The AASW responds to the 2026-27 Federal Budget

13 May 2026

The Australian Government released the 2026–27 Federal Budget at 7:30pm AEST on Tuesday 12 May 2026. The AASW team has worked to review the budget papers across whole of government. Our initial summary of the key budget initiatives was sent to members via email on 13 May, and we are sharing a shorter version here.

The AASW welcomes measures in the budget aimed at addressing intergenerational fairness and supporting long-term economic and social wellbeing.

While there are measures in this budget that may provide relief and support in some areas, we would have welcomed stronger investment targeted towards people experiencing the greatest disadvantage.

Key figures:

Health, Disability and Ageing

  • Securing the National Disability Insurance Scheme for Future Generations – $1.7 billion over five years from 2025–26 (and $110.9 million per year ongoing). However, the NDIS reforms aim to lower projected 2030 NDIS spending from $70 billion to $55 billion.
  • Funding of $3 billion over five years to establish Foundational Supports outside the NDIS, to be matched by states and territories as agreed by National Cabinet.
  • Thriving Kids – $2.0 billion over five years from 2026–27 to deliver national services, fund enabling supports and contribute to state and territory services for the Thriving Kids program.
  • Improving Access to Home Care – $1.4 billion over four years from 2026–27 (and $377.3 million per year ongoing) to improve affordability and access to home care supports.
  • Medicare Urgent Care Clinics: $1.8 billion over five years from 2025–26 (and $580.2 million per year ongoing) to make them a permanent part of Australia’s health system.


Social Services

  • Addressing Systems Abuse in the Child Support Scheme – $182.6 million over four years from 2026–27 (and $19.6 million per year ongoing).
  • Supporting Stronger Outcomes for Families and Communities – $171.7 million over five years from 2025–26 (and $42.9 million per year ongoing) to establish a single national Children and Family Support program from 1 July 2027.


Cross Portfolio

  • Addressing Online Gambling Harms – $112.7 million over five years from 2025–26 (and $18.1 million per year ongoing).
  • Closing the Gap (further investments) – $793.7 million over five years from 2025–26 (and $176.1 million ongoing) to achieve better outcomes for First Nations people under the National Agreement on Closing the Gap.
  • Ending Gender Based Violence (continuation) – $308.6 million over five years from 2025–26 (and $15.9 million per year ongoing).


Attorney General

  • Elder Abuse – $3.9 million in 2026–27 for AGD to continue services and initiatives to protect elderly Australians from abuse.
  • National Strategy to Prevent and Respond to Child Sexual Abuse (continuation) – $12.1 million in 2026–27 to continue initiatives to prevent, disrupt and combat child sexual abuse.


Treasury

  • Supporting Youth into Community Housing – $59.4 million over four years from 2026–27 to provide states and territories with funding for community housing.
  • National Agreement on Social Housing and Homelessness – $7.7 billion from 2026–27 to 2029–30 for the National Agreement on Social Housing and Homelessness.


The AASW will continue to review the budget to understand how measures may affect social workers, the services they work in, and the people and communities they support. We look forward to working constructively with the Australian Government on the implementation of key budget measures and the broader policy reforms that will follow.