Federal Budget 2025-26

The MFAA called for measures to support competition, ensure access to brokers, and remove barriers to refinancing.

MFAA recommendations

• Simplify and raise awareness of government-backed homebuyer schemes
• Review APRA prudential settings 
• Institute a faster, smoother home loan discharge process 
• Continue to enhance the Consumer Data Right  
• Promote consulting with a mortgage broker to all first home buyers 

Budget outcomes

• $800 million to expand the Help to Buy Scheme
• Continue the Regional and Family Home Guarantee streams of the Home Guarantee Scheme for 4 more years 
• 20% cut to outstanding student debt and reforms to HECS-HELP loan repayments  
• 2-year ban on foreign buyers purchasing existing dwellings from 1 April 2025 
• $8.9 million to target land banking by foreign buyers  
• $54 million to increase the supply and adoption of prefabricated and modular housing construction 
• $120 million to incentivise states and territories to remove red tape preventing the uptake of modern methods of construction

Budget reply

• Allow first home buyers to access up to $50,000 of their superannuation for a home deposit 
• 2-year ban on foreign investors and temporary residents buying existing homes
• 25% reduction in the annual permanent migration intake to ease housing demand 
• $5 billion investment in housing infrastructure to kick-start stalled housing developments
• Cancel the $10 billion Housing Australia Future Fund 

The MFAA advocated for ongoing government support to mitigate cyber risks affecting brokers and small businesses.

MFAA recommendations

• Work with industry to educate and empower small business owners
• Ensure a consistent approach to Digital ID and expand use cases

Budget outcomes

• Continued investment to help small businesses uplift their cyber security and digital capabilities through
  • Digital Solutions Program, Cyber Wardens Program, Cyber Resilience Service, and Cyber Health Check
• $5.3 million to the OAIC to continue its regulatory oversight of Digital ID and Identity Verification Service programs 
• Funding to extend support for students’ digital technology learning and digital literacy
• $3.4 million to provide digital and data training and employment opportunities for regional Australians 

Budget reply

• Encourage new areas of the economy, like artificial intelligence, automation and cyber security 

The MFAA sought policy settings that reduce unnecessary compliance burdens on brokers and small businesses.

MFAA recommendations

• Ensure consistent payroll tax legislation across states
• Ensure privacy-related changes are reflected in the Regulatory Implementation Grid (RIG)
• CSLR levies must be proportionate and fit for purpose  
• Introduce permanency to the instant asset write-off scheme  
• Update ASIC Regulatory Guide 206 Credit licensing: Competence and training  
• Address Financial Services Royal Commission reforms

Budget outcomes

• $207 million to continue stabilising Australia’s business registers  
• Reforming non-compete clauses 
• A further $150 in energy bill relief 
• Extension of Unfair Trading Practice protections to small businesses 
• $722.8 million to deliver increased support for apprentices

Budget reply

• Remove regulatory burdens where there’s duplication across local, state, and federal government  
• Remove red tape and speed up approvals affecting businesses
• 25 cents per litre cut to petrol tax 
• Permanent $30,000 small-business instant asset write-off threshold 
• Reduce industrial relations obligations (e.g., those related to casual staff) by winding back reforms that hit small employers 
• Up to $20,000 per year deduction for business-related meal expenses 
• $12,000 wage incentive to support 400,000 new apprentices and trainees 

The MFAA recommended targeted initiatives to strengthen small business capability to navigate the transition to net zero and support broader financial literacy initiatives. 

MFAA recommendations

• Invest in small business ESG education  
• Support brokers in facilitating decarbonisation of Australian residential property
• Continue to develop initiatives that deliver greater levels of financial literacy for Australians

Budget outcomes

• $2 billion for the Clean Energy Finance Corporation to invest in renewable energy and technologies
• $56.7 million in grants under the Energy Efficiency Grants for Small and Medium Sized Enterprises program 
• $25.9 million to support the mental health and financial wellbeing of small business owners through the NewAccess for Small Business Owners program and the Small Business Debt Helpline 

Budget reply

• Remove requirement for large companies to collect and report carbon emissions of every small-business supplier
• Introduce a "National Gas Plan" to increase gas reserves for domestic use