5 July, 2025
act-budget-criticized-as-out-of-touch-by-opposition-leader-leanne-castley

ACT Opposition Leader Leanne Castley has launched a scathing critique of the recent budget, accusing the Labor government of neglecting fundamental issues that matter to Canberrans. In her budget reply speech, Castley argued that the government’s focus on addressing a $1 billion deficit has led to increased charges and levies, burdening local ratepayers.

Castley emphasized that the government had lost sight of local concerns.

“I am here for one simple reason: the streetlights where I lived weren’t working and nobody in government cared enough to come and fix them,” she stated, highlighting what she perceives as a disconnect between the government’s priorities and the needs of everyday citizens.

Local Concerns vs. Economic Vision

According to Castley, Chief Minister Andrew Barr’s economic strategies have overshadowed the immediate needs of residents.

“Most people in Canberra aren’t political tragics or ideologues; they just want their lights to turn on, they want good healthcare in an emergency and an operation when they need it,” she said.

Castley criticized the budget for imposing higher taxes on families already struggling with the cost of living.

While Castley was vocal in her criticism, she did not present alternative policies during her speech. She assured that the Canberra Liberals would unveil their plans well ahead of the next election, focusing on housing affordability and reversing the “exodus of small businesses from Canberra.”

Impact on Small Businesses

Small business owners like Hamid Monga are feeling the strain of the new budget measures. Monga, who opened a dry cleaning business in Canberra’s inner north five months ago, expressed concerns about the lack of incentives for businesses, particularly those aiming to adopt sustainable practices.

“We have opened this business at a very tough time when the businesses around in Canberra were closing up,” Monga explained.

The budget has lowered the payroll tax threshold, affecting more small and medium enterprises. Businesses with a payroll above $1.75 million will now be taxed, a reduction from the previous $2 million threshold. Although Monga’s business is not yet affected, he worries about potential cost pass-throughs from his landlord due to increased commercial rates.

Industry Reactions

The Property Council of Australia and the Canberra Business Chamber have also expressed dissatisfaction with the budget. Ashlee Berry, ACT and capital region executive director of the Property Council, criticized the continuous rise in commercial rates.

“The increases on commercial rates, year on year, are just unsustainable and they’re hurting our industry,” Berry stated.

Greg Harford, CEO of the Canberra Business Chamber, echoed these sentiments, pointing out the growing challenges of operating in the ACT.

“It is increasingly difficult to do business here in the ACT,” Harford noted. “It is expensive … and there are a number of challenges around labour and the regulatory environment.”

Looking Ahead

The debate over the budget highlights a broader discussion about the balance between economic management and addressing local needs. As the Canberra Liberals prepare to unveil their policies, the focus will likely remain on how best to support residents and businesses in navigating financial pressures.

Meanwhile, the government faces pressure to demonstrate that its fiscal strategies can deliver tangible benefits to the community without exacerbating existing economic challenges. The coming months will be crucial in determining how these budgetary decisions impact the day-to-day lives of Canberrans and the broader ACT economy.