Treasurer Jim Chalmers has unveiled the Labor Government’s 2025-26 Federal Budget just days ahead of this year’s Federal election. With the election fast approaching and all proposed measures still needing legislative approval, it’s unlikely any changes will take effect until the new Parliament is sworn in.

This year’s budget introduces several key changes affecting family law, with a particular focus on improving access to legal services, such as major funding boosts for community legal centres, and enhancing support for victims of family and domestic violence. The budget also includes provisions aimed at stabilising the courts and legal system, increasing childcare subsidies, and investing in women’s health, all of which will have a direct impact on families navigating legal challenges.

Community legal centres

For victim-survivors of family and domestic violence, the budget addresses community legal services with major funding boosts nation-wide. Last year, the national cabinet committed $833 million over the next five years for women’s and family violence legal services, the largest funding boost to the legal assistance sector in two decades. Additionally, the Law Council of Australia called for further investments to address ongoing shortfalls in the legal assistance sector and improve access to justice for people in regional and rural areas. 

Courts and legal system

The budget forecasts expenses for courts and legal services to remain “relatively stable”, with a slight increase in funding for the Administrative Review Tribunal (ART) and migration-related matters. The ART, which replaced the former Administrative Appeals Tribunal last year, received a $1 billion commitment over five years to address backlogs and support its launch. An additional $21.4 million over three years has been funded to improve victim-survivor’s engagement with the justice system. In its pre-budget submission, the Law Council requested funding to establish a Federal Judicial Commission, as well as additional funding for the Australian Legal Information Institute, but were overlooked.

Domestic and family violence victims

The 2025-26 budget additionally increases its investments to end gender-based violence, with investments now totalling $4 billion since 2022. This is in addition to the $3.9 billion funded to establish the new National Access to Justice Partnership. Another $1 billion has been committed to the national Housing Infrastructure Facility to support crisis and transitional accommodation for victim-survivors of family and domestic violence.

To enhance and expand services to support victim-survivors of child sexual abuse and those at risk of harmful sexual behaviours, the government has allocated a further $12.8 million over five years for a targeted grants program, and $6.8 million over three years to assist longer-term support for children of separated families affected by family violence. The government has also committed to supporting the recruitment of 500 new workers in the community family and domestic violence sector. 

Subsidisation of childcare

The current “activity test” for subsidised care will be replaced with three days of subsidised care available to all families earning less than $533,000 per year, broadening access to childcare subsidies. Under the existing framework, parents would need to work, study or seek employment for at least 16 hours each fortnight to receive childcare subsidies. The measure, a Labor commitment, was passed through parliament earlier this year and will commence in January 2026.

Women’s Health

The government announced 11 new endometriosis and pelvic pain clinics across Australia as part of their 2025-26 federal budget. As one of the government’s women’s health initiatives, Treasurer Jim Chalmers described it as a “national priority” in his delivery of the budget. The government unveiled its commitment to invest $793 million in women’s health over the next five years, which will offer earlier access to endometriosis support, cheaper contraceptive options and menopausal therapies.

Nicholes Family Lawyers has a wealth of experience in advising on all family law matters including childcare, family and domestic violence, surrogacy, divorce, property settlement and parenting matters. If you or anyone you know is seeking advice, please do not hesitate to contact us at 03 9670 4122 and we can arrange an initial consultation to offer assistance.