State Budget 2025: The key measures

Here’s our easy-to-digest summary of the South Australian State Budget.

Jun 05, 2025, updated Jun 05, 2025

What’s in the 2025 South Australian State Budget?

Economy
Tax
Cost of Living
Whyalla Steelworks
Drought support for farmers
Health
Housing
Police
COP31
Environment
Business
Consumer watchdog
Digital capabilities and AI
Local exporters
Domestic, sexual and family violence
Arts
Indigenous Affairs
Sports
Schools
Emergency services
Justice
Defence
Road safety
Public Transport
Regional SA

Economic overview

The state government is forecasting a $18 million surplus for 2024-25, with a net debt of $31 billion.

In 2025, they’re expecting a further surplus of $179 million and a net debt of $36 billion.

Further surpluses are forecast every year across the forward estimates.

Compared to other states and territories, the Treasurer says SA’s net debt-to-revenue ratio is lower than other states. SA is one of three states ranked as “stable” in the debt sustainability ranking, alongside Victoria and Western Australia.

Tax

State taxation revenue for 2024-25 has risen by $167 million above mid-year budget review estimates.

Tax earnings are forecast to rise by a further $796 million from 2025-26 until 2027-28, propped up by a stronger than expected property market.

Payroll tax is expected to raise $2 billion, while land tax on private properties is forecast to bring in $655 million, up $71 million from 2024-25.

Gambling revenue is estimated to have brought in $697 million in 2024-25, and $671 million in 2025-26.

For most motorists, car registrations will increase by 1.7 per cent for your Compulsory Third Party (CTP) premium, below the current Adelaide Consumer Price Index (CPI) of 2.2 per cent. CTP premiums are capped at an increase of $1.36 for the entire year.

Stamp duty is expected to bring in $1.62 billion for the government in 2025-26, with stamp duty waivers for first home buyers on new builds still applying.

The Emergency Services Levy will increase from $157.85 to $164.55 a year for residential properties in the Adelaide metropolitan area, while regional properties will see their levy increase from $95.75 to $99 a year.

Cost of Living

The cap on CTP premiums is a cost-of-living measure, as well as measures to support families with school-aged children.

Student metroCARD holders will be able to get a 28-day pass for just $10, working out to 25 cent per trip.

They will also continue to provide families with $200 discounts to schools materials and services fees, committing $24 million per year over four years.

This is estimated to save $1084 based on a family with two school-aged children.

Drought support package

$55.4 million will be spent over five years on a drought support package, including $26 million in 2025-26.

This includes:

  • $17.3 million towards future drought preparedness and resilience programs.
  • $13 million grants to primary producers for infrastructure programs to help manage drought conditions.
  • $4.5 million to go towards electronic sheep and goat tagging subsidies.
  • $4 million for freight costs of charities delivering donated fodder to primary producers.
  • $3.1 million to support management of pests on rural properties.
  • $2.5 million for on-the-ground mental health resources for those affected by the drought.

Whyalla Steelworks

In 2025-26, $4 million will go towards establishing a “Whyalla Steelworks Industrial Transformation Unit” to transition to modern, sustainable steelmaking.

$3.8 million will go towards overseeing the sale of four hydrogen gas turbines.

From 2026-27, $1 million is allocated to explore and facilitate new investment opportunities in the hydrogen sector.

The previously announced $2.4 billion joint package includes:

  • about $100 million for on-the-ground support like infrastructure upgrades, creditor assistance payments and local business support grants.
  • $384 million for “stabilising” the Steelworks, funding operations during administration
  • $1.9 billion investment in the steelworks’ future by working with a new owner to invest in upgrades

Health

This year’s health spend makes up about 30 per cent of the total budget, with $1.9 billion committed over five years to address increasing demand on the public health system.

Aged care

With federal government funding, $42.9 million over four years will go to support services for older South Australians, including:

  • $35 million over four years for a Geriatric Outreach Service, delivering specialist assessments and care planning
  • $7.9 million over four years to provide equipment grants, transition support payments and short term care assistance to support older patients with complex needs transition to aged care.

Bordertown Hospital

Beginning with $250,000 in 2025-26, $8 million of federal government funding will be spent over three years to upgrade Charla Lodge Bordertown Memorial Hospital.

The Bordertown Hospital will receive a new, purpose-built 16-bed aged care wing to replace existing infrastructure and improve access for dementia residents.

Mount Barker Hospital

Starting with $13.5 million in 2025-26, a total spend of $45 million over three years will support a new Mount Barker Hospital.

