Hawker Britton Occasional Papers and Media

NSW Budget 2007/08

June 2007

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This paper outlines some of the key measures raised in the NSW Government's 2007/08 Budget. It is not intended to be a comprehensive guide to the budget measures. A full copy of the budget papers is available at the NSW Treasury website.

1. General budget information

The key areas of spending for the 2007/08 NSW Budget are on services and infrastructure.

2. Treasury

The NSW budget will be a surplus of $376 million for the 2007/08 budget year. The Government predicts surpluses averaging $500 million over the following 3 years.

The 2006/07 budget position was also revised to a surplus of $444 million.

3. Taxes

The 2007/08 budget will reduce state taxes worth $343 million in the coming year and $2.6 billion over the next four years. The program includes:

Costs to the government for reducing State Taxes in 2007/08 will be:

Previously announced revenues measures for NSW in 2007/08 include:

4. Infrastructure

$12.5 billion will be spent for capital works, with almost $50 billion being spent over the next four years - a 29% expenditure increase on the 2006/07 allocation for infrastructure.

Infrastructure spending for 2007-08 includes:

5. ICT

ICT initiatives include:

6. Transport

6.1 Public Transport

$5.8 billion has been allocated to the Transport portfolio in the 2007/08 budget, an increase of 11.2 % on last year's budget. This includes $1.9 billion to fund the previously announced Premier's Urban Transport Statement, which outlines the State's future rail infrastructure projects.

Key features of the Transport budget include:

Key projects for Transport portfolio include:

6.2 Roads

$3.6 billion has been allocated to road spending in 2007/08. $1.5 billion of this funding has been allocated towards road construction.

Key road projects include:

Recurrent road projects for 2007/08 include:

7. Energy

The Budget provides for an investment of $2.9 billion in electricity infrastructure

In 2007-2008, Energy Australia is expected to spend $892.7 million. This includes:

Country Energy's 2007-2008 capital budget is $600 million. This includes:

Integral Energy's 2007-2008 forecast capital expenditure is $447.9 million, of which $362.47 million is network capital. Integral Energy's funding includes:

Transgrid is expected to spend $432.8 million in 2007-2008 expanding the NSW high voltage electricity network.

The three state-owned generators will be investing nearly half a billion dollars in 2007-2008. This includes:

8. Education and Training

The Education and Training budget for schools and TAFE totals $11.2 billion.

Key features include:

9. Law and Order

9.1 NSW Police Force

Police have been allocated $2.27 billion in the 2007/08 Budget, an increase of more than 4% from 2006/07.

Key features of the Police Budget include:

9.2 Attorney General
9.3 Justice Portfolio

10. Health

$12.5 billion has been allocated to the Health Portfolio for the 2007/08 budget, a 7.1% increase on the 06/07 allocation. The allocation provided to Health makes up 28% of the total state budget.

Key initiatives include:

New allocation initiatives in 2007/08 include:

Major new capital works for health for the 2007/08 budget include:

Continued funding of capital works for health includes:

Privately financed projects hospital projects will continue in 2007/08 including:

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