Cost of living

We know that families are under pressure from rising costs. That’s why our first budget had a five point plan to help with the cost of living: cheaper child care, cheaper medicine, six months paid parental leave, more affordable housing, and getting wages moving again. And we’ve delivered the biggest increase to the pension in over 30 years.


Budget 2023

Providing responsible, targeted cost of living relief is a key priority in our budget. This includes:

  • Up to $500 of energy bill relief for more than 5 million households.
  • Getting wages moving, including a 15% pay rise for aged care workers.
  • Halving medicine costs for more than 6 million Australians.
  • 300,000 fee-free TAFE places.
  • Investing in housing and making renting fairer.

Cheaper child care

We’re making child care cheaper for almost 8,000 local families.

Right now, the child care system punishes parents for working more. It’s a confusing mess that stops parents going back to work and makes child care unaffordable for too many.

We’re changing it.

Under our plan, early education and care will be affordable and accessible for every Australian working family. And it will boost productivity and workforce participation.

Good for families, good for kids and good for our economy.

Cheaper medicine

We’ve made the biggest reduction to PBS medicine prices since the scheme was introduced.

From 1 January 2023, the maximum cost of medicines on the PBS was cut by $12.50, or almost 30 per cent. That means if you take a few medications a month, you could save hundreds of dollars a year. Labor's Cheaper Medicine policy has seen locals save $239,638 on their PBS listed medicines in January and February this year.

34,000 locals will also be able to buy 2 months' worth of medicine for the price of a single prescription, halving their visits to a GP and pharmacist, saving up to $180 a year for every eligible medicine they buy.

Six months paid parental leave

We want new parents to have the flexibility, support and choice they need. That’s why we’ll deliver the biggest boost to government paid parental leave since Labor created it in 2011.

We’re extending paid parental leave to 26 weeks of paid time off - and the flexibility to choose how to split it between parents.

It’ll mean more dads can take time off work, so caring responsibilities can be shared more equally. And it’ll mean more opportunity for mums, boosting workforce participation across the economy.


More affordable housing

Every Australian should have the security that comes from having a roof over your head

We’re working with governments, investors and the construction sector on our ambitious goal of one million new homes across Australia.

We’re setting up the Housing Australia Future Fund, which together with the National Housing Accord will build 40,000 social and affordable homes. It will include 4,000 homes for women and children fleeing domestic violence, and older women at risk of homelessness.

The Albanese Labor Government is moving to help more people into home ownership sooner by expanding the eligibility for the Home Guarantee Scheme. The Home Guarantee Scheme has already helped over 1,200 locals into home ownership. From July 1, the Home Guarantee Scheme will be available to any two eligible borrowers, beyond spouse or de facto partners, and to non-first home buyers if they haven't owned a property in Australia in the last ten years.

The Family Home Guarantee will be made available to eligible borrowers who are single legal guardians of children, in addition to single natural and adoptive parents.

These changes to eligibility build on last year's increase in the number of places available, including the establishment of Government's new Regional First Home Buyer Guarantee.

We’re also delivering $2 billion to states and territories for social housing. It’ll help build thousands of homes right across the country.


Getting wages moving again

A fair day’s wage for a fair day’s work. That’s not too much to ask. But for too many people, it’s simply not working that way - because we've had a decade of Liberal National government that deliberately kept wages low.

That's why in our first month in office we secured a rise in the minimum wage of 5.2%, helping 2.8 million workers. And we advocated for aged care workers to get a pay rise. As a result, the Fair Work Commission has boosted their pay by 15%.

Our Secure Jobs, Better Pay Bill bans pay secrecy clauses, helps close the gender pay gap and supports those in low-paid care work - mostly women - advocating for better pay and conditions.