Treasurer Scott Morrison handed down his second Federal budget last night. While there is significant discussion around infrastructure spending and changes to welfare payments, the impact on business grants and R&D Tax Incentive has been minimal, and that’s good news. For a simple one page list of new and extended grant programs read our short summary. What hasn’t changed Many of the key government grants and programs for business have remained untouched. The R&D Tax Incentive has been the subject of continued speculation, but in last night’s budget, there were no changes announced. The government is still to respond to the recommendations from the recent review of the R&D Tax Incentive, however, from a budget perspective, no news is good news. Programs such as the Entrepreneurs Program, including Accelerating Commercialisation, and Export Market Development Grant have had no changes. No other key grants have been abolished or cut either. In the main, the $40.9B of Federal Grants (as a share of the $49.1B of total business grants and assistance) has had minimal changes. Manufacturing support gets a bump The government announced last week the budget measure to establish the Advanced Manufacturing Fund. This $101.5M program has several components, most notably the $47.5M Advanced Manufacturing Growth Fund which seeks to fund up to a third of capital upgrades that drive innovation and advanced manufacturing. This applies mainly to Victoria and South Australia, however, manufacturers in other states may benefit from other elements of the program. While not a sizeable investment, the program [...]
In this year’s MYEFO, there are very few surprises under the governments Christmas tree. The Federal Governments Mid-Year Economic and Fiscal Outlook (MYEFO) statement was released on the 19th December. Treasurer Scott Morrison and Finance Minister Mathias Cormann updated the economic and fiscal outlook from the previous budget of this year. From a grants and funding perspective, many budget measures were known and expected, however in a few instances there is additional funding, in some, there is less. Some of the notable announcements include: • Industry Skills Fund cessation. New applications received up to 31 December 2016 will be considered and approved grants will be honoured, but the program will cease. • Additional $200 million funding for the Regional Jobs and Investment Package. • Grants to support innovative disability employment projects will total $7.2 million over two years from 2016-17. • Additional $15 million to expand the Incubator Support Initiatives under the Entrepreneurs Programme. • $50 million over two years from 2017-18 to establish a Smart Cities and Suburbs Program which will apply technologies to improve the liveability of cities and their suburbs. Our full overview of the MYEFO is here, and all the relevant treasury documentation can be found at www.budget.gov.au. Stay up to date with all the changes by registering for email alerts on www.grantguru.com.au. It only takes a couple of minutes to ensure that when changes happen that affect you, we’ll notify you so you don’t miss out.