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May 5, 2026
VIC Budget 2026-27: Key Portfolio Measures

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    Department of Treasury and Finance

    Affordable housing, workplace protections and cost of living relief will be prioritised, in addition to investment in the Social Housing Growth Fund. Expenditure in the Treasury and Finance portfolio in 2026–27 includes:

    Key measures

    • $773.7 million over five years from 2025–26 to expand the Social Housing Growth Fund, delivering 7,000 new homes by 2035–36. 
    • $109.3 million in 2025-26 for fuel excise relief as part of the Victorian Government’s contribution to the Commonwealth’s coordinated national fuel relief efforts.
    • $22.2 million over four years from 2026–27 to expand support for injured workers and improve workplace safety across the Victorian Public Sector. 
    • $6.2 million over two years from 2026–27 to support Workforce Inspectorate Victoria to expand education, compliance, and enforcement activities across regulated industries.

    Department of Premier and Cabinet

    Multicultural affairs, community cohesion, and vulnerable populations seeking asylum are a focus for the Government. Expenditure in the Department of Premier and Cabinet for 2026–27 includes:

    Key measures

    • $5.4 million over two years from 2026–27 to strengthen social participation and wellbeing outcomes for older Victorians through targeted multicultural seniors’ groups.
    • $3.4 million in 2026–27 to support community-led initiatives addressing antisemitism, Islamophobia, and broader racism prevention. 
    • $3.4 million in 2026–27 for essential supports for people seeking asylum, including general practitioner care, case coordination, and homelessness assistance.

      Department of Transport and Planning

      Upgrades to Victoria’s road and public transport network, including the headline announcement for major road maintenance funding, were included in this Budget. Expenditure in the Transport and Planning portfolios includes: 

      Key measures

      • $1.041 billion over two years from 2025–26 to complete and undertake road maintenance to fix potholes and resurface roads.
      • $758.6 million over two years from 2025–26 to provide 20 per cent rebates on registration payments for light vehicles.
      • $432.5 million over two years from 2025–26 to provide free and half-price fares on public transport through to the end of 2026.
      • $673.6 million in 2026–27 to deliver 25 locally built X’Trapolis 2.0 trains for the metropolitan network.
      • $481 million in 2026-27 for improvements to regional transport networks, including $318 million for reliability upgrades on the regional passenger rail network, $127 million to improve freight rail infrastructure, and $30 million for additional train services on the Shepparton Line.
      • $105 million over four years from 2026–27 for improvements to Victoria’s bus and ferry services, expanding operating hours and weekend services, delivering new routes, and increasing services connecting to universities.
      • $15.6 million over four years from 2026–27 to progress the Victorian Government’s 10-year plan for Melbourne’s greenfields and $11 million over two years from 2026–27 to implement the Victorian Government’s announced housing and planning reforms.

          Department of Health

          The State’s health infrastructure, maternity and paediatric services are funded in this Budget. Measures also seek to strengthen access to healthcare in homes and across the regions. Expenditure in the Department of Health in 2026–27 includes:

          Key measures

          • $1.6 billion over four years from 2026–27 to support staffing, medicines and operations across the State’s healthcare system. 
          • $284.5 million over five years from 2025–26 to open five hospitals, including Angliss Hospital, the upgraded Werribee Mercy Hospital Emergency Department and Cranbourne Community Hospital. 
          • $248.8 million over four years from 2026–27 to improve maternity services across Melbourne’s western suburbs.
          • $158.5 million over four years from 2026–27 for the redevelopment of Dandenong Hospital. 
          • $133.3 million over two years from 2026–27 to expand the Better at Home program, providing hospital-level care in homes. 
          • $109.3 million in 2026–27 to deliver 4,000 additional planned surgeries and 45,000 specialist appointments for children and young people. 
          • $50.6 million over two years from 2026–27 for Ambulance Victoria. 
          • $43.4 million over two years from 2026–27 for the Victorian-funded public fertility program. 
          • $35.7 million in 2026–27 for public sector residential aged care services.

                Department of Education

                Upgrading and building new public schools while also ensuring additional support for students with disabilities in these schools continues to be a priority for the Government. Measures also fund the establishment of the new Victorian Early Childhood Regulatory Authority. Expenditure in the Department of Education in 2026–27 includes:  

                Key measures

                • $2.1 billion over four years from 2026–27 to continue Victoria’s Disability Inclusion reform. 
                • $522.8 million over five years from 2025–26 for government schools to support maintenance and compliance programs.
                • $427 million over four years from 2026–27 for the Best Start, Best Life program, including new and expanded early learning infrastructure.
                • $391.8 million over five years from 2025–26 to meet student enrolment growth in government and non-government schools.
                • $294.5 million over four years from 2026–27 to upgrade 31 schools across Victoria, including modernising classrooms and facilities. 
                • $222.2 million over five years from 2025–26 to support the Victoria Curriculum and Assessment Authority in delivering curriculum, assessment and reporting.
                • $75.5 million over four years from 2026–27 to continue career education and work-based learning for secondary students in in-demand careers.
                • $26.2 million over four years from 2026–27 to establish the new independent regulator, the Victorian Early Childhood Regulatory Authority. 
                • $24.1 million over two years from 2026–27 to support outside school hours care services with high educator-to-child ratios at specialist schools.