This is on top of previously committed funding of $320.8 million, bringing a revised total cost of Mount Barker Hospital to $365.6 million.

Women’s and Children’s Hospital

$8 million over three years will be spent on removing and replacing aluminium composite cladding and upgrading fire protection systems at the Women’s and Children’s Hospital’s Gilbert Building.

Statewide cancer network

$77 million over five years, in partnership with the federal government, will go towards establishing a statewide cancer network.

$12.8 million will be spent on this in 2025-26, continuing work that began last year.

Mental Health 

$13.9 million will be spent over five years to continue and expand the Mental Health Co-Responder Program across metropolitan Adelaide.

The co-responder program means that a health clinician and a police officer are sent out together to respond to Triple Zero call-outs relating to mental health.

Autism Diagnosis and Support

$410,000 for autism assessment and diagnosis training support will be allocated again in 2025-26, after the funding was committed last year.

The Embrace Collective

$1.5 million will be spent over four years to support the Embrace Collective to roll out its programs in schools, health precincts and sporting settings.

The programs will focus on teaching young people to build a positive body image, to develop resilience, and to reduce the risk of mental health issues and eating disorders.

Pharmacies

$2.2 million towards 24-hour pharmacies, including the state’s fourth pharmacy in Hallett Cove Pavilion Shopping Centre on Lonsdale Road.

The funding will also allow pharmacies to expand the medical conditions pharmacists can treat.

Free period products for TAFE students

$300,000 will go towards installing over 140 dispensers in TAFE SA bathrooms for sanitary products.

Housing

A $552.4 million housing package will go towards constructing about 2935 homes across projects, including:

  • $270.1 million over nine years for Playford Alive East, a project that will provide more than 1300 residential allotments.
  • $30.5 million over six years for Onkaparinga Heights developments, providing at least 2000 houses.
  • $104.7 million over six years for the Southward Master Plan project, delivering up to 130 dwellings at the old West End Brewery site.
  • $135.1 million over three years for round two of the Housing Australia Future Fund, supported by the Federal Government.

Rent to Buy

100 properties currently under construction are allocated to the Rent to Buy Affordable Housing Initiative, which the government says will create a pathway for eligible long-term renters to buy.

Under the scheme, rent-to-buy homes would be rented out to eligible renters for up to three years at 75 per cent of market rent.

Police

Policing was a focus of this year’s budget, with key measures including $172 million to increase the state’s police force to 5000 officers by 2030/31, alongside:

  • $6.8 million (more than $200,000 in the 2025-26 Budget) will be spent over four years to replace the current pistols used by SA Police.
  • $480,000 will be spent in the 2025-26 Budget to hire six additional full-time sworn police officers.
  • $7.5 million will be spent each year from 2025-26 to undertake additional sustainment works to police infrastructure and equipment.
  • $17.8 million will be invested to double the number of motorcycle officers in the South Australian Police, enabling an additional 33 sworn police officers to undertake motorcycle policing duties.

COP31

$8.3 million will be invested to begin preparations for Adelaide to host the COP31 climate change conference in November 2026, including planning for security, transport and infrastructure.

Adelaide would need to beat out Türkiye to host the conference, which the government says would deliver a potential benefit of $511.6 million to the South Australian economy.

Environment

Starting with $6 million in 2025-26, $44.4 million over four years will be spent on replacing a coastal research vessel for marine science.

$14 million will be spent in 2025-26 on replenishing Adelaide beaches, including West Beach sand replenishment and implementing recommendations from the Adelaide Beach Management Review.

$7.6 million to care for injured native animals and to support wildlife conservation.

The funding allocation includes $1.4 million over four years to support the Adelaide Koala & Wildlife Centre.

A further $6.2 million will go towards the volunteer wildlife rescue and rehabilitation sector, including a new grants program to allow carers to access veterinary services.

$20 million of federal government funding over two years will go to Recycling Plastics Australia to expand and upgrade its facility.

$17 million over three years of federal government funding will deliver wetland habitat works across the Coorong, Lower Lakes and Murray Mouth.

Business

Early-stage Venture Capital Fund

$50 million will go towards a new venture capital fund to grow innovation in SA. This is modelled on a scheme from 2017, which helped globally significant SA-based companies like Fleetspace and FiveCast get their start.

Business Events Adelaide

More than $10 million will be injected into Business Events Adelaide, to increase visitation and tourism to South Australia.

Business Events Adelaide said it “is the peak independent body for South Australia’s business events” with its goal “to win business events for SA and provide guidance to event organisers”.

