The key budget announcements

Around 11 million taxpayers will get a tax cut backdated to 1 July this year. Those earning $40,000 will pay 20 per cent less, and those earning $80,000 will pay 11 per cent less. More than 7 million Australians will receive tax relief of $2,000 or more this year.

“Our plan will grow the economy. Our plan will create jobs. Our plan will guarantee the essential services that Australians rely on. And we will do this without increasing taxes,” Mr Frydenberg said. He also announced an instant asset write-off scheme that will allow “99 per cent” of businesses to write off the full value of any eligible asset they purchase for their business.

“It’s a game changer, and it will unlock investment,” Mr Frydenberg said.

The Treasurer also revealed a JobMaker hiring credit that will encourage businesses to hire young Australians. It will be payable for up to 12 months to any business that hires people on JobSeeker, and will be priced at $200 a week for Australians under 30, and $100 a week for Australians aged 30-35. All businesses other than the major banks will be eligible, and Treasury estimates it will create 450,000 jobs for young people.

Unemployment is now expected to peak at 8 per cent. The budget deficit is now forecast to reach $213.7 billion in 2020, and remain at $66 billion by 2023-24. Net debt will increase to $703 billion this year and peak at $966 billion – 44 per cent of GDP – in 2024.

“This is a heavy burden, but a necessary one to deal with the greatest challenge of our time,” Mr Frydenberg said, noting that net debt would peak at half the UK’s current debt load and a third of the US’.

Mr Frydenberg also announced a number of previously forecast infrastructure measures, including $14 billion in new and accelerated major projects across all states and territories.

“Building more infrastructure means building and creating more jobs,” Mr Frydenberg said.

More to come.