NSW Budget 2022-23: Key Portfolio Measures

22 June 2022

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Treasury, Premier and Cabinet

The Treasury cluster has now gained the Office of Energy and Climate Change (OECC), which provides policy advice and delivers programs relating to the transition for renewable energy. The Department of Premier and Cabinet continues its role in engaging with First Nations peoples as well as supporting a range of other social policy priorities. Total spending over 2022-23 in the Treasury Cluster was $14.78 billion, while the total in the Premier and Cabinet Cluster was $908.8 million. Key measures included:

  • $13.1 billion to manage Government finance, including support for infrastructure investment and procurement as well as reforming procurement processes. Additional programs include further development of performance and outcomes-based budgeting, as well as managing the Treasury Banking system.
  • $206.1 million, before revenue and asset sales of just over $1.8 billion, over the forward estimates for the Transmission Acceleration Facility to develop transmission infrastructure to prepare for the phasing out of fossil fuels through building renewable generation and storage.
  • $465 million from the Climate Change Fund to support projects that will reduce emissions as well as build resilience to the effects of climate change.
  • $105 million over four years to support renewable manufacturing in NSW by strengthening supply chains and fostering innovation.
  • $60.2 million in funding for the NSW Electoral Commission to conduct the 2023 State Election as well as additional resources to meet legislative requirements.
  • $18 million to deliver on a range of Closing the Gap commitments including partnerships between First Nations organisations and the State Government.
  • $16 million to extend the Return to Work program, which aims to help women re-enter the workforce.

Customer Service

The NSW State Government is aiming to alleviate the rising cost of living through targeted relief for parents and toll users, while also continuing to fund its digital transformation priorities and the customer-centric agency, Service NSW. In 2022-23 there is $5.3 billion in spending across the Customer Service Cluster. Key measures include:

  • $520 million over two years for Service NSW to replace the existing toll relief scheme with a broader base, aimed at doubling the numbers of those receiving assistance.
  • $297 million to continue the rollout of the Critical Communications Enhancement Program (CCEP), which will provide a unified mobile radio network for emergency services.
  • $228.3 million to continue the whole of Government Digital Transformation Strategy – funded from the previously announced $2.1 billion Digital Restart Fund.
  • $193 million for the delivery of Back-to-School vouchers in February 2023, with $150 available for every child enrolled in school.
  • $155 million to continue supporting flood recovery in Northern Rivers region and other areas affected by floods.
  • $73.4 million to build capacity within Service NSW to respond to rising customer demand, as well as targeted resources for more complex transactions and enquiries.
  • $20.5 million for Construct NSW to increase homebuyers’ confidence in the residential construction industry by continuing the construction industry reforms commenced in 2019.
  • $17.5 million to improve data analytics and customer education at Better Revenue Outcomes for NSW.


In the health sector, the Government continues to invest in the COVID-19 response, palliative care, health infrastructure, and expansion and support of the healthcare workforce. In 2022-23, expenditure in the Health Cluster totals $33.5 billion, including:

  • $899.4 million to support the ongoing response to COVID-19, including funding for personal protective equipment (PPE), testing, COVID-19 clinics, and the management of long COVID.
  • $883.1 million over four years for a regional health workforce incentive scheme aimed at attracting and retaining healthcare staff in regional, rural and remote NSW.
  • $743.4 million over five years to enhance palliative care services, including funding for additional staff, new and upgraded hospital palliative care units, and the improvement of symptom management options.
  • $565.3 million over four years for NSW Ambulance to fund additional staff and the development of 30 new ambulance stations.
  • $544.4 million to fund health service resilience programs aimed at supporting the health and safety of NSW Health staff.
  • $435 million to fund a $3,000 bonus for healthcare workers in recognition of their work throughout the pandemic.
  • $408 million over two years to fast-track elective surgery procedures delayed during the pandemic.
  • $80 million for the expansion of the Affordable IVF Program to support access to fertility treatments, as part of the Government’s Women’s Opportunities Statement.
  • $28.5 million in funding over four years for Lifeline to support mental health services.
  • $27.3 million in recurrent expenses over four years to fund developmental checks in preschools, as part of a combined package of $111.2 million jointly delivered by the Department of Education and NSW Health through the Brighter Beginnings initiative.
  • $25.6 million to maintain cell and gene therapies as part of an ongoing program for patients with rare or late-stage disease.