Strategy

$1.63 million will be spent on expanding the small business strategy, with $3.2 million over four years to continue to support small and family businesses.

Energy

$20 million will go to Powering Business Grants, supporting small, medium and not-for-profit businesses to invest in energy-efficient equipment or reduce and manage energy use. Businesses can apply for grants between $2500 to $75,000.

Global trade and tariff support

$2.5 million will go to support SA industries and businesses impacted by global trade and tariffs. The funding will go towards capability development programs, targeted business missions and importer visits to SA to support exporters diversify.

SA Business Chamber will receive $450,000 for its growth acceleration program, assisting high-growth potential small and medium businesses access expert business advice and workshops.

Consumer watchdog

$10 million will be invested to hire an additional 16 full-time staff at Consumer and Business Services over the next four years.

Twelve of the new roles will be within enforcement and compliance, which is fighting against illicit tobacco and vapes.

The extra funding will also provide for additional resources in births, deaths and marriages and regulatory services.

Stay informed, daily

Local exporters

$5 million will be allocated to support key sectors in responding to “continuing challenges in the global trading environment”.

This includes $2.5 per annum towards programs to support industry to diversify and connect with importers in new or growing markets across the world.

Digital investment and AI

$75 million over four years will go towards increased capacity for digital modernisation and cybersecurity initiatives.

This includes $28 million over four years, starting with $2.4 million in 2025-26, to establish an Artificial Intelligence (AI) program.

The AI program will integrate the technology in specific areas of health, policing and other areas to reduce costs nad improve efficiency.

Arts

$13 million in new money will be allocated to the state government’s new cultural policy, “A Place to Create” which has a total $80 million price tag over 10 years.

The remainder of the $80 million encompasses previously announced projects and initiatives, including:

  • $15 million for the Art Gallery of South Australia to deliver “world-class programs”, including a new “Winter Art” series.
  • $3 million to build the international profile of South Australia’s arts, culture and creative industries.
  • $2.5 million for Adelaide Youth Orchestras, Carclew and an “interactive new language-rich experience for young children” at the State Library of South Australia.
  • $1 million to boost philanthropic opportunities and attract private investment, including dollar-for-dollar matched fundraising programs for cultural organisations such as the Adelaide Festival.
  • $1 million to increase grant programs to support arts organisations and to support South Australian artists creating original works.
  • $2.3 million for First Nations arts and culture in South Australia.
  • $500,000 for arts and culture in the regions, including through programs delivered by Country Arts SA.

Domestic, sexual and family violence

Starting with $1.5 million in 2025-26, $3 million will be spent over two years to coordinate the government’s response to the Royal Commission into Domestic, Family and Sexual Violence.

This will include implementing the Family, Domestic and Sexual Violence Responses National Partnership Agreement.

$2 million will be spent over two years ($1 million in 2025-26) to continue and expand the operation of northern and southern domestic violence and recovery hubs.

Child protection

$2 million will go towards hiring six new staff members for the Child Abuse Report Line in response to an increasing number of calls to the hotline.

The additional staff will assist mandatory notifiers such as teachers, doctors and emergency services personnel to report child safety concerns.

Indigenous Affairs

More than $700,000 will be spent each year for the continuation of the child diversion program, which diverts Aboriginal children between 10 and 14 years old away from prison when charged with a minor offence.

$10.9 million will be spent over five years to undertake remediation and refurbishment works at Tauondi Aboriginal Community College. This includes $1.6 million in operating expenses and $5.4 million in investing payments in the 2025-26 Budget.

$5 million ($1 million in the 2025-26 Budget) will be spent over three years for grants to Aboriginal community-controlled organisations.

Sports

$1 million will be spent over four years ($250,000 in the 2025-26 Budget) for the Olympic and Paralympic Team Appeal.

Schools

$3 million ($2 million in the 2025-26 Budget) will be spent over two years for the continuation of the school hours care (Kindy Care) program.

$24 million will be spent over four years to continue the $200 reduction per student of the materials and services charge at government schools.

$10 million each year will be spent to support sustainment works at government schools and preschools.

$70 million will be spent on building a new primary school and preschool in Adelaide’s northern suburbs, as well as upgrading infrastructure at schools across South Australia.

$40 million will be spent on upgrades at public schools across the state, including replacing old heating and air conditioning units.

The budget includes a $171 million expansion of the non-government School Loans Scheme to increase eligibility for preschool infrastructure projects. All non-government schools and not-for-profit early childhood and care providers are eligible to apply for the low-interest loans of between $500,000 and $10 million.

Emergency services

An extra $21 million will be invested in emergency services.

