The government of Victoria has announced further cost-of-living relief measures, extending free public transport for an additional month and offering half-price fares until the end of the year, while also introducing support for motorists.
As part of a temporary rebate scheme, car registration fees will be reduced by 20 per cent from early next month until July 31. This is expected to save the average driver up to $186 per vehicle.
The rebate will apply to vehicles registered between July 1, 2025 and June 30, 2026. With the standard annual registration fee at $930, eligible motorists will pay $744 for a 12-month period after claiming the full rebate.
Vehicle owners will be able to claim the rebate for up to two vehicles registered in their name, including cars, station wagons, motorcycles, utes, vans, and light trucks. However, the government has yet to provide details on how the rebate can be claimed.
The initiative is estimated to cost the government around $750 million, adding pressure to its budget. Despite this, Premier Jacinta Allan stated that the measure will be accommodated in the upcoming budget, describing it as a one-off effort to ease financial pressure on households.
She noted that while the rebate and transport subsidies will not solve all cost-of-living challenges, they are immediate steps aimed at providing relief.
The opposition has criticised the scheme, arguing that the limited eligibility period may prevent many drivers from benefiting. Opposition spokesperson James Newbury claimed the process could be unnecessarily complicated and suggested the government should provide direct financial assistance instead.
The government had earlier announced the extension of free travel on trains, buses, and trams until the end of May, with half-price fares continuing for the rest of the year due to the fuel crisis linked to the Middle East conflict. This public transport initiative is estimated to cost around $432 million.
Transport Minister Gabrielle Williams said the fare-free travel introduced in April has already led to a 10 per cent increase in public transport usage across Melbourne and regional areas.
Meanwhile, Opposition Leader Jess Wilson criticised the earlier policy, stating that it does not benefit drivers who rely solely on private vehicles.
