With a deficit of $1.73b this financial year, the government has forecasted surpluses over the next four years with $233m next financial year, in part due to a $1.65b boost from stamp duty from a booming property market, and an increase to the state’s share of GST revenue.
Non-financial public sector debt is sitting at $24.7b in 2021-22, and are forecast to rise in 2022-23 to $27.3b, then to $30.2b in 2023-24. Inflation is expected to reach 5% in 2022-23 from 4% currently, while employment growth is forecast to drop to 1% from 2022-23, previously sitting at 3.25%.
- $18.6b for infrastructure over the next four years, including $177.5m for public housing.
- $2.4b for the health sector.
- $630m for education.
- $593m for the state’s Hydrogen Jobs Plan.
- $117m for continued access to childcare.
- $100m for a new Economic Recovery fund over four years.
- $70m over the next four years to reinstate the Adelaide 500 Supercars event.
- $45m for tourism marketing.
As promised by the government during the March 2022 South Australian election, there are no new taxes or tax increases in the 2022-23 Budget.
Revenue-related measures announced as part of the 2022-23 Budget include the following:
- Re-introduction of the outer areas motor vehicle registration concession from 1 July 2022 for the next four years, providing a 50% reduction in registration fees for vehicles which have a gross vehicle mass less than or equal to 4,500kg, and a 40% reduction in registration fees for vehicles which have a gross vehicle mass greater than 4,500kg. The concession is available to owners of motor vehicles in remote regions including Kangaroo Island, the District Council of Coober Pedy and Roxby Downs.
- Repeal of the road user charge on electric vehicles before it commences. The charge was an additional levy on the registration of an electric vehicle on the basis of distance travelled and was expected to commence on the earlier of 1 July 2027 or when the sale of battery electric vehicles reaches 30% of new motor vehicle sales in South Australia. The repeal of the road user charge does not affect the $3,000 purchase subsidies and three-year registration concessions currently available on the purchase of eligible new battery electric and hydrogen fuel cell vehicles first registered from 28 October 2021.