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Pivotal growth area fund cut in budget

Growth area councils say they are “forgotten” by the State Government after a vital infrastructure fund was cut in this year’s budget.

The 2025-26 State Budget, released on Tuesday, strips all funding from the Growing Suburbs Fund (GSF).

For the past decade, this fund has been used to support the construction and maintenance of local parks, playgrounds, community centres, skate parks, accessible public toilets, and more.

Outer Melbourne Councils (OMC), which represents all major growth areas, said the outer suburbs matter.

“There’s another Melbourne beyond the tram tracks that’s being forgotten,” an OMC spokesperson said.

“The loss of the Growing Suburbs Fund will mean councils must spend less on critical community infrastructure.

“Following the Werribee byelection, it’s astounding the government has opted not to renew this critical funding stream.”

The GSF provided over $35 million to fund 23 infrastructure projects in Cardinia Shire and over $40 million to fund 32 projects in the City of Casey.

The projects would see the GSF contributing to overall funding, with the respective council typically matching the State Government funding.

IYU Reserve, Officer District Park and the Main Street Revitalisation are among the GSF-backed projects in Cardinia.

GSF projects in Casey include Cranbourne West Community Hub, Ray Bastin Reserve Redevelopment and Hunt Club Oval.

Cardinia Shire Mayor Jack Kowarzik said he hoped the State Government will continue to support growth areas.

“The Growing Suburbs Fund has provided Cardinia Shire Council with valuable opportunities to develop essential infrastructure that directly benefits our residents,” he said.

“We appreciate this previous support, and will call for new pathways that will address our community’s evolving needs and enhance the quality of life for all residents.”

Without mentioning the fund specifically, Victorian Treasurer Jaclyn Symes told Parliament the government was “winding back non-priority programs.”

OMC said one bright spot in the budget was funding for a series of outer suburban roads projects.

Funding has been allocated for road upgrades in Clyde North, Cranbourne, Beaconsfield and Hallam.

The announcement of free public transport for all Victorian kids also promises to deliver a cost saving for families, OMC said, but only if they have the option for putting their kids on public transport.

OMC continues to call for a significant investment in the bus network and service upgrades, without which families will continue to depend on cars.

“Free public transport means less than nothing if you don’t have a local bus or train service,” the spokesperson said.

Last year, the State Government committed $22 million for new and extended bus services in Cardinia, which has extended the 928 and 925 routes through Pakenham and Officer.

This funding has been helped by the Growth Areas Infrastructure Contribution (GAIC), the fund has also extended bus services in Casey, such as route 798 in Clyde.

There are no extension for the bus network in Cardinia and Casey in the latest budget.

A new $150 million round of GAIC was open for submission late last year with funding expected to be allocated this year.

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