The Treasurer confirmed that easing the cost of living for Queenslanders is front and centre for the Government in the 23/24 State Budget.
Queensland has been the beneficiary of increased coal royalties, which are set to fund a series of measures designed to assist in the escalating cost of living, including 15 hours per week of free kindergarten, concession funding for electricity bills and cost of living rebates.Â
The budget has introduced Build-to-rent tax concessions for eligible projects that deliver at least 10 per cent of dwellings as affordable housing at discounted rents, with the Government not ruling out the use of additional funding programs such as the Housing Investment Fund (HIF) to bridge the gap in returns created through subsidised rents.
Previously announced social and affordable housing measures were formalised within the budget which will add further funding to the Homelessness Action Plan (2021–2025), and QuickStarts Queensland Program.Â
With an undersupply across all housing typologies in all locations across the state, any move to bring on new housing must be applauded, and the Property Council will continue to work with the Queensland Government to address this issue.Â
Key Economic Data
Build-to-rent
The 2023-24 Budget includes Build-to-rent concessions for developments that provide at least 10 per cent of dwellings as affordable housing at discounted rents.
- Discounted rents will need to be provided at least 25 per cent below market rents of similar dwellings in the Build to Rent development to qualify.
- Eligible Build to Rent developments will be able to benefit from the following tax concessions:
- 50 per cent reduction in the taxable value of land for land tax, for land used for a Build to Rent development, up to a maximum term of 20 years
- 100 per cent reduction in the taxable value of land for land tax foreign surcharge for land used for a Build to Rent development up to a maximum term of 20 years
- 100 per cent discount on any additional foreign acquirer duty for land for a Build to Rent development. The tax concessions will be made available for a maximum term of 20 years or until 30 June 2050 (whichever comes sooner).
- Concessions will only be available once a development is operational, noting eligible developments must be operational by 30 June 2030 to qualify for the concessions.
- To be eligible, a Build to Rent development must provide at least 50 self-contained dwellings and be owned under a unified ownership structure and managed by a single entity.
- Tenants eligible for the discounted rent will need to meet appropriate income and asset tests, which will include:
- a household income test based on average weekly full-time adult total earnings in Queensland, published by the Australian Bureau of Statistics for May each year
- a household’s asset wealth cannot exceed 25 per cent of a benchmark set with reference to Services Australia pension assets test for non-homeowners.
Housing
The 2023–24 Queensland Budget is providing an additional $1.1 billion for the delivery and supply of social housing across Queensland. This will include:
- Boosting the QuickStarts Queensland program target by 500 homes – bringing it to 3,265 social housing commencements by 30 June 2025.
- $441.4 million to deliver social housing dwellings, commence and continue construction, and upgrade existing social housing dwellings.
- $60.5 million to deliver social housing dwellings in Aboriginal and Torres Strait Islander communities, commence and continue construction of dwellings, and upgrade existing social housing dwellings.
- In 2023−24, the Queensland Government will invest $118.2 million to deliver secure and fit-for-purpose government employee housing in remote and regional communities.
Infrastructure
- A total $89 billion 4-year capital program.
- Around $19 billion over four years to support the Queensland Energy and Jobs Plan, including new wind, solar, storage and transmission
- $152 million for Queensland’s disaster recovery and resilience (jointly funded with the Australian Government), including the Resilience Home Fund
- Continuation of the Bruce Highway Upgrade Program, including $1 billion for Cooroy to Curra and $662.5 million between Caboolture−Bribie Island Road and Steve Irwin Way.
- Construction of Stage 3 of the Gold Coast Light Rail
- The Logan and Gold Coast Faster Rail (Kuraby to Beenleigh) upgrade, including an additional two tracks, level crossing removal and station upgrades between Kuraby and Beenleigh
- Establishing the Queensland Train Manufacturing Program (QTMP), which will manufacture new passenger trains in the Maryborough region and construct a new rail facility at Ormeau, in the Gold Coast region.
Health
- $414.6 million for the Queensland Health Capacity Expansion Program to deliver around 2,200 additional overnight beds.
- $346.5 million under the Sustaining Capital Program will be distributed across Hospital and Health Services and the Department of Health for a range of minor capital projects.
- $82.0 million for the Logan Hospital Expansion.
- $34.4 million for the Caboolture Hospital Redevelopment.
- $4.7 million for the Ipswich Hospital Expansion Stage 1A.
- $20.2 million as part of the Advancing Queensland’s Health Infrastructure Program to continue essential upgrades to health facilities and supporting infrastructure across Queensland.
- $48.3 million to progress the planning and construction phases for new ambulance stations.
- $10.0 million for pre-commencement activities including design works, site investigations and other preliminary works for the future establishment of a new Wacol Precinct Enhanced Primary Health Care facility located at the Brisbane Correctional Centre.
Brisbane 2032 Olympic and Paralympic Games
- An extra $100.3 million over four years and $13.6 million per year ongoing for Brisbane 2032 activities.
- $7.1 billion over 10 years total capital expenditure (jointly with Australian Government) for Brisbane 2032 venues infrastructure including:
- Brisbane Arena ($2.5 billion),
- Gabba Redevelopment ($2.7 billion)
- 16 new or upgraded venues under the Minor Venues Program ($1.9 billion).
- Total forecast expenditure for the venues infrastructure program over 4 years to 2026-27 is $1.9 billion.
- A further $154.7 million over four years (commencing from 2024–25) for Economic Development Queensland to bring forward public infrastructure for the Brisbane Athlete Village.
- $44 million towards the University of Queensland’s proposed Paralympic Centre of Excellence.
Education
- $968 million over 10-years for strategic land acquisition for new school sites.
- $358 million for new general and specialist learning spaces for Queensland state schools.
- Increased funding of $259 million over three years to expand the school halls program.
- $645 million over 4 years for 15 hours per week of free kindy for all 4-year-olds.
REGIONAL ROUND UP
Townsville
- $37 million towards Townsville Connection Road (Stuart Drive), University Road to Bowen Road Bridge (Idalia), improve safety, at a total estimated cost of $96 million.
- $20.0 million for pre-commencement activities including design works, site investigations and other preliminary works for the future expansion of the Townsville Correctional Precinct.
- $1.06 billion towards CopperString 2032, a 1,100kilometre transmission line from Townsville to Mount Isa
Gold Coast
- $52.1 million for an expansion of the Gold Coast University Hospital to deliver a Secure Mental Health Rehabilitation Unit
- $259.4 million towards Gold Coast Light Rail (Stage 3), Broadbeach to Burleigh Heads, at an estimated total cost of $1.219 billion (jointly funded).
- $240 million towards faster rail between Logan and the Gold Coast as part of a jointly funded 2.5 billion commitment
- $94.8 million towards New Gold Coast Train stations (Pimpama, Hope Island, and Merrimac)
Sunshine Coast
- $10.6 million for the development of the Sunshine Coast Industrial Park (Stage 2).
To view further detail on the 23/24 State Budget, please click here.
If you have any further queries, please don’t hesitate to get in touch with the Queensland Advocacy Team via [email protected] or (07) 3225 3005.