Labor's 2025 Mandate: Key Reforms Ahead
With Albo winning on the weekend, the Libs will be setting about finding a new leader. Be prepared for lots of backstabbing, deals with smaller parties and being underwhelmed.
Labor’s plans for the next few years include:
Housing Initiatives
Affordable Home Construction: Labor plans to build 100,000 new homes under the $10 billion Homes for Australia Plan, targeting first-home buyers.
Shared Equity Scheme: The "Help to Buy" program allows eligible buyers to purchase a home with a 5% deposit, with the government contributing up to 40% equity.
Foreign Ownership Ban: A two-year ban on foreign ownership of existing homes aims to increase housing availability for Australians.
Education and Student Debt Relief
Student Debt Reduction: A 20% cut in student loan debt will be implemented from June 1, 2025, benefiting approximately 3 million Australians.
Repayment Threshold Adjustment: The minimum income threshold for mandatory student loan repayments will increase from $54,000 to $67,000, easing financial pressure on graduates.
Fee-Free TAFE: Labor commits to making fee-free TAFE permanent, enhancing access to vocational education.
Cost-of-Living Measures
Tax Cuts: The government plans to reduce the lowest tax rate from 16% to 14% by 2027, providing financial relief to low and middle-income earners.
Energy Rebates: Labor proposes energy bill relief, including a $150 rebate for households and small businesses.
Beer Tax Freeze: A freeze on beer excise aims to alleviate living costs.
Healthcare Enhancements
Medicare Boost: An $8.5 billion investment will expand bulk-billed GP visits, establish 24/7 telehealth services, and increase funding for women's and mental health services.
Urgent Care Clinics: The establishment of 50 Medicare urgent care clinics aims to reduce pressure on hospital emergency departments.
Energy and Climate Initiatives
Renewable Energy Target: Labor aims for 82% renewable power by 2030, including subsidies for solar battery installations and the implementation of vehicle emission standards.
National Security and Defence
Defence Spending Increase: A commitment to boost defence spending by $50.3 billion will enhance AI and missile defence capabilities and strengthen the AUKUS submarine supply chain.
Childcare and Early Education
Universal Early Childhood Education: A $1 billion investment will provide subsidized early childhood education and care, guaranteeing eligibility for children to attend early education centres.
Aged Care Reforms
Aged Care Funding: An allocation of $2.6 billion will increase award wages for aged care nurses, and $291.6 billion will be invested to deliver comprehensive aged care reforms.
Key Business-Focused Reforms:
Instant Asset Write-Off Extension: The government has extended the $20,000 instant asset write-off for 12 months, allowing small businesses to immediately deduct eligible asset purchases, thus improving cash flow and encouraging investment.
National Occupational Licensing Reform: Efforts are underway to streamline occupational licensing across states and territories, starting with the electrical trades. This reform aims to reduce administrative burdens and facilitate labour mobility.
Ban on Non-Compete Clauses: Legislation is being introduced to prohibit non-compete clauses for employees earning below the higher income threshold under Fair Work laws. This move is intended to enhance labour market flexibility and allow workers to pursue better opportunities without contractual restrictions.
Support for First Nations Businesses: The government has updated the Aboriginal and Torres Strait Islander Act 2005 to enable Indigenous Business Australia to borrow and raise funds for investment opportunities. This change is designed to drive economic empowerment within First Nations communities.
Strengthening Indigenous Procurement Policy: Reforms to the Indigenous Procurement Policy now require businesses to be at least 51% First Nations owned and controlled to access Commonwealth procurement contracts, thereby promoting Indigenous entrepreneurship.