seventh consecutive budget deficit—the longest spell of negative balances in the modern era.
  • Motorists will see weekly toll caps drop from $60 to $50 for 12 months, benefiting about one million drivers, while the budget commits $22.2 billion to health and $9.2 billion toward constructing or upgrading 260 schools.
  • NSW Opposition Leader Kellie Sloane criticized the budget, arguing families are "going backwards," while Greens MP Abigail Boyd claimed the treasurer was "managing optics, not the crisis."
  • The government projects a return to a $1.1 billion surplus by 2027/28, positioning this budget as the final fiscal plan before the state election scheduled for March 2027.
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'Relief and reform': pre-election budget promises

Cost-of-living relief features heavily in the NSW budget, with housing, health and energy also key priorities as the government heads towards a 2027 election.

·City of Perth, Australia
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SmartCompany broke the news on Monday, June 22, 2026.
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