The 2023-24 NSW Budget sets out the Minns Labor Government’s plan to start the work of repairing the budget in a sustainable way, to rebuild our essential services and to help NSW families with the cost-of-living.
This budget marks the beginning of the long-term plan to address these challenges.
This budget is only possible because of the careful and responsible approach to budget repair which will ensure the government can fulfill its commitments without privatising public assets or imposing an unfair wage cap on the workers who deliver our essential services.
Budget repair
Budget repair begins with a $4 billion improvement in the budget result over 4 years.
2023-2024 | 2024-2025 | 2025-2026 | 2026-2027 | |
|---|---|---|---|---|
| 2023-2024 Budget | -$7847 million | $844 million | $1582 million | $1508 million |
| 2023 Pre-election Budget Update | -$7107 million | $328 million | $824 million | -$1918* million |
Difference | -$740 million | $516 million | $758 million | $3426 million |
*Not published at Pre-election Budget Update. Based on internal estimates to review the 2026-2027 Budget position ahead of publication.
The budget is forecast to return to a modest $844 million surplus in 2024-2025 after 5 years of deficits under the Liberals and Nationals. Achieving this still remains a difficult task.
The 2023-2024 Budget reduces the growth of debt by $14.8 billion by 2025-2026. Reducing debt will save taxpayers $2.3 billion of interest, which will be redirected to supporting essential services.
The Comprehensive Expenditure Review redirected $13 billion towards essential services and cost-of-living relief for families. Key savings included:
- Over $700 million from freezing the pay of politicians and reducing the number of senior executives.
- $530 million by reducing consultants and labour hire.
- $111 million by merging planning functions of the Greater Cities Commission and Western Parkland City Authority into the Planning Department.
- $527 million by ending EV subsidies and directing new funds to programs that work better.
This is on top of a $2.7 billion budget improvement from increasing coal royalties, $4.3 billion reduction in net debt from restructuring Transport Asset Holding Entity (TAHE) and a $7.7 billion gross debt reduction from temporarily suspending contributions to the NSW Generations Fund.
This budget repair has allowed us to direct funds into programs that work and begin rebuilding essential services and investing in the people who provide them. This includes:
- $3.6 billion for the Essential Services Fund.
- $13.8 billion on hospital and health facilities.
- $9.8 billion on schools and education facilities.
- $1.4 billion to support 2312 nurses and 500 new rural and regional paramedics.
- $4 billion in natural disaster support and response programs (a component is eligible for co-funding with the Australian Government under the Disaster Recovery Funding Arrangements).
Our plan to rebuild essential services is only possible because of the careful and responsible approach to repair the budget without privatising our essential assets or imposing an unfair wages cap on our workforce.
