Overview
NSW Treasurer Daniel Mookhey delivered the 2025–26 State Budget yesterday. This marks the third Budget from the Minns Government since its 2023 election win. The Budget aims to relieve housing pressures, invest in public transport, support Western Sydney’s growth, and upskill the future workforce through school and TAFE funding.
This summary highlights the key measures most relevant to the strata, housing, and planning sectors.
The NSW Economic Outlook
A $5.7 billion deficit is forecast for 2024–25.
Deficits are expected to continue for two more years, with a modest return to surplus projected by 2027–28 and 2028–29.
CPI inflation to March fell to 2.3%.
Gross state debt is projected to exceed $180 billion in 2025–26, but remains below pre-election forecasts.
NSW’s population stands at 8.48 million, with 5.2 million in metro areas and 3.3 million in regional NSW.
NSW infrastructure includes:
226 public hospitals
253 ambulance stations
335 fire stations
398 police stations
2,216 public schools and 102 public preschools
22,929 weekly train services across 23 lines
46,333 daily bus services and 5,302 weekly ferry services
Strata Snapshot:
89,049 strata and community title schemes
95% are residential
Over 1.2 million people live in strata housing
By 2040, 50% of Greater Sydney’s population is expected to live in strata or community schemes
Budget Highlights
New Investment Delivery Authority: To fast-track over $1 billion projects, including renewable energy, data centres and logistics. Over $100 billion worth of projects are currently seeking approval.
Pre-Sale Finance Guarantee: $1 billion in rolling guarantees for housing projects to accelerate the delivery of 5,000 homes and 1,500 jobs.
Land Tax Discount: A 50% permanent discount for eligible build-to-rent developments.
Health: Upgrades for Bankstown, Westmead, and Wollongong Hospitals, and construction of the new Rouse Hill Hospital.
Education:
$10.4 billion over 10 years for NSW public schools under a new funding deal with the Federal Government.
$2.8 billion for TAFE to train 23,000 new apprentices and upskill 4,800 existing workers through free courses.
Public Transport:
$522.2 million for buses, ferries, metro and light rail upgrades.
Major spend on Sydney Metro West (Parramatta to CBD) and South West Metro (Sydenham to Bankstown).
Roads:
Toll Reform: Establishment of the NSW Motorways Entity to manage toll reforms, with $139 million already saved through cashback schemes since January 2024.
Housing & Planning Sector
With nearly half of Greater Sydney’s population projected to live in strata by 2040, the Government is focused on housing growth and planning reform. Key measures include:
Pre-Sale Finance Guarantee: $1 billion to fast-track housing development
Build-to-Rent Investment: $450 million for housing aimed at essential workers
Accelerated Approvals: $83.4 million to speed up planning for market, social and affordable housing
$10.6 million to boost the Housing Delivery Authority, which has already accelerated 136 projects (53,500 homes)
$20.9 million to support infrastructure loans for councils
$10.1 million to address water infrastructure issues
Construction Quality Reforms: $145 million to increase confidence in new builds
Surplus Land for Housing: $7.6 million to continue identifying suitable government land, already enabling over 8,200 homes
Infrastructure Offsets: Developers building approved infrastructure will receive offsets on the Housing and Productivity Contribution
Rental Reforms:
Ban on upfront tenancy fees
Limiting rent increases to once per year
Launch of Australia’s first Portable Rental Bond Scheme
Land Tax Concessions: 50% discount extended for new build-to-rent projects
SCA (NSW) Advocacy in 2025
SCA has significantly expanded its advocacy efforts, engaging with government and stakeholders across multiple fronts: