Tuesday’s budget will point to a slowing Australian economy, with growth forecasts cut, and contain more than $21 billion of savings and decisions to redirect spending.
Delivered against a background of rising inflation, increasing interest rates and huge global uncertainties, Treasurer Jim Chalmers’ first budget will also contain $32.8 billion in extra funding over four years for pensions and payments compared to the April Pre-election Economic and Fiscal Outlook (PEFO) forecasts.
The budget pays for the largest indexation increase to payments in more than 30 years for allowances and the largest in 12 years for pensions.
