Finance Minister Katy Gallagher has defended the federal government's investment in the Australian Capital Territory, despite the territory receiving just one percent of national infrastructure funding in the latest federal budget. Budget papers show that out of $8.6 billion committed for road and rail projects over the next decade, only a fraction is earmarked for Canberra.
The budget includes $50 million to reduce travel time to Sydney by 15 minutes and explore upgrades to the ageing railway line, along with $50 million for duplication works at Drake Brockman Drive in West Belconnen. However, this amount is significantly lower than funding allocated to other states, such as Victoria's $3.8 billion for Melbourne's Suburban Rail Loop and Queensland's $812.5 million for Bruce Highway upgrades.
Senator Gallagher argued that federal Labor has invested billions into the ACT after it was neglected under the former Coalition government. She pointed to investments in health, housing, and infrastructure as evidence of the government's commitment to Canberrans. The ACT is expected to receive $258.2 million in federal infrastructure funding in 2026-27 for previously committed projects, including stage 2A of Canberra's light rail.
Independent ACT senator David Pocock described the budget as offering slim pickings for Canberra, acknowledging an increase in total infrastructure investment under Labor but stating that Canberrans should not be grateful for minimal funding. He emphasised the need for investment in Canberra as both the national capital and a growing city.
Other budget allocations for the ACT include $30 million for a new RSPCA centre in Pialligo, $3 million for the National Jewish Memorial Centre, and $4.2 million for an Indigenous cultural precinct in Acton, a project first announced in 2022.