                        Department of Energy, Environment and Climate Action

                        Alongside efforts to ensure capability to respond to future bushfire seasons, electrification remains a focus, with funding to support the agriculture and food manufacturing sectors, as well as community housing. Expenditure in the Department of Energy, Environment and Climate Action in 2026–27 includes:  

                        Key measures

                        • $146.8 million over four years from 2026–27 for firefighting aviation resources to support the State’s capability for future bushfire seasons.
                        • $44.5 million in 2026–27 to replace and operationalise the critical fire and emergency vehicle fleet supporting Forest Fire Management Victoria. 
                        • $43.3 million over three years from 2026–27 as an additional state contribution to Joint Programs for the River Murray catchment area, funding critical maintenance and renewal of water infrastructure assets.
                        • $15.8 million in 2025–26 to establish VicGrid as Victoria’s transmission planner. 
                        • $10 million in 2025–26 to support electrification in the food manufacturing sector. 

                                  Department of Jobs, Skills, Industry and Regions

                                  The Government continues to prioritise training, higher education, and workforce development, particularly through Free TAFE, to encourage reskilling in priority areas such as AI and home care. Other major focus areas include community sport and recreation infrastructure. Expenditure in the Department of Jobs, Skills, Industry and Regions in 2025–26 includes:

                                  Key measures

                                  • $243.9 million over two years from 2026–2027 for Free TAFE and more skilled workers, to increase reskilling in priority course areas. 
                                  • $87.2 million over two years from 2026–2027 to support the TAFE Services Fund through student inclusion and wellbeing programs, training delivery, updating TAFE facilities, and equipment and shared ICT platforms and services.
                                  • $50 million over four years from 2025–2026 to deliver a Victorian Renewable Energy TAFE Centre of Excellence to support the integration of renewable energy generation and assist transitioning workers from fossil fuel to careers in the renewable energy sector.
                                  • $35.9 million over three years from 2025–2026 for community sports infrastructure and participation initiatives to address key barriers to participation, particularly in disadvantaged communities.
                                  • $30.2 million over four years from 2025–2026 for delivering a Digital, AI and Technology TAFE Centre of Excellence.
                                  • $29 million over two years from 2026–2027 for the Melbourne Arts Precinct Transformation project and to support Arts Centre Melbourne and the National Gallery of Victoria to manage disruptions caused by project construction works.
                                  • $26.5 million over three years from 2026–2027 for the Future Regions Fund, which invests in enabling infrastructure, attracting industry investment, supporting worker housing, and improving community amenity.

                                              Department of Justice and Community Safety

                                              The budget responds to growing calls for stronger community safety measures, including upgrades to Victoria’s Triple Zero telephony system and a review of Victoria’s Sentencing Act. Investment in the Country Fire Authority and Fire Rescue Victoria has also been included following extreme weather in Victoria. Expenditure in the Department of Justice and Community Safety in 2026–27 includes:

                                              Key measures

                                              • $133.5 million in 2026–27 for building and upgrading multiple Country Fire Authority stations, delivering new firefighting vehicles over the next 10 years, and for new ultra large pumper and heavy pumper fire appliances, and a fire boat.
                                              • $101.9 million over four years from 2026–27 to upgrade Victoria’s Triple Zero telephony system to support more timely emergency response services.
                                              • $42.8 million over two years from 2026–27 to support the continued operation of correctional, rehabilitation, and reintegration facilities.
                                              • $39.7 million over four years for Victoria Police to procure protective equipment and support technology, such as intelligence software, digital fingerprinting, and facial recognition technology. 
                                              • $38.4 million over five years from 2025–26 for a Victoria Police licensing and registration management system, including integration with the National Firearms Register. 
                                              • $22.4 million over four years from 2026–27 to support the Country Fire Authority, including improved connectivity and wellbeing support, and deliver training and equipment. 
                                              • $10.5 million across two years from 2026–27 to support implementation of reforms to bail and sentencing laws, including the review of Victoria’s Sentencing Act.  

                                                            Department of Families, Fairness and Housing

                                                            Budget measures are focused on services and interventions protecting children from harm, including family support services, modernisation of digital support systems and investments to respond to family and sexual violence. Expenditure in the Department of Families, Fairness and Housing in 2026–27 includes:

                                                            Key measures

                                                            • $280.8 million over five years from 2025–26 to deliver child protection and care services, including for residential care placements and continued funding for the Child Protection Family Law program, as well as to manage and settle claims for compensation relating to child abuse. 
                                                            • $164.7 million over two years from 2026–27 for the Strong Families, Safe Children initiative to provide intensive family support services.
                                                            • $105.9 million over three years from 2026–27 to modernise the digital systems that support services for at-risk children, young people and families.
                                                            • $74.4 million over two years from 2026–27 to provide accommodation for family violence victim-survivors and their families. 
                                                            • $41.5 million over two years from 2026–27 to provide continued support to Victorians with a disability, including those ineligible for NDIS support due to residency status.  
                                                            • $25.8 million over four years from 2026–27 to expand outreach services and provide additional emergency accommodation for people experiencing homelessness. 
                                                            • $16.8 million in 2026–27 to support worker screening checks, including NDIS screening and Working with Children Checks. 

                                                                            Department of Government Services

                                                                            Maintenance of Births, Deaths and Marriages Victoria will continue, as well as strengthening job security in the local government sector. Expenditure in the Department of Government Services in 2025–26 includes:

                                                                            Key measures

                                                                            • $20 million over two years from 2026–2027 to maintain Births, Deaths and Marriages Victoria, supporting the registration of life events and customer services.
                                                                            • $5.4 million in 2026-27 to implement a Local Government Fair Jobs Code and a new regulatory body within the Department to monitor compliance with the Code.
                                                                            • $5.0 million over two years from 2025–2026 for the delivery of the Fair Fuel Plan, including enhancements to the ‘Servo Saver’ feature on the Service Victoria app. 
                                                                            • $4.3 million over five years from 2025–2026 to support community sector jobs. 
                                                                            • $2.7 million in 2026-27 to expand financial counselling services.
                                                                            • $2.4 million over two years from 2026–2027 to expand place-based legal, financial and personal advice services for vulnerable Victorians.

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