Budget to Slump Nearly $50 Billion, Deloitte Predicts

Australia’s federal budget will go from a budget surplus achieved in 2023/24 to a bigger than expected deficit.

Australia’s Treasurer Jim Chalmers delivers his budget speech at Parliament House in Canberra, Australia on May 14, 2024. Tracey Nearmy/Getty Images

Economics forecasters Deloitte are warning that December’s update to the federal budget will reveal a $5.2 billion (US$3.4 billion) gap that appeared in the forecasts presented by Treasurer Jim Chalmers in May.

Deloitte Access Economics Budget Monitor predicts a deficit of $33.5 billion for the current financial year, rather than the $28.3 billion that the budget forecast.