General Budget

• What is the Budget 2025–26?

• The Budget 2025–26 shows how we will finance the delivery of our program of work in 2025-26, while we develop the Melbourne 2050 Community Vision and four-year Council Plan 2025–29.

  In accordance with Section 94(1) of the Local Government Act 2020, a Council must prepare and adopt a Budget for each financial year by 30 June.

  The Council must ensure the Budget contains financial statements and other information including capital works, human resources and grants. The Budget must contain the amount the Council intends to raise by general rates, municipal charges, service rates and service charges and whether general rates will be raised by the application of a uniform rate, differential rate or limited differential rate.

  The Budget must include a description of services, major initiatives and initiatives to be funded for the financial year and how they will contribute to achieving Council’s strategic objectives.

  For the services to be funded in the Budget, the draft Budget must also include the prescribed indicators of service performance that must be reported against in the performance statement and the prescribed measures relating to those indicators.

• What’s in the budget for Melburnians?

• Our $732.4 million Budget focuses on keeping the city clean, safe and welcoming for residents, visitors and businesses. We're also planning for the future needs of our growing community, ensuring Melbourne remains a vibrant and admired global capital.

  We’ll build more spaces to bring community together, add more parks and gardens, step up safety and cleaning, provide cost of living relief and continue to deliver the programs, services and events everyone loves.

  This Budget marks an important milestone – the first of the new Council term – and delivers on our commitment to reduce debt and achieve a $150,000 surplus. That’s back-to-back surpluses for the first time in five years.

• Will my rates increase in 2025–26?

• Each year our rates are determined by property valuations conducted by the Victorian Government. This means that rates do change depending on the annual evaluation.

  For 2025-26, the Victorian Government has set the rate cap increase for all councils at 3 per cent.

  To ease cost-of-living pressures, we are proposing to rebate all ratepayers this 3 per cent increase in 2025-26.

• How will Council help ease the pressure on household budgets?

• In 2025–26 residents and ratepayers will:

  • receive a full rebate on the 3 per cent rate rise
  • receive 3 per cent discount on their residential waste charge, with the fee lowered for a second year
  • get $2 pool entry at selected pools in summer on weekdays
  • get free pet registrations for 12 months
  • have access to new, free fitness classes
  • have access to 600 free swimming courses at selected pools
  • for the eighth consecutive year, there will be no increases to on-street parking fees in the city
  • food relief programs will receive a funding boost.
• What does the rates rebate mean?

• We know cost-of-living pressures are affecting many property owners. To help ease this burden, all City of Melbourne ratepayers will receive a 3 per cent discount on their residential or commercial rate charge. There’s no need to apply – the discount will be automatically applied and reflected in your rates notice.

• What does a surplus mean?

• Council’s surplus is what’s leftover after we spend on our day-to-day operations – like waste collection and community programs. We have a small surplus this year, which means we’re keeping some cash in the bank to be financially responsible, while continuing to provide the things our community needs now. A strong balance of incoming revenue and spending means we can plan for the future while delivering what people need now.

• Why can’t I see some of the projects Council committed to in previous budgets in this budget?

• It’s common for projects to rollover into new financial years. We are continuing work to deliver projects that formed part of our previous year’s budget. While they’re not mentioned specifically in our budget book, we are carrying forward funding for these projects.

Infrastructure

• What is planned for the North Melbourne Community Hub?

• We're investing $40 million over the next four years to develop the North Melbourne Community Hub – a much anticipated new venue for the community on Melrose Street, North Melbourne.

• What infrastructure projects will you deliver in the next 12 months?

• We are continuing to build and upgrade community facilities and deliver new open space to meet the needs of our growing population.

  This year, we will invest $5.3 million to build a bigger, modern library at the Boyd Community Hub in Southbank and $2.2 million to begin transforming Southbank's Northern Undercroft into an exciting new outdoor space for locals to enjoy.

  We're investing $40 million over the next four years to develop the North Melbourne Community Hub – a much anticipated new venue for the community on Melrose Street, North Melbourne.

  We’re completing the first stage of the Greenline Project, transforming Birrarung Marr by the end of 2025 – with 450 metres of boardwalks and promenades, new greening and shady spots to sit by the river.