The Government continues to spend heavily in the transport sector, with substantial investment in infrastructure development for Sydney’s buses and motorways. There is a significant focus on Western Sydney through Sydney Metro West, Metro stations for the future Western Sydney International Airport, the WestConnex Motorway and the Western Harbour Tunnel. A number of “mega projects” including Beaches Link have been put on hold and did not receive future funding allocations in the Budget. In 2022-23 expenditure in the Transport Cluster is $39.8 billion, including:

  • $1.6 billion for bus services throughout NSW, including regional and metropolitan bus services and school services.
  • $1.4 billion to continue construction of the Sydney Metro City and Southwest.
  • $1.3 billion to Sydney Metro West, which is part of $12.4 billion to be administered over the forward estimates.
  • $920.4 million to deliver six new Metro stations to service the future Western Sydney International Airport and Western Sydney Aerotropolis. This is to be delivered as part of $8.4 billion over the forward estimates.
  • $693.6 million for Infrastructure NSW to support major infrastructure, including Blackwattle Bay precinct and the Barangaroo precinct.
  • $606.3 million to complete construction of the WestConnex Motorway including the M4-M5 link tunnels and the Rozelle Interchange. This is to be delivered as part of $1.2 billion over the forward
  • $399.1 million to deliver a Regional Rail Fleet to replace the XPT, XPLORER and Endeavour trains and construct a new maintenance facility in Dubbo.
  • $390.2 million to commence construction on the Western Harbour Tunnel. This is to be delivered as part of $4.1 billion over the forward estimates.
  • $272.2 million for Sydney Gateway, as part of $1.4 billion over the forward estimates.
  • $118 million to continue construction of the Paramatta Light Rail, as part of $308 million over the forward estimates.

Planning and Environment

The Government will spend heavily in areas targeting environmental issues and climate change, including on a Sustainable Farming accreditation program, the Safe and Secure Water Program, NSW Waste and Sustainable Materials Strategy 2041, the NSW Plastics Action Plan and a Biodiversity Credits Supply Fund. In 2022-23 expenditure in the Planning and Environment Cluster is $7.5 billion, including:

  • $300 million for maintenance and upgrades to over 15,800 social housing properties.
  • $206.2 million to be delivered over 10 years to a Sustainable Farming accreditation program to reward farmers that opt-in to improve carbon and biodiversity outcomes.
  • $184.4 million from the Federal Government to deliver on the Murray Darling Basin Plan, including the Sustainable Diversion Adjustment Mechanism (SDLAM) and the Northern Basin Toolkit Programs.
  • $149.2 million in additional funding to the Accelerated Infrastructure Fund, including $120 million for new housing in regional areas.
  • $139.4 million for clean-up and removal of flood and storm related damage from the February and March 2022 floods.
  • $111.7 million for the Safe and Secure Water Program, including $90 million over two years to support water supply in regional towns.
  • $52.4 million to waste pollution, including implementation of the NSW Waste and Sustainable Materials Strategy 2041 and NSW Plastics Action Plan.
  • $33.6 million to establish a new Biodiversity Credits Supply Fund.
  • $31.3 million for additional State-led re-zonings to support 70,000 new dwellings across the State.
  • $25.4 million for the construction of 200 new homes and 260 upgrades for First Nations people to be delivered through the Aboriginal Housing Office and Aboriginal Community Housing Providers.


The Government’s commitments to education have a strong focus on the already-announced childcare funding boosts and the implementation of universal pre-kindergarten for all children in NSW. 2022-23 expenditure in the Education Cluster is $25.9 billion and includes:

  • $17.2 billion to support primary and secondary education in government schools, in line with the National School Reform Agreement (NSRA).
  • $1.6 billion to deliver new infrastructure projects over the next six years including new and upgraded schools.
  • $1.5 billion to non-government schools, including funding under the Building Grants Assistance Scheme.
  • $480.3 million for ongoing maintenance of public schools’ infrastructure.
  • $97.6 million to continue to provide fee relief for children aged three to five years in community, mobile and Department of Education preschools.
  • $87 million for TAFE NSW to support training delivery in critical skill areas and to supplement operational costs.
  • $80.3 million to provide fee relief of up to $2,000 per child per year for four to five-year-olds attending preschool in long day care.
  • $53.1 million to retain early childhood educators.
  • $40.2 million for planning, consultation and early steps in the implementation of universal pre-kindergarten for all children in NSW.
  • $15.5 million to trial funding over 2023-24 for three-year-old preschool programs in long day care.

