This year’s Federal Budget sets the tone ahead of the upcoming Federal Election, with a date expected to be announced imminently.
The MTA SA/NT welcomes a number of budget announcements that are reflective of ongoing advocacy by the MTA, together with our national body, the Motor Trade Association of Australia.
With a clear focus on households and cost of living in the budget, the MTA will continue to advocate for increased support for businesses and local employers.
Skills and Training
Apprenticeship Support
The Federal Government has announced $722.8 million over four years from 2025–26 to deliver increased support for apprentices. This includes:
- $77.8 million over four years from 2025–26 to extend the current interim Australian Apprenticeship Incentive System program settings for a further six months from 1 July 2025 to 31 December 2025
- $11.0 million over four years from 2025–26 to increase the Disability Australian Apprentice Wage Support subsidy
- $7.0 million over four years from 2025–26 to increase the Living Away From Home Allowance.
Energy and Environment
Energy Rebate
Announced in this year’s budget was an extension of the $150/house and small business energy rebate until December 2025.
Ongoing funding
Outlined in the budget was ongoing funding for a number of initiatives that benefit the automotive industry from previous budgets including:
- Ongoing $84.5m for emissions compliance, credit trading under the New Vehicle Efficiency Scheme
- $60 Dealer and Repairer Charging Fund (DRIVEN) for EV chargers at dealerships
- $50m for clean energy training including hybrid and electric vehicle mechanics.
Automotive Industry and Business Sector
Franchise Protections
Announced prior to the budget, the Federal Government will provide $12.0 million over four years from 2025–26 to support and protect small businesses. This includes businesses selling new motor vehicles, motorcycles, farm machinery and tractors as well as franchised motor vehicle repairers and more.
Funding includes:
- $7.1 million over two years from 2025–26 for the Australian Competition and Consumer Commission to strengthen regulatory oversight of the Franchising Code of Conduct.
- $1.2 million in 2025–26 to partner with White Box Enterprises to establish a Social Enterprise Loan Fund to offer small loans to social enterprises, including work integration social enterprises, to support employment for disadvantaged Australians
- $0.8 million in 2025–26 for Treasury to develop and consult on options to extend protections against unfair trading practices to small businesses and protect businesses regulated by the Franchising Code of Conduct from unfair contract terms and unfair trading practices.
Additional Policies
Whyalla Support
$1 billion over seven years from 2024–25 for the Green Iron Investment Fund to fund green iron projects through capital grants to support producers to establish or transition into low emissions facilities in Australia, including up to $500 million earmarked to transform the Whyalla Steelworks.
Tax cut for individuals
The centrepiece of the 2025-26 budget was the announcement of tax cuts for every taxpayer.
- From 1 July 2026, the 16 per cent tax rate, which applies to taxable income between $18,201 and $45,000, will be reduced to 15 per cent.
- From 1 July 2027, this tax rate will be reduced further to 14 per cent.
