The Top 5 Expenses in Australia’s Federal Budget

Social services and welfare tops the list for government spending.

Australia’s Treasurer Jim Chalmers delivers his budget speech at Parliament House in Canberra, Australia on March 25, 2025. Hilary Wardhaugh/Getty Images

Budget night revealed that Australia will continue to spend big with the Labor government increasing overall spending to 27.4 percent of GDP this financial year, the highest level of spending since the pandemic.

In money terms, this equates to about $762.75 billion of taxpayer-backed spending commitments, which is expected to increase to $889.4 billion by the 2028-29 financial year, on current estimates.