Richmond MP outlines cost-of-living focus as federal budget looms

Richmond MP Justine Elliot says cost-of-living relief and tax cuts will be central to the federal budget due to be handed down on Tuesday night.

Labor is expected to use the budget to unveil housing and tax reforms aimed at helping more Australians enter the property market, including planned changes to negative gearing and capital gains tax concessions for investors.

The Federal Government says the measures could help an additional 75,000 first-home buyers purchase homes over the next decade.

Elliot said the budget would continue a broader strategy of “relief, resilience, responsibility and reform”, as Australians continue to navigate global economic uncertainty, including fuel price pressures and inflation.

“Our budget is responsible and focused on relief, resilience, responsibility and reform,” she said.

“We are working to shield Australians from the worst of the global fuel crisis, tackle inflation and provide cost of living relief.”

Elliot said the government was also making “more savings” as part of an effort to create space for its priorities and help contribute to budget sustainability.

A central plank of the government’s budget approach, she said, includes tax relief measures aimed at increasing take-home pay for workers.

“We’re delivering two more rounds of tax cuts this year and next year, as well as a $1,000 standard tax deduction for every Australian worker,” Elliot said.

She said these measures build on existing cost-of-living support already delivered by the Federal Government, including Medicare, temporary fuel tax relief and housing initiatives aimed at improving access to home ownership.

“This builds on our cost-of-living delivery, including Strengthening Medicare, three months cut to fuel taxes, and helping Australians to own their own home,” she said.

Community services organisation Social Futures said housing affordability and income support would remain key issues for regional communities ahead of the budget.

Social Futures chief executive Tony Davies said housing demand in regions such as the Northern Rivers continued to outpace supply, while rising rents and living costs were pushing more people into crisis.

“In regions like the Northern Rivers, we continue to see housing demand far exceed supply, while rising rents and living costs are pushing more people into crisis,” he said.

Social Futures is calling for the Housing Australia Future Fund to be increased from $10 billion to $20 billion, alongside increases to JobSeeker, Youth Allowance and related income support payments.

The budget comes at a time when cost-of-living pressures remain a key concern for households across the Northern Rivers, with rising prices continuing to impact fuel, housing and essential services.

The 2026-27 Federal Budget will be delivered by Treasurer Jim Chalmers at Parliament House at 7:30pm (AEST) on Tuesday, May 12.

– with AAP