Coalition Plans $14 Billion Budget Improvement, Faces Labor Election Challenge

The Australian federal Coalition has released its policy costings ahead of the upcoming election, claiming it will improve the budget position by nearly $14 billion over four years and reduce national debt by $40 billion by 2028–29. Key measures include scrapping major Labor investment funds such as the Housing Australia Future Fund and Rewiring the Nation Fund, and reducing the public service by 41,000 jobs through natural attrition. The Coalition asserts these moves will bring deficits down faster than under Labor and restore fiscal discipline, while critics argue the costings lack detail and rely on significant spending cuts, including to infrastructure and foreign aid. Labor officials have dismissed the Coalition’s plan as involving higher taxes, severe cuts, and inadequate fiscal credibility. Polls indicate Labor is favored to win the election, possibly increasing its majority, with independent representation expected to stay significant. The Coalition maintains that its economic management would be superior, but faces skepticism about the feasibility and impact of its proposals.