Federal ACT Labor politicians said the budget delivered infrastructure, community services, national institutions and practical cost-of-living relief for Canberra, but ACT crossbench and opposition politicians say Canberra is again missing out on its fair share.

The budget includes $50 million for housing-enabling infrastructure in the ACT; $50 million for upgrades to the Sydney to Canberra rail corridor; $50 million for the duplication of Drake Brockman Drive; and $4.6 million for planning work on the Molonglo East–West Arterial.

Community services funding includes $1.4 million for youth mental health services and $200,000 for the Local Support Coordinator Program to support victim-survivors.

It also includes $387.4 million for CSIRO; $30 million for a new RSPCA animal welfare campus in Pialligo; $9.9 million for the National Film and Sound Archive; $4.2 million for Ngurra: The National Aboriginal and Torres Strait Islander Cultural Precinct in Acton; $3.1 million for the National Jewish Memorial Centre; and $3 million for the Museum of Australian Democracy.

Finance minister Senator Katy Gallagher said the Albanese Government has invested more than $4 billion since coming to office, “making sure Canberrans are getting their fair share as the national capital”.

“This Budget builds on the strongest commitment any federal government has made to Canberra, investing in the infrastructure, national institutions and community projects our growing city needs.

“It also shows what can be achieved when Labor governments work together to support local jobs, strengthen the national capital, and deliver practical improvements for the ACT community.”

Assistant Minister Dr Andrew Leigh MP said the budget recognises Canberra’s dual role as a local community and Australia’s national capital.

“It invests in the roads, rail, housing infrastructure and services that matter to residents, while strengthening the institutions that preserve our democracy, science and culture.”

The ACT Government — also Labor — welcomed the Budget, describing it as “a decisive shift toward fairer treatment of Canberra, tackling the most important issues facing our community”: housing supply, cost of living pressures, and intergenerational fairness.

Senator Pocock

Independent Senator David Pocock welcomed housing reform, but lamented the government’s failure to implement a 25 per cent gas export tax.

“This budget is such a mixed bag – on the one hand some big reforms on housing that took real political courage, on the other a tragic missed opportunity to set us up for a more prosperous and secure future,” Senator Pocock said.

Senator Pocock was also concerned by cuts to the public service: $201 million from the Department of Industry, Science and Resources; $255.2 million from the Australian Renewable Energy Agency; and $283 million from the Department of Climate Change, Energy, the Environment and Water.

He regretted that the ACT missed out on additional funding for GP Bulk Billing allocated to the Hunter, Lake Macquarie, Newcastle and Central Coast. 

In his opinion, the $50 million federal contribution to the Sydney to Canberra rail corridor “feels pretty paltry” compared to almost $9 billion in new infrastructure investment.

“Canberra is again missing out on our fair share,” Senator Pocock said.

Canberra Liberals

The Canberra Liberals said the budget was “another major failure for Canberra”, and accused federal and ACT Labor of “once again taking the ACT for granted”.

The Liberals said that Senator Gallagher had failed to forgive the ACT’s historic housing debt; address the hundreds of millions of dollars the ACT misses out on because the Commonwealth does not pay payroll tax; or fix the chronic underfunding of municipal services payments to the Territory.

Canberra Liberals leader Mark Parton said: “Katy Gallagher has spent years talking about Canberra being treated unfairly, but now as Finance Minister she has failed to deliver any meaningful change for her own constituents.”

Shadow treasurer Ed Cocks said the ACT received no major infrastructure commitments or meaningful relief for struggling households, despite Canberra facing some of the highest housing costs, rates, taxes and utility bills in the country. National health reform funding for the ACT in 2025-26 was only $579.5 million, significantly below the $620 million forecast under the last Liberal Federal Budget.

ACT Greens

The ACT Greens said the budget failed Canberrans relying on the NDIS; renters; homeless people; early childhood educators; and climate programs.

ACT Greens disability, education, skills and training spokesperson Laura Nuttall MLA said the budget stripped $37.8 billion from the NDIS, taking an average of $7,000 in critical supports away from 160,000 people. The ACT had one of the highest rates of NDIS participation in the country, and thousands of Canberrans depended on the scheme for daily support.

“[$7,000] is not a minor adjustment. For someone who relies on the NDIS to live independently, $7,000 is a carer, a therapy session, a piece of equipment that enables them to live with dignity.”

Ms Nuttall said cutting the worker retention payment for early childhood educators was “a wage cut in disguise”.

ACT Greens deputy leader Jo Clay MLA criticised the budget’s treatment of renters and homeless people.

“Canberrans are paying 50, 60, 70 per cent of their income on rent. They are one bad month away from losing everything. This budget has nothing for them – not a dollar for renters, not a dollar for people experiencing homelessness.

“The only new housing money in this entire budget is $110 million – for defence housing for American and British troops under AUKUS. Meanwhile 3,500 Canberrans are sitting on the public housing waitlist. That tells you everything you need to know about Labor’s priorities.

“A 25 per cent gas export tax would raise $17 billion a year. That’s dental care. That’s public housing. That’s real cost of living relief for Canberrans doing it tough. Instead Labor left it on the table – again – and turned around and grandfathered tax breaks for wealthy landlords.”