Liberal Budget in Reply 2026 โ€“ Our Plan for a Fairer, Freer and Better Australia
Liberal Budget in Reply 2026

Our Plan for a Fairer, Freer & Better Australia

Explore our three signature commitments โ€” and what they mean for you and your family.

โ†“ Scroll to explore
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Tax Back Guarantee

Drag the slider to your annual income and see your tax cut:
$70,000
per year
$20,000$200,000
Year 1 Tax Cut
$244
from 2028โ€“29
Year 4 Tax Cut
$1,012
and growing year on year

+ Cuts will be higher if inflation exceeds 2.5%

โš ๏ธ Under Labor, Australians work harder, pay more โ€” and fall behind. When wages rise just to keep up with inflation, the tax system treats you as richer and takes more. That is the inflation tax โ€” and we will end it.
๐Ÿ˜ค

The Problem: The Inflation Tax

When your wages rise only to keep up with prices, you're no better off. But the current system pushes you into a higher tax bracket as though you are. We think that's unfair โ€” and we'll fix it.

๐Ÿ“…

When We Start

From 2028โ€“29, we'll index the tax-free threshold and the $45,000 threshold to inflation โ€” protecting around 85% of all income earners immediately.

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More Protection Over Time

From 2031โ€“32, we'll also index the $135,000 and $190,000 thresholds โ€” delivering full protection for every income earner in Australia.

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Honest Government

If we want to raise taxes, we'll say so openly. We won't quietly take more from your pay packet through inflation. This reform forces honesty back into the tax system.

Meet Australians who benefit โ€” tap a card to reveal their tax cut!

๐Ÿ‘ฉโ€๐Ÿ’ผ
Kate
Multi-job worker ยท $70k/yr
Tap to reveal her benefit

Kate's Tax Cut

Currently her buying power goes backwards by $6 after inflation and tax. Under our Tax Back Guarantee she gets $244 in Year 1, rising to $1,012 in Year 4.

๐Ÿ”ง
Rob
Plumber ยท $100k/yr
Tap to reveal his benefit

Rob's Tax Cut

$244 in Year 1, rising to $1,012 in Year 4. We believe hard workers deserve to keep more of what they earn.

๐Ÿ’ผ
Vian
Consultant ยท $140k/yr
Tap to reveal her benefit

Vian's Tax Cut

$244 in Year 1, jumping to $1,248 in Year 4 when we also index the top two brackets.

๐Ÿ‘จโ€๐Ÿ‘ฉโ€๐Ÿ‘ง
Geoff & Sarah
Family ยท $120k combined
Tap to reveal their benefit

Their Combined Cut

Geoff earns $90k (council worker); Sarah earns $30k part-time (childcare). Together: $308 in Year 1, rising to $1,277 in Year 4.

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Putting Australians First

๐Ÿ“… From 1 July 2028

We will reserve access to 17 welfare payments and future NDIS eligibility for Australian citizens only โ€” ensuring our safety net remains sustainable and trusted for those who've contributed to, and committed to, this country. If you commit to Australia, Australia will commit to you.

๐Ÿค” Why are we doing this? โ–ผ
A strong safety net depends on trust. We believe a welfare system that tries to do everything for everyone can eventually fail the people who need it most. By prioritising citizens โ€” those who've made a full commitment to Australia โ€” we keep the system focused, fair and sustainable for the future.
๐Ÿ‘ฅ Who is affected? โ–ผ
Current recipients will be grandfathered โ€” their entitlements won't be removed. Existing international arrangements and exemptions continue to apply. The change affects future access from 1 July 2028 onward, for non-citizens.
๐ŸŒ Does this mean we stop being generous? โ–ผ
Absolutely not. We'll return the humanitarian intake to its long-term average, and our commitment to generosity remains. We're creating clear rules and clear priorities โ€” not ending generosity, but making sure the system can serve those who truly need it for generations to come.
๐Ÿ“‹ Why does citizenship matter? โ–ผ
Citizenship carries rights, responsibilities and obligations. Our view is that Australia's taxpayer-funded safety net should be first and foremost for citizens โ€” whose taxes sustain the system and who've made a full commitment to this country.
17 Payments We'll Reserve for Citizens:
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Migration & Housing Pledge

Under Labor
1.4M
People brought in since Labor was elected
Under Labor
1.8M
Population growth โ€” outpacing homes built
Labor's failure
400K
Home shortfall under Labor's construction rate
Our commitment
$5B
Housing Infrastructure Fund we will establish
Our commitment
๐Ÿ 
Tie net overseas migration to the number of new homes completed
โš ๏ธ Under Labor, 1.4 million people have been brought in while ~400,000 homes are missing โ€” roughly the entire population of Canberra. Australians feel this every week: at rental inspections with dozens of other applicants, in rising rents, and in longer commutes.

Our Migration Cap Commitment

Each year, we will tie net overseas migration to the number of new homes completed. If we build the homes, we can welcome the people. If we don't build enough, we won't keep bringing in people at a pace Australia can't handle.

We'll report on this publicly every year โ€” full transparency and accountability.

โš  Labor's housing gap vs. migration~78% mismatch
  • We'll only bring in as many people as we can house
  • We'll tighten temporary migration
  • We'll focus skilled migration on quality over quantity
  • Annual public reporting to hold us accountable

Making Homes Cheaper to Build

We'll slash the National Construction Code โ€” currently 2,350 pages โ€” back toward 200 pages, as it was in 1988. Many requirements imposed in 2022 will become optional rather than mandatory.

โš ๏ธ Labor's 2022 code changes added up to $70,000 to the cost of a new home โ€” pricing young Australians out of the market.
  • Step-free entry & accessibility features โ†’ buyer's choice
  • 7-star energy efficiency, double-glazed windows โ†’ optional
  • Shower/bathroom accessibility requirements โ†’ optional
  • Estimated to unlock 120,000 homes over 10 years
  • Gives buyers the power to choose a more affordable home

$5 Billion Housing Infrastructure Fund

Too many projects are stalled because basic infrastructure isn't in place. We'll establish a $5 billion Housing Infrastructure Fund to get homes built faster โ€” in more places across the country.

โœ”
30% reserved for Regional Areas
  • Funds last-mile infrastructure: water, sewerage, power, access roads
  • Available directly to local councils and developers โ€” no Canberra bottleneck
  • 30% reserved for regional areas
  • We estimate this could unlock up to 400,000 homes

Housing Fairness for Australians

Beyond migration and supply, we'll make sure housing support goes to Australians first:

  • We'll ban non-citizens from the 5% Deposit Scheme
  • We'll keep the ban on temporary residents buying existing homes until housing catches up
  • We'll refocus skilled migration on genuine quality
  • We'll publicly report our migration-to-housing ratio every year

Our approach is simple: only bring in who we can house; make homes cheaper to build; get infrastructure in the ground so homes can be connected.