2026-2027 Federal Budget

The 5% Deposit Scheme has been expanded to all regional first home buyers with no caps on places or incomes.

What this means for our region:
More pathways into home ownership means more workers and young families putting down roots in our communities, directly supporting businesses trying to build stable local workforces.

Roads to Recovery funding has been doubled, with $845.9 million allocated nationally in 2026-27 and $730.7 million directed to regional areas. Funding goes directly to local councils for road maintenance and improvements.

What this means for our region:
Better local roads reduce transport costs, improve access to services and make our communities more attractive to visitors and new residents. RDA will be working with our local councils to advocate for our fair share of this increased funding.

The Black Spot Program has been increased from $110 million to $157.4 million per year nationally, with around 50 per cent directed to regional areas. An additional $20.6 million per annum, indexed and ongoing, has also been committed specifically to South Australia for priority local road projects and has been indexed for the first time since 2017-18.

What this means for our region:
Both measures are a direct win for SA councils and our communities. Safer roads on rural and tourist routes support community safety and our visitor economy, while the dedicated SA funding now holding its real value through indexation supports freight, agriculture and tourism across our region. Councils should be identifying priority and dangerous local stretches now ahead of future funding rounds.

Eighty per cent of the 2026-27 Financial Assistance Grant entitlement ($2.9 billion nationally) is being brought forward, with almost $2 billion expected to flow to regional councils earlier than usual.

What this means for our region:
For smaller councils with limited revenue bases, earlier access to this untied funding means priority works including road maintenance, community facilities and local services can get underway sooner.

The Growing Regions and Thriving Suburbs Program will receive $750 million over four years, with grants ranging from $250,000 to $15 million for parks, sports facilities, community centres and cultural spaces. Round 10 of the Stronger Communities Program adds a further $22.5 million for smaller capital projects between $2,500 and $20,000.

What this means for our region:
Together these programs cover the full spectrum of community projects, from a small sporting club upgrade to a major regional facility. This funding improves liveability, attracts visitors and creates local jobs. Applications are not open yet but now is the time to develop your concept. We have helped dozens of organisations across our region secure this funding before so call us and we will help you get ready.

The Regional and Urban Precincts and Partnerships Program has not been extended, leaving a gap for larger place-based development projects.

What this means for our region:
If you were counting on this program, there are other pathways through Growing Regions and state government channels. Reach out and we can help you find the right alternative.

The Government has announced significant reforms to the Research and Development Tax Incentive (R&DTI), aimed at better incentivising business R&D spending in Australia that leads to positive economic spillovers. These changes will start from 1 July 2028, with the current rules continuing to apply until then.

The reforms include increasing the offset for core R&D expenditure by around 25 to 50 per cent through a 4.5 percentage point increase in core R&D offset rates, and reducing the intensity threshold from 2 per cent to 1.5 per cent, enabling more firms that engage in substantial core R&D to qualify for the higher offset rates.

What this means for our region:
For businesses in food manufacturing, agribusiness, advanced manufacturing and clean energy — all sectors well represented across Adelaide Hills, Fleurieu and Kangaroo Island — the higher offset rates make investment in genuine research and development more rewarding. The changes don’t take effect until 1 July 2028, so now is a good time to speak with your accountant about whether your business could benefit.

The Government’s fuel security package includes a permanent Australian Fuel Security Reserve, a new Fuel and Fertiliser Security Facility, and interest-free loans through the National Reconstruction Fund for eligible businesses in critical supply chains.

What this means for our region:
Farmers, food manufacturers, freight operators and tourism businesses across our region are among the most exposed to fuel price volatility. The permanent reserve provides greater long-term certainty and interest-free loans through the National Reconstruction Fund are available now for eligible businesses.

A new concessional loan product through the Regional Investment Corporation has been developed specifically for South Australian wild-catch fishers and aquaculture operators affected by recent algal blooms and marine heatwaves.

What this means for our region:
Directly relevant to operators on Kangaroo Island and the Fleurieu Peninsula impacted by recent algal events in SA waters. If your business has been affected, this support is now available.

The Future Made in Australia agenda commits $22.7 billion over the next decade, including a $5 billion Net Zero Fund, a $1 billion Economic Resilience Program offering zero-interest loans, and a $1.1 billion Cleaner Fuels Program for low-carbon liquid fuels from crops and agricultural waste.

What this means for our region:
Our region has real strengths in food manufacturing, agribusiness processing and renewable energy. The Cleaner Fuels Program draws on feedstocks from farming and forestry industries well represented across Adelaide Hills, Fleurieu and Kangaroo Island. If you are wondering whether your business or project could access this funding, that is exactly the kind of navigation we do every day.

The $20,000 instant asset write-off is now permanent for small businesses with turnover under $10 million, and companies with turnover up to $1 billion can now claim refunds on tax paid in the previous two years.

What this means for our region: The permanence of the write-off means you can plan equipment and vehicle upgrades with confidence rather than waiting on annual extensions. The tax loss carry-back is a practical cash flow measure for businesses in seasonal industries like agriculture and tourism where income can vary significantly from year to year. Talk to your accountant about how to make the most of both measures.

From 1 January 2027, apprenticeship incentives shift to small and medium businesses with the revised Priority List now considering regional skill shortages specifically. Skills assessments for migrant trades workers will also be streamlined to get people into the workforce sooner.

What this means for our region:
Workforce shortages remain one of the biggest constraints on growth across our region. Trades in demand locally including construction, food processing and agriculture now have a better chance of recognition as priority occupations, and faster skills recognition for migrant workers provides another practical pathway to filling critical gaps.