The Victorian Greens have launched a sharp attack on the Allan Labor Government’s 2026–27 state budget, arguing it lacks long-term vision and fails to address what they describe as the core pressures facing households across Victoria, including housing stress, cost-of-living pressures, and underfunded essential services.
Leader of the Victorian Greens, Ellen Sandell, said the budget does not confront systemic issues in education, healthcare, and public infrastructure. The Greens argue that while everyday costs such as rent, mortgages, groceries, and utilities continue to rise, the budget has missed an opportunity to redirect corporate wealth into public services.
“This Budget shows yet again that Labor has no long-term vision, and they are doing nothing to fix the big problems that everyday people are facing. Meanwhile, their corporate mates continue to get kick backs.
“It’s a Budget that does nothing to fundamentally fix the big problems Victorians are facing, and does nothing to help us deal with future challenges.”
Ellen Sandell
She added that, the Greens are the only party that has “the guts to fundamentally change the system and make billionaires and big corporations pay their fair share, to put that money back into the public good, so that everyone can afford a home and the things we need to live a decent life.”
According to the Greens, the budget includes more than $4.4 billion in tax breaks for property developers, land bankers, wealthy investors, and owners of multiple properties. They also highlight $397 million in tax concessions for pokies operators, at a time when gambling losses in Victoria have reportedly risen by 22 percent.
Further criticism has been directed at housing policy, with $344 million allocated to the demolition of Melbourne’s public housing towers. The Greens say this brings the total cost of the redevelopment program to more than $2.5 billion, arguing that public housing is being replaced with private developments rather than being preserved or expanded.
Education funding has also been a key point of contention, with the Greens stating that Victorian public schools remain the lowest funded in the country. At the same time, community health services continue to operate under financial strain. They argue that the budget does not provide sufficient structural investment to close these gaps.
According to the Greens, the Victorian government has a responsibility to actively improve living standards and prepare for future challenges, rather than relying on market-driven outcomes.
Victorian Budget Focuses on Infrastructure and Cost-of-Living Relief Amid Economic Pressure
Earlier, the Victorian Government delivered its 2026–27 budget, pledging to make life “easier, safer, and more affordable” for residents while navigating ongoing inflationary pressures and global economic uncertainty.
The budget comes as the Allan Government points to external economic headwinds, including what it describes as “Donald Trump’s war in the Middle East,” which it says has contributed to renewed inflationary pressure. Despite this backdrop, the budget contains no major surprise announcements, instead focusing on infrastructure investment, cost-of-living relief, and targeted service upgrades.
A significant portion of spending is directed towards transport and infrastructure. Motorists will benefit from a $750 million package providing a 20 percent rebate on vehicle registration between 1 June and 31 July, delivering savings of around $186 per driver.
The government has also committed $1.04 billion to roadworks, described as the “biggest roads blitz in the state’s history,” with the majority of funding allocated to regional Victoria.
Also, public transport users are set to benefit from extended fare relief, with $432 million allocated to continue free public transport until the end of May, followed by half-price fares for the remainder of the year. Additional funding includes upgrades to bus routes, tram accessibility improvements, and preparatory works for future electrification of the Melton rail line.
Expanded access to free eye exams and glasses for kids, discounted zoo admission for kids under 16, and more assistance through Get Active Kids coupons are all included in the budget. $19 billion is allotted to education, of which $5.5 billion is additional financing for kindergarten expansion, early learning centers, and school building.
However, despite forecasting a $727 million operating surplus in 2025–26, an improvement on the $611 million projected last May, Victoria’s public debt continues to edge closer to $200 billion. Debt is expected to rise from $165.3 billion in June 2026 to $199.3 billion by 2029–30, with interest repayments projected to reach $11.82 billion, or about $32 million per day.
While the government says debt has stabilised, it has not yet begun significantly reducing it, effectively shifting the long-term burden to future generations.
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