The eagerly-awaited 2026-27 NSW State Budget has received a lukewarm response from the region’s business leaders.

Treasurer Daniel Mookey handed down his plan for the upcoming financial year on Tuesday 23 June, stating his focus was on families paying off mortgages and spending more on groceries, fuel and other bills.

NSW schools and hospitals were also slated for major upgrades in a budget aimed at delivering additional essential services in rocky economic times.

But, Property Council Hunter Central Coast regional director Stephen Crowe said it largely reflected a continuation of previously publicised commitments, rather than a decisive shift toward delivering the Hunter’s long-term economic potential.

“While the budget contains some welcome funding for a number of key projects, including the much-anticipated Broadmeadow precinct, most major ventures have already been announced and funded in previous years,” he stated.

“And, it doesn’t provide the level of investment needed to fully unlock the Hunter’s next phase of growth.”

New announcements for the Hunter include:

• $14 million for planning of the Broadmeadow precinct
• A new Newcastle entertainment centre
• Increased funding for the John Hunter Health and Innovation Project rising to $890 million
• A new school and co-located early learning centre at Chisholm
• Investment in the TAFE Tighes Hill Net Zero Manufacturing Centre of Excellence

“These are positive steps, particularly in growth areas, but they are modest relative to the scale of the opportunity in the Hunter,” Mr Crowe said.

“In precincts like Broadmeadow, we need to move beyond planning and into delivery at scale if we are serious about unlocking housing and jobs.”

The Budget also includes ongoing funding for major projects:

• John Hunter Health and Innovation Project
• Cessnock Hospital Redevelopment
• Muswellbrook Hospital Redevelopment Stage 3
• New schools in high-growth areas such as Huntlee
• Continued investment in early learning

Major transport upgrades including the M1 to Raymond Terrace extension, Singleton and Muswellbrook bypasses, and the Nelson Bay Road upgrade

“Maintaining funding for these projects is important, but these are not new investments that change the trajectory for the region,” Mr Crowe said.

“We have strong demand for housing, employment lands and investment in the Hunter.

“However, we’re still not seeing the enabling infrastructure and policy coordination needed to unlock that pipeline.

“Without that step-change, the risk is we continue to talk about the Hunter’s potential, without doing the work needed to deliver it.”

Apart from a couple of undertakings, Business Hunter CEO Bob Hawes also labelled the budget “modest”.

“We’re happy to see funding dedicated to progressing the new Newcastle entertainment centre, although it doesn’t offer detail on how the money will be spent,” he said.

“Our submission sought funds for both the Hunter and Central Coast Development Corporation to undertake planning for the first stage of the precinct and for Venues NSW to initiate detailed planning, costing and scoping of the complex.

“Our understanding is that the money in the budget is going to Venues NSW, which is a good start.

“But, we’ll be continuing our advocacy for resourcing to ensure continued progress on both the precinct and a new entertainment centre.”

The biggest spends for the region were in education, with funding announced for a new primary school at Chisholm and the relocation of Cooranbong primary and Maitland Grossman high schools.

The Net Zero Manufacturing Centre of Excellence at Tighes Hill TAFE will also share in additional funding.

Importantly for the economic future of the region, the budget contains a provision for NSW to contribute to a federal support package to secure the future of Tomago Aluminium but does not specify how much money will be committed.

Also encouraging, according to Mr Hawes, was the government’s continued investment in renewable energy infrastructure, which included an extra $39 million over four years for an acceleration fund to fast-track projects.

“We need to improve the pace of delivery of renewable projects to stay on track to meet our Net Zero targets, and having transmission infrastructure and transport connections in place is a critical step,” he said.

While the budget delivered cost-of-living concessions for households, it offered little to help businesses weather increased fiscal pressures.

“It foreshadows future reform of the Emergency Services Levy but doesn’t offer any immediate relief,” Mr Hawes said.

“It missed the opportunity to reduce the tax burden on small businesses by restructuring payroll tax, too.”

The budget commits $10 million for the development of a new business advisory service to replace Business Connect.

Business Hunter and its state affiliate Business NSW advocated for the reinstatement of the service after it was axed last year.

For more news stories:

• ACTU boss calls on Peabody to end lockout of Wambo workers
• State commits $15m towards design of new Broadmeadow entertainment centre
• ESC rolls out multi-million-dollar battery platform across Hunter

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