Thursday, 12 June 2025
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BusinessAustralia

Australia’s Election Race: Infrastructure vs. Tax Breaks

  • PM Anthony Albanese commits billions to road and infrastructure upgrades.
  • Opposition Leader Peter Dutton pitches tax-free lunches for small businesses.
  • Speculation grows as the federal election deadline nears in May 2025.

Prime Minister Anthony Albanese is championing large-scale infrastructure development, pledging substantial funding for projects across Australia. These include a $500 million contribution to a Sydney road upgrade, a $7.2 billion Bruce Highway improvement in Queensland, and a $3 billion NBN investment.

Meanwhile, Peter Dutton has unveiled a tax incentive plan tailored to small businesses. Promising tax deductions of up to $20,000 annually for dining and entertainment expenses, the initiative excludes alcohol and focuses on boosting the hospitality sector.

Election 2025: Competing Visions for Australia’s Future

Anthony Albanese is positioning his government as a driver of long-term growth, prioritizing infrastructure projects with wide-reaching impacts. His latest pledge in Western Sydney connects local transport to the upcoming Western Sydney International Airport, a move aimed at unlocking housing and job opportunities in a rapidly expanding region.

Critics argue that such large-scale announcements are merely pre-election “sugar hits,” but Albanese insists these commitments are part of broader governance. Highlighting the collaboration with state governments, he underscores the shared responsibility of delivering transformative infrastructure.

Peter Dutton’s tax-free lunch proposal takes a different approach, targeting immediate relief for small businesses. With a two-year timeline, the policy is designed to inject much-needed spending into the hospitality industry while simplifying the tax system for eligible businesses.

Though welcomed by small business advocates, Dutton’s plan has drawn criticism for being uncosted and limited in scope. Nonetheless, his campaign focuses on appealing to entrepreneurs and suburban voters, aiming to recover ground in key marginal seats.

As the election nears, Australians face a clear choice between long-term infrastructure investments and immediate tax incentives, each reflecting the differing priorities of the major parties.

“We want Western Sydney to be a gateway to the rest of the world.” – Anthony Albanese

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