Insight,

Federal Budget 2022-23: Defence

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Protecting Australia’s interests by investing in our national security and defence capabilities is a key Budget priority, with the Government announcing a $270 billion, 10‑year defence capability plan supporting more than 100,000 jobs.  Defence funding as a share of Australia’s economy will exceed 2% in 2021‑22 (up from less than 1.6% in 2012‑13), in what the Treasurer described as a ‘record investment in our Navy, Army and Air Force’.

Assistance to Ukraine

In 2021-22, the Government will provide $156.5 million to provide initial assistance to Ukraine following the invasion by Russia, including military assistance, humanitarian assistance and support to those arriving in Australia after fleeing Ukraine. 

The Government will provide a 3-year Temporary Humanitarian Concern Visa (subclass 786) to Ukrainians across 2021-22 and 2022-23.  The Government will also facilitate the purchase of at least 70,000 tonnes of thermal coal to support the ongoing supply of energy to Ukraine.

Flood assistance by Australian Defence Force

In 2021-22, the Government will provide $126.4 million for Australian Defence Force deployments associated with Operation Flood Assist, supporting the Queensland and NSW Governments with search and rescue, clean up, and recovery.

Expanded cyber and intelligence capability

The Government will invest in Australia’s intelligence and cyber capabilities by providing $9.9 billion over 10 years to 2030-31 to the Australian Signals Directorate (ASD) to deliver a Resilience, Effects, Defence, Space, Intelligence, Cyber and Enablers (REDSPICE) package.

Expanded Army and Navy infrastructure

The Government will invest $4.5 billion to enhance armoured capabilities for the Australian Army.

The Government will invest up to $4.3 billion to deliver Western Australia’s first large vessel dry berth, which will support the construction and sustainment of naval vessels in Australia and support a stronger commercial shipbuilding and sustainment industry in Western Australia.

The Government has also committed to building a new submarine base on the east coast of Australia to support Australia’s future nuclear powered submarines.

Protecting Australia’s borders and people

The Government will provide:

  • $287.2 million over 4 years from 2022-23 to counter transnational, serious and organised crime;
  • $148.4 million over 5 years from 2021-22 to strengthen national efforts to protect against terrorist offenders and counter violent extremism, including implementing post-sentence supervision orders after the completion of custodial sentences and the establishment of a National Convicted Terrorist Offender Register; and
  • $136.7 million in 2022-23 to maintain Australia’s border security arrangement through Operation Sovereign Borders, including maintaining maritime surveillance and refurbishing and replacing maritime vessels.

Support for Defence industry and workforce

To enable small and medium-sized businesses to continue to supply critical industrial capabilities to the defence industry, and provide training and skilling opportunities for the defence industry, the Government will provide $151.6 million over 5 years from 2021-22 to the Department of Defence to continue the Sovereign Industrial Capability Priority Grants Program and the Skilling Australia’s Defence Industry Grant Program.

To support veterans, the Government will provide:

  • $165.0 million over 4 years from 2022‑23 to support veterans and improve wellbeing support services for veterans and their families; and
  • $104.2 million over 4 years from 2022-23 to provide better access to health care to veterans and their dependents.

 

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