Advocacy, Press, Sector

Social Futures 2026 NSW State Budget response

Written byKylie Perrett
Published on23 Jun, 2026
Nsw State Budget 2026

Summary

Social Futures has welcomed several investments in the 2026–27 NSW Budget, including funding for health, mental health, domestic and family violence services, First Nations initiatives and disaster resilience. However, the organisation says more action is needed to address housing affordability, social housing supply and the rising cost of living, with many low-income and working households continuing to struggle to afford essentials.

Social Futures welcomes meaningful investments in health, mental health, children and families, First Nations outcomes, and disaster resilience however there is concern the budget does not go far enough to address housing supply and direct support for people experiencing poverty.

We do commend the NSW Government’s existing significant investment in social housing and look forward to seeing projects delivered in communities across the state.

People in regional NSW continue to face significant challenges finding affordable housing and managing rising living costs, but the state’s largest ever spend on domestic violence prevention will see $184.1 million over four years injected into crisis response programs supporting women and children seeking help.

Social Futures CEO Tony Davies said the NSW Budget plays an important role in shaping opportunities for people and communities to thrive.

“Every investment that helps people access safe housing, maintain their health and wellbeing, support their families and participate in their communities contributes to a stronger and more inclusive society.” Mr Davies said.

“But people cannot wait years for the safety and stability of a home, or enough money to feed their children.”

Beyond those most vulnerable, working households are also being priced out of the private rental market and are among many that skip meals and important medical appointments to feed their families.

NCOSS Affordability Crisis Snapshot reveals 47 percent of households experiencing poverty in NSW now include people in regular paid work.

When people cannot afford essentials, their risk of homelessness rises sharply, raising the question – does this budget do enough to directly reduce household expenses and prevent homelessness?

There are modest cost of living relief elements, including $100 off private vehicle registration in the next year however the reality is that households on the lowest incomes, who are already struggling to make ends meet, will continue to be forced into crisis.

Cheaper public transport fares concentrate benefits in metropolitan areas but will have little impact for many regional NSW residents.

Housing remains one of the most significant challenges facing regional NSW, with 70,257 households waiting for social housing in NSW as at 31 May.

In terms of disaster resilience, the Northern Rivers region stands to benefit from $241.1 million over two years allocated to continue the Resilient Homes Program to enhance flood tolerance for existing homes, alongside additional funding support for homelessness service centres on the North Coast.

More broadly, $39 million is earmarked for the Temporary Accommodation program which provides short-term support for people at risk of or experiencing homelessness.

We are encouraged by the NSW Government’s investment in health and mental health services, recognising the important role accessible care plays in supporting individual wellbeing and strengthening communities.

Improving access to healthcare, crisis support and suicide prevention services can help people receive support earlier and reduce pressure on individuals and families.

The $112.3 million mental health package, including ongoing support for Lifeline, won’t put money in people’s pockets, but it does strengthen access to support at a time when financial and housing stress is contributing to poor mental health and distress.

There is positive focus on culturally safe services and community-led approaches with $154.2 million supporting First Nations communities and $45.3 million in new Closing the Gap funding.

Mr Davies said ongoing investment in prevention, early support and community-led solutions is needed to deliver benefits for individuals, communities and government alike.

“We welcome investments that strengthen communities and support people to thrive, while recognising there is more work to do to ensure everyone can access the housing, support and opportunities they need.”

Social Futures will continue working alongside communities, organisations and government to help create positive social change and build inclusive communities where everyone is valued and supported.