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Budget: Record spending on projects
July 2025
The Malinauskas Labor Government is investing record amounts in major infrastructure projects to
help support South Australians now, and into the future.
The 2025-26 State Budget includes $27.3 billion over four years for priority projects, with a number
to be delivered in partnership with the Commonwealth Government. This includes the two biggest
projects for the future:
$15.4 billion Non-stop North-South Corridor joint funded by the Albanese and Malinauskas Labor
Governments. Main construction work is already underway on the biggest infrastructure project in
the state’s history. Once complete, the non-stop South Road project will allow motorists to bypass 21
sets of traffic lights between the River Torrens and Darlington, saving up to 40 minutes of travel time
in peak hour traffic.
$3.2 billion New Women’s and Children’s Hospital will have more beds, theatres, and greater
emergency capacity, as well as the ability to expand in the future. Once complete it will provide
capacity for 414 overnight beds – 56 more than the existing hospital, as well as an onsite helipad.
Major new infrastructure projects included in this budget for the first time include:
$656.3 million for High Productivity Vehicle Network – Stage 1 over 10 years to deliver upgrades
between the South Eastern Freeway and the Sturt Highway. The State Government has committed
funding for this project on an 80:20 basis with the Commonwealth Government.
The Malinauskas Labor Government is also investing in South Australia’s health system with a further
$1.9 billion over five years. The funding includes new investment of approximately $117 million over
five years, to support our mental health services.
The budget also provides for several existing major projects due for completion over the forward
estimates:
• $601 million Princes Highway Corridor
• $495.9 million Flinders Medical Centre Upgrade and Expansion
• $400 million Marion Road Upgrade – from Anzac Highway to Cross Road
• $365.6 million New Mount Barker Hospital
• $350 million South Eastern Freeway Upgrade
• $330 million Eyre Peninsula Desalination Plant
• $185.9 million New Technical Colleges
• $133.8 million New Ambu-lance Headquarters
Treasurer Stephen Mulligan said “in partnership with the Commonwealth Government, we are
building the roads, hospitals and critical infrastructure to support a larger population”.
“These major transport infrastructure projects in the city and across our state will make our roads
safer and the commute faster, helping improve the liveability of our state and increase productivity.
“The State Government has made significant commitments to building a bigger and better health
system with new and improved hospitals and ambulance headquarters.
Infrastructure Minister Tom Koutsantonis pointed out that “SA is growing and the 2025-26 State
Budget reflects that – with $27.3 billion over four years for infrastructure works”.
“We are investing in a range of significant projects in partnership with the Albanese Labor
Government, with major construction work recently kicking off on a non-stop South Road and our
joint $250 million funding commitment to build an overpass where Curtis Road meets the Gawler rail
line, removing the frustrating level crossing”.
Greek Tribune
Adelaide, South Australia