Billions in Cost-of-Living Relief for Australians – Key 2025 Federal Budget Measures Unveiled!

The 2025 federal budget will give billions of dollars of support to Australian citizens to ease them from increasing inflation. Various significant schemes have been included by the government in this budget like discounts on energy bills, relief on HECS-HELP debt and childcare subsidy.

In this article, we will explain thoroughly the key announcements of the budget, their effect and the advantage to the citizens.

Main announcements of the 2025 federal budget

In this article, we will explain thoroughly the key announcements of the budget, their effect and the advantage to the citizens.

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1. Energy bill relief – $150 annual discount to every household

Keeping in mind the rise in the cost of energy, the government has widened its well-liked energy bill discount program. Through this, all Australian families and small enterprises will receive a rebate of $150 per year, which will be paid in two parts ($75 each) from July 1, 2025.

This support will prove to be a huge relief for those families facing higher prices of electricity and gas.

2. Affordable health services and free GP visits

With an eye on the increasing cost of health services, the government has launched an $8.5 billion plan under which 90% of GP consultations will be made free by the end of the decade.

• GP clinics will receive an extra 12.5% incentive if they offer free services to all patients.
• Under the new $690 million proposal, the cost of prescription medicines will decrease from $31.60 to $25, with patients saving an average of $235 a year.

3. Childcare subsidy – relief for working families

The government will spend $427 million over the next five years to help families financially.

• Under the scheme, families with an annual income of less than $530,000 will receive three days of free childcare.
• The ‘activity test’ will be removed, allowing lower-income parents to access the subsidy more easily.

4. HECS-HELP debt relief – 20% discount for students

The government has announced a 20% discount on HECS-HELP debt to ease the financial difficulties of students.

• The scheme will benefit more than 3 million Australian graduates.
• The government will spend $16 billion to implement the scheme, which will cut the average student debt by $1,200.

5. Financial assistance for apprentices – $10,000 grant

To meet the demand for skilled workers, the government has allocated $630 million under the ‘Key Apprentice Program’.

• Under this scheme, each apprentice will be given financial assistance of $10,000 during their training.
• This assistance will be given in installments so that the apprentice can complete his studies and get a permanent job.

6. Additional assistance for first-time home buyers

The ‘Help to Buy’ scheme has been expanded to help more people buy a home.

• The annual income limit for single people has been increased to $100,000 and for couples to $160,000.
• The price limit for houses has also been increased, so that people will be able to buy a house even in expensive cities like Sydney.

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7. Other important announcements

• Dimming rates stable for pensioners: The government has decided to keep the dimming rates stable for 900,000 pensioners, which will not affect their financial situation.
• Beer price relief: The excise duty on draft beer will be kept stable till 2027, which will provide relief to the liquor industry, restaurants and consumers.

Conclusion

The 2025 federal budget has introduced several effective steps to offer relief to Australian citizens from inflation. From electricity bills to health care and education loans, the government has made significant decisions with a focus on the requirements of each segment.

This budget will not only offer relief to the citizens in the short run but will also give stability to the economy of the country.

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