Australia politics live: NSW to lower road toll cap and Queensland to promise infrastructure in today’s state budgets
TL;DR
New South Wales will reduce the weekly road toll cap from $60 to $50 for one year, providing $10 savings for motorists. Additionally, tolling administration fees will be abolished in July, benefiting nearly 200,000 more drivers.
Key points
- NSW lowers weekly road toll cap from $60 to $50
- Change effective for one year starting July 6
- 200,000 more drivers expected to claim toll relief
- Tolling administration fees to be scrapped in July
Mentioned in this story
The New South Wales government will lower the weekly road toll cap from $60 to $50 for one year as part of cost of living measures handed down today in the 2026-27 state budget.
In advance of today’s budget, the Minns government has announced that the threshold for the cap, under which drivers can claim back from the government after they spend $60 per vehicle, will be lowered to $50 for the 12 months from July 6, a saving of $10 a week for motorists who already claim toll relief. Tolls on multiple roads managed by private operator Transurban will rise on July 1, leaving them on average more than 4% higher since July 2025.
The NSW transport minister, John Graham, says:
“Almost 950,000 toll account holders have sought and received cash back under the ... $60 toll cap and by reducing the cap to $50 there will be 200,000 more joining them.”
In addition, the government has confirmed the scrapping of tolling administration fees - issued by post to people without a tolling account when they drive on a toll road - will take place in July after the policy was announced in December last year, following a commitment before the March 2023 election.
The state’s treasurer, Daniel Mookhey, has told Guardian Australia this year’s budget will include public transport fare relief. The state did not follow Victoria in making fares free amid the fallout from the US and Israel’s war in Iran, despite pressure from the NSW opposition, who have also repeatedly called on the government to fund new metro rail projects.
Mookhey says this year’s budget will be about about “relief, reform and discipline”, after the state’s growth forecast for 2026-27 dropped from 2.5% to 1% amid rising inflation and the global oil shock. We have reporters inside the budget lockup this morning, and will bring you the rest of the key announcements when the treasurer gives his speech at 12.30pm.
Good morning and welcome to our live news blog. I’m Martin Farrer with the top overnight stories and then it will be Krishani Dhanji with the main action.
It’s a busy day for political types. Canberra is hurtling towards its winter break as Labor scrambles to do deals to get its major tax and NDIS reforms through the Senate.
And it’s budget day in two big states: Queensland and New South Wales. We’ll bring you all the news once the lockups end but, in the meantime, as usual, there are pre-announcements and promises to pore over: a little toll relief in Sydney, sometimes dubbed the world’s most tolled city, and a hint to expect a lot of hard hats in Queensland with an infrastructure-focused plan.
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Q&A
What is the new road toll cap in New South Wales?
The new road toll cap in New South Wales is set to be $50 per week.
How many drivers will benefit from the reduced toll cap in NSW?
Approximately 200,000 more drivers will benefit from the reduced toll cap.
When will the tolling administration fees be abolished in NSW?
The tolling administration fees will be abolished in July.
