Budget Review 2016–17

Research Paper Series 2015–16

PDF version [1.90MB

Research Branch
May 2016


Introduction to the 2016 Budget Briefings

As is customary, the Library is providing a series of Budget Review briefings to assist parliamentarians to consider key issues posed by the 2016–17 Budget, selected on the basis of significance, complexity or degree of controversy.

The list is below—the Library will progressively publish each article over the next couple of days.

Other Library publications you may also find useful:


In reading the Library’s budget briefs, several issues should be borne in mind.

2016–17 Budget Review topics list

The Budget as a whole

The 2016–17 Budget: a quick guide (PDF 440KB)

Budget Overview – the Headline numbers
The economic and fiscal context
Reactions from interest groups


Budget Briefs

Arts and media

Broadcasting licence fees
Public broadcasting

Climate change, energy, science and the environment

Clean energy support 
Science and Innovation

Corporate regulation

Resourcing of the Australian Securities and Investments Commission


Defence budget overview
Defence personnel


School education
Tertiary education

Foreign affairs

Foreign affairs and Official Development Assistance


Aged care
Dental health
Hospital funding
Tobacco excise increase

Immigration and border protection

Immigration and border protection overview

Indigenous affairs

Indigenous affairs


Infrastructure expenditure
Infrastructure funding methods

Law, policing and national security

Legal aid and legal assistance services 
Office of the Australian Information Commissioner: reinstatement of ongoing funding
Law enforcement and crime prevention

Public sector

Public sector staffing and efficiencies
Selected government ICT measures

Social services and welfare

Domestic and family violence
Investment approach to welfare
Welfare savings to fund the National Disability Insurance Scheme 
Youth employment measures


Changes to superannuation tax concessions and contribution arrangements


Corporate Tax rate reduction—large businesses
Implementing OECD taxation initiatives
Diverted profits tax ('Google tax')
Small business company tax rate changes
Personal income tax changes
Tax integrity package—establishing the tax avoidance taskforce
Wine equalisation tax rebate changes


Other issues

The Prime Minister has indicated his intention to call a double dissolution election on 2 July. As the Parliamentary Library’s FlagPost article explains, if that is to happen, the Governor-General must dissolve both houses on or before 11 May.[1]

Funding for the ordinary functions of government and for some programs ends on 30 June 2016. To provide funding from 1 July 2016, the Government introduced Supply Bills which passed Parliament without amendment on Wednesday 4 May 2016. They provide departmental and administered funding for five months from 1 July 2016.

The Appropriation Bills tabled on Budget night provide funding for the remaining seven months of the 2016–17 financial year. However, as with any other Bills remaining on the notice papers, these Bills will lapse on the dissolution of Parliament. Should the double dissolution be called, new Appropriation Bills, and any other budget-related legislation, will be needed after the election for the seven months not covered by the Supply Bills. 

Several other events will shape the consideration of the current Budget.

First, the Reserve Bank of Australia (RBA) is due to release its quarterly Statement on Monetary Policy (SoMP) at 11.30 am on Friday 6 May. This sets out in detail the RBA’s latest views on the Australian economy and forecasts.

Second, within ten days of the issue of the writ for a general election, the Secretary to the Treasury and the Secretary of the Department of Finance are required to release publicly the Pre-election Economic and Financial Outlook (PEFO), which is required under the Charter of Budget Honesty Act 1998.

The purpose of the PEFO is to provide updated information on the economic and fiscal outlook. The information in the report takes into account, to the fullest extent possible, all government decisions made before the issue of the writ and all other circumstances that may have a material effect on the economic and fiscal outlook.

Parliamentarians are invited to raise any points requiring clarification or amplification directly with the research specialists who authored the briefs. Any general comments are also welcome and can be raised with me or by writing to the Parliamentary Library.


Dr Dianne Heriot

Parliamentary Librarian

[1]. D Muller, ‘So you’ve been prorogued – common questions answered’, FlagPost, Parliamentary Library blog, 23 march 2016.

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