  Renewing and restoring our beloved Queen Victoria Market precinct remains a top priority. The Queens Food Hall is now open, and we have recently upgraded facilities and restored the iconic Trader Sheds. This year, we’re allocating $35 million to continue the renewal of this world-class precinct.

• What is the Little India proposal?

• This budget includes funding to scope a Little India precinct, similar to established food and culture precincts like Chinatown, Koreatown and our Greek precinct, which are popular places for locals and tourist to eat out and visit.

• How much is being invested into footpath upgrades and renewals?

• This year we’re allocating more than $13.6 million to renew and upgrade our footpaths and roads.

  This work includes undertaking important work to convert asphalt footpaths into bluestone, as well as ongoing maintenance and repair.

• How much is being spent on road renewal?

• $5.5 million will be spent undertaking road renewal across the municipality, alongside an additional $750,000 from the Federal Government’s Roads to Recovery Program.

Bike lanes

• How much bike lane funding is allocated for 2025–26?

• Council will invest almost $3 million in new or upgraded bike lane infrastructure in 2025–26. This includes $1.7 million in the City of Melbourne Budget, an additional $200,000 on top of the draft Budget allocation, and the remainder in grants and carry forward funding.

• How does bike lane funding compare to last year?

• In 2025–26, Council will invest around $3 million in bike lane infrastructure, which is about the same as we spent last year.

  When preparing the previous budget for 2024–25, Council also forecasted spending of $3 million on bike lanes in 2025–26.

• Will Council’s bike lane investment help us reach transport strategy targets?

• In April 2024, Council endorsed a revised program of bike lane delivery for the next four years – with a focus on delivering bike lanes in the right places, and at the right times.

  As a result, transport program beyond 2026–27 will be the subject of future Annual Planning and Budget processes. This shifted the timing set out in the Transport Strategy 2030, allowing for flexibility when needed.

  Since 2020, Council has delivered around 24km of bike lanes on Council roads towards a 2030 target of 50km. The Victorian Government has delivered a further 6km.

• What bike lane projects is Council working on in 2025–26?

• Our bike lanes program aims to strategically schedule our works around city-shaping transport projects like the Metro Tunnel to keep the city moving. Timing will be informed by our new transport model and external approvals.

  In 2025-26, we plan to progress or complete projects at:

  • Exhibition Street upgrades from Flinders Street to Little Lonsdale Street
  • Exhibition Street from Little Lonsdale Street to La Trobe Street
  • Macaulay Road from Eastwood Street to Stubbs Street
  • Macaulay Road from Stubbs Street to Boundary Road
  • Queensberry Street from Peel Street to Rathdowne Street
  • Rathdowne Street intersections at Queensberry, Grattan and Elgin streets
  • Swanston Street intersections at Queensberry and Grattan Street
  • St Kilda Road from Southbank Boulevard to Princes Bridge

  Find out more about upcoming and completed bike lane projects.

• How many kilometres of new bike lanes will you deliver this year?

• Council’s planned program of works would deliver around 2km of new bike lanes in 2025–26 – bringing us to a total of 25.7km delivered by Council since 2020.

• What bike lane projects have you delivered recently?

• Last year we put the finishing touches on the Grattan Street bike lanes – which connected to the recently opened lanes outside Parkville Station.

  We’re nearing the completion of the Arden Street bike lane, which is scheduled to be completed in the coming months.

  We also delivered a smaller bike lane connection along Ireland Street in West melbourne – which creates a safe link for cyclists coming off the new cycling path delivered by the West Gate Tunnel project.

  We have consulted our community about designs for both Macaulay Road and Queensberry Street, and are progressing planning work for both these projects.

  Find out more about completed and upcoming bike lane projects.

• Will road lanes or car parking be impacted by new bike lane projects?

• The rollout of bike lanes across the City of Melbourne has minimal impact on roads and parking, with less than one per cent of road space dedicated to protected bike lanes. Additionally, research overwhelmingly shows that protected bike lanes improve safety for all road users.

Transport and Amenity Program

• Are any projects progressing from the Transport and Amenity Program?

• The Transport and Amenity Program is a joint initiative between the City of Melbourne and Victorian Government, funding upgrades designed to both ease the impacts and maximise the benefits of the West Gate Tunnel project for our city. 

