Election priorities and the Federal Budget: more needed to break cycles of disadvantage

An overview of the key political headwinds across SVA's main advocacy focus areas for the upcoming period.

SVA advocates for systems-change that can move the dial on disadvantage in Australia. This requires continued reform in crucial human services, such as early childhood education and care. It requires greater ambition and bold ideas to address challenges such as adequate social and affordable housing and quality, non-graduate career pathways for school leavers.

As we approach the election on 3 May, we will work with both the federal and state governments on these critical areas and more.

Early Childhood

Currently, many young children are missing out on vital, high-quality early years supports, with significant impacts on their early development and lifelong outcomes. SVA welcomes the Federal Budget’s allocated $426m for the three-day guarantee, to ensure all families are eligible for subsidised early childhood education and care. 

This initiative – combined with the pledge to build new centres, fund universal preschool, review pay for early childhood professionals and invest in maternity healthcare – provides positive and essential steps towards a universal early years system that puts all children on track to thrive.  

We implore the incoming government to confirm and build on these actions with further early years reforms. Here’s what we’d like to see addressed:

1. Clear accountability for ensuring children access and receive high quality early childhood supports, informed by timely data; 

2. Remaining barriers are resolved so every child in every community can access high-quality early learning; 

3. Funding reform to support delivery of integrated early years services – including early childhood hubs – to meet the material, developmental and wellbeing needs of children; and 

4. Investment in the capability of the early years’ workforce. 

Housing

The scale of the housing affordability crisis facing Australia is immense. It sits at the heart of the country’s cost-of-living challenge and remains a top political concern going into the federal election. The Government has announced a suite of measures in the Budget to address different aspects of this, from helping people facing homelessness, to expanding access to the property ladder for first home buyers (including those in essential work).  

While the Government announced additional financing for existing initiatives to address housing supply, much more housing will be needed, and quickly.  

SVA’s experience collaborating with key stakeholders to design and implement specialist and social housing has revealed the need for improved policy settings to catalyse private investment. SVA supports the intent of the Housing Australia Future Fund (HAFF) in this regard and, while the operation and implementation of the HAFF can be improved, SVA encourages future governments to retain and increase this type of investment – not least to maintain investor and market confidence. 

Meanwhile, for low-income households struggling to meet rapidly rising rents there is little respite in this Budget, especially those on income support. In the immediate term, SVA supports recommendations from the Economic Inclusion Advisory Committee and the Grattan Institute, among others, to further increase Commonwealth Rent Assistance (and associated income support payments) to provide timely support to renters. 

Charities and not-for-profits

The Not-for-profit Sector Development Blueprint Report, published in November 2024, proposed a series of actions for government to shore up a not-for-profit sector experiencing increasing cost pressures. These recommendations are not reflected in the 2025-6 Budget commitments.  

SVA will continue working with governments on policy settings for a sustainable, innovative, and inclusive sector. Ensuring the financial viability of charities is essential for the wellbeing and productivity of Australia.  

The Budget includes important funding allocations to meet the additional costs anticipated by aged care, disability and early childhood sector reform, which we welcome. In the longer term there is a need to better understand the costs and workforce challenges being faced by not-for-profits in the care sector, particularly in thin, regional, and remote markets to ensure their continued viability.

Employment

Access to a range of non-graduate career options for school-leavers supports social and economic inclusion and future prosperity. Continued federal government investment in skills and training – through fee-free TAFE places and investment in apprenticeships – provide part of the solution. SVA is keen to work with governments and employers on steps to rebuild pathways for young people in the labour market and to promote sustainable careers.

Other Budget measures:

Cost of living

The Budget included short-term measures to reduce cost-of-living pressures – notably further tax cuts and investment in Medicare to support more bulk billing and lower costs for medicines.  

The Opposition has also made cost-of-living a focus of its reply – including a commitment to halve fuel tax excise and invest in food relief charities.  

While these commitments provide valuable additional support, the measures are not targeted to help people who need it most. Without increases to social security payments, those in greatest need are further entrenched in disadvantage, placing pressure on charities.

Education

We welcome the Budget commitment to increase school funding to put public schools on a path to full funding. Adequate funding for public schools is crucial for an education system that achieves both excellence and equity. 

Outcomes Fund

As trail blazers in outcomes contracting and impact investing, SVA is pleased to see an initial $21m committed to the Outcomes Fund for projects in South Australia, Victoria and NSW. There is more work to be done to realise the full benefit of the fund in addressing entrenched disadvantage in Australia.