The Latest Breaking News from Tim Pallas

Stretched to its limits over the past two years, Victoria's health system will receive a $12 billion boost as part of this year's pre-election budget.

Opposition Leader Matthew Guy says under the pledge, the Coalition will pump an extra $10 million into IBAC's budget per year and increase the Victorian Ombudsman's funding by $2 million per year.

The levy on new developments would have raised about $800 million each year, but the property industry and councils strongly opposed the move.

Victoria's proposed $800 million social housing levy and planning reforms package have been binned for good after the government butted heads with the industry.

Brett Sutton says Victoria is not yet at the peak of COVID-19 hospitalisations, as he urges people against becoming complacent about the risk posed by the Omicron variant.