Stronger Communities

The Government continues to invest in protecting the NSW community through funding for the NSW police, the prison system, and assistance for people living with a disability. 2022-23 expenditure in the Stronger Communities Cluster totals $22.7 billion and includes:

  • $5 billion to the NSW Police Force, including $95.9 million for 550 additional police, to assist the State’s commitment to deliver 1,500 new police over four years.
  • $3.4 billion for cash and $400 million for in-kind contributions in 2022-23 for individual packages under the NDIS to assist those with a disability to participate fully in the community.
  • $2.5 billion in recurrent expenses towards the management of adult offenders in custody and in the community, including $29.6 million capital expenditure to transforming prisoner rehabilitation.
  • $1.6 billion towards enhancing permanency outcomes and supporting the welfare, wellbeing, and safety of vulnerable children in out-of-home care.
  • $1.4 billion through Resilience NSW to assist the NSW Government’s response to the early 2022 floods and storms.
  • $815.4 million to fund a robust child protection program that assesses reports of child abuse and neglect and prevents entries to care.
  • $813.9 million to support courts and tribunals in NSW, including $1.2 million to continuing the two Land and Environment Court Commissioners in 2023-24.
  • $773.9 million towards supporting social housing through secure and affordable housing options for those with low incomes.
  • $507 million capital expenditure to the NSW Police Force, including $18.8 million for the maintenance and improvement of in-car digital systems, body-worn video and Glock pistols.
  • $481.1 million towards assisting Legal Aid NSW in providing legal services to clients who are disadvantaged in areas of criminal, civil and family law.
  • $262.7 million towards preventing family and domestic violence, including $77 million towards providing housing and related support services for women and children.

Regional NSW

The Government continues to invest in conservation and recovery efforts, and delivering economic growth, social development, and community amenity in Regional NSW. Excluding other funds and trusts, 2022-23 expenditure in the Regional NSW Cluster totals $4.4 billion and includes:

  • $832.7 million towards delivering a series of recovery programs aimed at providing economic stimulus and support for recovery from natural disasters.
  • $772.5 million towards delivering economic growth, social development, wellbeing, and community amenity in regional NSW, including $1.3 billion to the Regional Growth Fund 3.0.
  • $447.7 million towards delivering the Special Activation Precincts place-based solutions to fuel economic development and to deliver Regional Jobs Precincts that will provide certainty for communities.
  • $317.9 million to the NSW Rural Assistance Authority to provide primary producer flood recovery grants, climate resilience support and on-farm assistance.
  • $81.5 million towards growing investment in exploration and mining through the implementation of the NSW Critical Minerals and High-Tech Metals Strategy, with help from the $130 million Critical Minerals Activation Fund and the $100 million Coal Innovation Fund.
  • $81.5 million to assist in the conservation and restoration of natural and cultural resources, including $212.1 million in recurrent expenses and $5.4 million in capital expenditure over four years.

Enterprise, Investment and Trade

Through the Future Economy Fund, the Government continues to invest in increased economic development and investment attraction, and excellence in arts, sport and tourism. 2022-23 expenditure in the Department of Enterprise, Investment and Trade totals $3.9 billion and includes:

  • $252.4 million to the Future Economy Fund, to target the end-to-end stages of business growth.
  • $342.4 million from the Future Economy Fund will be allocated to support the commercialisation of services, products and emerging digital technologies in fields that will grow the NSW economy. Additionally, the Future Economy Fund will invest $219 million over four years to accelerate growth and investment in priority industry sectors to deliver significant benefits to the economy by building local capability, securing high-value jobs and boosting productivity.
  • $142 million from the Future Economy Fund will be invested over four years to drive research, development and innovation growth in sectors where NSW has a natural competitive advantage, by funding state-of-the-art delivery and advancing collaboration with universities and the private sector.
  • $22.9 million in recurrent expenses for the extension of the Creative Kids Program until 30 June 2023, to ease the cost of living through supporting young people to participate in creative activities.
  • $21 million in recurrent expenses for Destination NSW, the State’s tourism and major events agency, to continue developing Sydney’s ‘Feel New’ Visitor Brand, secure world class events for NSW, and assist in a comeback of visitation following COVID-19.

For more information on the State Budget, or to enquire about our communications, public affairs and government relations services in New South Wales, please contact our Sydney office on +61 2 8353 0400 or [email protected].

Sahil Prasad
Director – Public Affairs
M: +61 401 954 966
E: [email protected]

Jaimi Greenspan
Director, Public Affairs
M: +61 478 963 675
E: [email protected]

Liam Nilon
Associate Director, Public Affairs
M:+61 422 567 650
[email protected]


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