Bulk billing, housing at centre of must-haves budget [Video]

The run of red will continue, with a $2.5 billion deficit expected in 2025–26, $2.4 billion in 2026–27 and $1.5 billion in 2027–28.

Mookhey said NSW would have returned to surplus in 2025/26 had it not been for a Commonwealth Grants Commission decision, which will leave the budget $11.9 billion worse off over four years because of the method used to distribute the GST between the states.

However, despite the GST hit, the budget papers also reveal the state government will have almost $11 billion more to spend over the next four years than was forecast in December. This is due to an increase in revenue forecast from stamp duty and land tax.

NSW Labor has identified housing as its No.1 priority amid a chronic lack of supply, including in social homes, with the total number in NSW declining by 365 over the past 10 years.

At the same time, …