Ahead of today’s NSW Budget, here’s what we already know: major moves on investment, tech, manufacturing, housing, and business growth.
The NSW Government will reveal its third budget later today aiming to kickstart business investment and growth across the state.
Treasurer Daniel Mookhey recently said that while NSW has a lot going for it, projects are too slow to get started. After speaking with manufacturers, tech leaders, and investors, he identified delays, not a lack of funding, as the main problem. High construction costs, slow approvals, and worker shortages are holding back growth.
The 2025 Budget takes these on directly, offering support for technology, manufacturing, cybersecurity, Aboriginal partnerships, and agriculture, along with improvements to housing, water, energy, and transport. The goal is to make NSW a global business hub.
Making it easier to invest in NSW
The NSW Budget will set up a new Investment Delivery Authority with $17.7 million to help fast-track major projects like tech hubs, clean energy sites, hotels, data centers, and commercial buildings.
Businesses have complained that NSW’s system is too slow and complicated. The Authority will fix that by cutting red tape, helping guide billion-dollar projects through the planning system, and coordinating government departments. It’s expected to help move 30 big projects a year, potentially unlocking $50 billion in investment. It will be backed by a taskforce inside the Premier’s Department and led by senior public servants. It will also suggest reforms and offer government help for priority projects that match NSW’s industry and investment goals. The Premier and Treasurer say this shows NSW is open for business. Industry leaders say it will speed up large-scale investments like AI infrastructure and make NSW a global digital leader.
Helping tech startups grow
The Budget also invests nearly $80 million to help tech businesses grow, through the Innovation Blueprint. NSW already dominates the national startup scene, hosting most of Australia’s venture capital and five of eight unicorn startups.
The funding will back more success stories, with $38.5 million for Tech Central, $20 million for using new tech in housing and energy, $6 million for early-stage product development, $6 million for manufacturers using tech, $4 million for housing innovation, $4 million for training women founders and regional tech leaders, and $700,000 for the National Space Industry Hub. The goal is to support startups during their risky early stages and open up opportunities across the state
Supporting manufacturers
To help manufacturers, the budget introduces a concierge-style service to guide businesses through complex approvals, saving time and money. There’s also investment in workforce training to fix staff shortages.
The government will also better align planning and land use to make it easier to build or expand factories. The manufacturing plan supports advanced technology, local supply chains, and exports. The $6 million for manufacturing tech adoption from the Innovation Blueprint will help boost productivity and competitiveness.
Strengthening cybersecurity
Cybersecurity is critical for businesses, and Budget 2025 invests $125.8 million to future-proof the NSW Police Force’s cyber systems. This means stronger protection for businesses from online threats. $24.6 million will go to real-time threat detection tools, while $50 million upgrades the police network, call centers, and security systems.
Another $6 million will buy tools for cybercrime investigations, and $45.2 million will upgrade the police payroll system. These changes help keep police ahead of cyber threats, protecting business operations and customer data.
Partnering with aboriginal communities
Aboriginal communities will benefit from a $246.8 million package over four years, with $202.4 million coming in 2025–26. This funding supports 14 Aboriginal-led programs in health, education, employment, and justice. It also includes $17.9 million to help Aboriginal Land Councils rezone land for development, opening up partnership opportunities with business. $12.2 million will go toward a new jobs program in sustainable land management, supporting sectors like agriculture.
$31.5 million will help Aboriginal communities manage and use their own data. Other funding will tackle justice, health, early childhood, education, and language revitalisation. Businesses can expect more chances to work with Aboriginal organisations on economic and social projects.
Tackling housing for workers
High rents and too few homes are making it hard for workers to live in NSW, which hurts businesses needing talent. Budget 2025 builds on Planning Minister Paul Scully’s reforms to allow more homes near services, despite pushback from some councils.
It continues the largest social housing investment since World War II, strengthens renter protections, boosts homelessness services, and partners with the federal government on the Help to Buy scheme for working families. Mookhey said the budget will keep building homes to support workers, helping businesses attract and retain staff.
Upgrading water systems
Outdated water systems are a bottleneck for growth. Budget 2025 will replace 50-year-old pipes, expand water treatment, and align land use with infrastructure needs, something the previous Liberal government neglected, per Mookhey. This ensures reliable water for new factories, tech parks, and housing, supporting business expansion.
Powering business growth
Energy reliability is critical for manufacturers and tech firms. The government approved 10 renewable projects in the Central-West Orana Renewable Energy Zone, generating 7.15 gigawatts to power 2.7 million homes and cut 10 million tonnes of emissions yearly.
But businesses face unreliable energy, slow grid connections, and high costs. Budget 2025 will fund new power projects to build confidence in NSW’s energy future, keeping costs down and operations running smoothly.
Improving transport for business
Efficient transport is vital for moving goods and workers. After scrapping the TAHE agency to save Metro South West, Budget 2025 will fund public transport projects that connect businesses to markets and communities, avoiding past “weird accounting tricks” and boosting economic activity.
Smart money management
The government’s financial discipline makes these investments possible. Mookhey said they’ve cut state debt, kept credit ratings, reduced expense growth from 9.7% under the Liberals to 1.8%, and returned the budget to a surplus. This isn’t just about numbers, it’s a foundation for business-friendly reforms.
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