This includes:

  • $5.9 million over four years to improve training for Country Fire Service volunteers responding the structure fires.
  • $2.8 million will be spent over four years to improve bushfire risk mapping based on automated modelling for likely bushfire impacts.
  • $2 million over four years for the ongoing replacement of drones used by State Emergency Services to provide reconnaissance, intelligence gathering and hazard assessment at incidents.
  • $859,000 over three years for development assessment activity associated with state-wide bushfire hazard overlay code amendments.
  • $687,000 over three years to continue supporting Volunteer Marine Rescue associations.
  • $250,000 towards the replacement of Surf Life Saving South Australia’s Lifesaver 3 jet rescue boat.
  • An unspecified amount to support the ongoing replacement of emergency service vehicles, equipment and facilities.

Justice

$600,000 will be spent each year for additional funding for the Aboriginal Legal Rights Movement to continue Aboriginal justice advocacy services, and continue and expand the Aboriginal visitors scheme to currently unserviced regional areas.

$1 million will be spent in the 2025-26 Budget for additional resources in the Crown Solicitor’s Office to support its work associated with child protection matters.

An additional $6.9 million will be spent over three years (including $2.5 million in the 2025-26 Budget) to provide additional resources to the Office of the Director of Public Prosecutions.

$3.8 million ($1.9 million in the 2025-26 Budget) will be invested in the South Australian Civil and Administrative Tribunal for additional resources to address increased guardianship and administration applications.

$20 million will be spent over four years ($5 million in the 2025-26 Budget) to undertake critical works and upgrades on essential courts infrastructure, plant and equipment.

$1.2 million each year from 2025-26 to improve court security for members of the judiciary, court staff and users and the general public.

$700,000 ($350,000 in the 2025-26 Budget) will be spent over two years to hire District Court associates to assist with increased work from Operation Ironside.

$6.8 million will be spent over four years to improve security at prisons across the state. This includes:

  • New barriers at the Adelaide Women’s Prison perimeter fence to prevent contraband from being thrown over to prisoners.
  • High-tech security scanners and the installation of cameras with built-in artificial intelligence.

Defence

$3.3 million will be spent over four years to extend and expand the Defence Innovation Partnership. This includes $570,000 in operating revenue and $3.3 million in operating expenses in the 2025-26 Budget.

More than $400,000 will be spent each year for the Defence Teaming Centre to maximise opportunities from the National Defence Strategy and Defence Industry Development Strategy.

$250,000 will be spent each year for the Veterans SA Industry and Integration and Partnership Program to enhance employment opportunities for the South Australian veteran community.

$3.3 million will be spent over two years to support South Australian businesses to enter global supply chains for nuclear-powered submarines, dubbed the Defence Supplier Uplift Program.

Road safety

$656 million from 202526 will go towards the High Productivity Vehicle Network project, providing a bypass for Metro Adelaide. This is funded in partnership with the Federal Government and will deliver upgrades between the Swanport Bridge on the Princes Highway and Truro on the Sturt Highway.

$250 million will be spent over five years on the Curtis Road level crossing removal in Munno Para, which will eliminate the need for road traffic to interact with the Gawler passenger rail line.

$4.3 million in 2025-26 will upgrade the existing heavy vehicle rest area at Arcoona and construct a new rest area at Pimba on the Stuart Highway.

$80 million over five years from 2025–26 will deliver safety improvement works along Main South Road between Myponga and Yankalilla, including two new overtaking lanes, targeted curve easing and road widening, widening narrow bridges and culverts.

Public Transport

$2.5 million will go towards creating a permanent Adelaide Metro service in Mount Barker. This will transition from the Mount Barker On Demand (Keoride) trial.

The initiative also provides $2.5 million for 2025-26 for the purchase of six new electric vehicle buses and $500,000 for associated infrastructure upgrades to the Mount Barker Depot to support electric vehicle charging.

$9.6 million over four years will be invested in transport safety, including a new security taskforce to combat antisocial and violent behaviour on the Adelaide Metro network.

The Transit Compliance Team will see 19 dedicated officers recruited and deployed across the public transport network.

$1.5 million will be spent on installing new artificial intelligence cameras at key interchanges and stations.

Regional SA

$109.7 million over four years will go towards River Murray environmental flows and improving basin health.

$45 million will be spent in 2025-26 to respond to fruit fly outbreaks.

$15 million over two years will upgrade the Port Augusta wharf for public access and amenity.

$29.6 million over three years will go towards expanding the successful police security officer model into the regions.

In Depth