  As part of our draft Budget 2025–26, we have committed $8.5 million towards TAP initiatives – including streetscape upgrade at Franklin Street and a new linear park along Hawke Street.

  To date, more than $10 million has been spent on TAP, delivering:

  • William Street tram improvement works
  • Peel Street corridor study (Dudley St Intersection) – Phase 2
  • La Trobe Street protected cycle lanes – Stage 1
  • Abbotsford Street protected cycle lanes
  • Provost and Little Provost Streets – streetscape upgrades
  • Peel Street Corridor protected cycle lanes (Section 3)
• When will the Hawke Street Linear Park project begin?

• We expect to start construction this year, giving us extra time to help address some of the complexities posed by underground services in the area.

  Council has committed $6.5 million to the project in the 2025-26 Budget, in line with the funding arrangement with the Victorian Government.

  You can stay up to date on the project by following the Hawke Street Linear Park page.

Safety

• How will you improve safety across the city?

• This Budget marks Council’s biggest investment in safety, with an extra $4.5 million in new initiatives.

  We will put a new team of Community Safety Officers on the streets, upgrade and expand the Safe City Camera Program with more than 100 new CCTV cameras, and improve street and laneway lighting.

• When will Community Safety Officers be on the streets?

• The Budget was adopted 30 June, giving the green light to begin establishing a new team of Community Safety Officers. Once recruitment and training is complete later this year, we’ll have officers on city streets.

• Where will the new Safe City cameras be installed?

• We will expand our Safe City Camera Program into the areas where it’s needed most – guided by community feedback and in partnership with Victoria Police.

• Where will the new lighting be installed?

• The city’s busiest and dimly lit areas will be lit up as part of our proposed ‘Light up Melbourne’ project, including:

  • Swanston Street
  • Bourke Hill
  • Rothsay Lane
  • Hardware Lane
  • Plane Tree Way
  • Mathews Mews
  • Baulder Stone Walk
  • Collins Street bridge

Waste and cleaning

• How much is Council spending to clean up city streets and remove graffiti?

• Our Clean Team will remove hundreds of thousands of illegal graffiti tags from the public realm this year through 24/7 patrols and partnerships. Our Budget invests $59.8 million in street cleaning, rubbish collection, graffiti removal, and waste management. This includes $21.2 million for street cleaning, almost $3 million for graffiti removal, and a further $1.3 million to reduce bin clutter in laneways by providing businesses with better waste options.

• What is in the Budget for graffiti removal?

• We'll spend $2.8 million on graffiti cleaning – up by 8 per cent. This will mean our clean team can achieve even more with their 24/7 graffiti removal in the coming year.

• Why are you changing commercial waste permits for businesses? 

• More than 1,000 rubbish trucks from 60 different companies enter the city every day, creating traffic and noise, public spaces are being used to hundreds of bins.

  We’re helping businesses use better alternatives like taking rubbish to our waste compactors, and making adjustments to store bins on their premises.

  To encourage businesses to take measures like these that reduce waste truck volumes and clear our laneways of bins, we’re introducing fees for permits to store bins in public spaces and for waste trucks entering the city.
  
  Businesses can read more about the proposed changes to commercial waste and recycling.

• What are the changes to commercial waste permits for businesses?

• We currently provide commercial waste bin and collection permits for free. These have been the only free permits we offer. Commercial waste and recycling management costs Council $6 million per year – with only $1 million being recovered. This is unsustainable.

  To support a cleaner and safer city, we will introduce fees for these permits:

  • Business permits for permanently storing bins in public spaces like laneways.
  • Waste collection company permits for each truck coming into the CBD.

  Council will continue to engage with industry stakeholders regarding the implementation of commercial waste collector permits, with a further decision to be made by council on how they will be implemented later this year.

  Businesses can read more about the changes to commercial waste and recycling.

Parks and gardens

• How many parks and open space projects are you delivering?

• We’re taking Melbourne’s green spaces to the next level – delivering six new open spaces and progressing designs for 10 more in 2025–26.

  We’ll invest $44.3 million in new funding to create more open space and improve our parks, gardens and streetscapes.

  We’ll also bring forward funding to complete a range of projects, including delivering much-needed open space in Southbank – upgrading the ACCA forecourt and continuing the transformation of Southbank Boulevard and Southbank Promenade.

Greenline Project

• What is the funding for Greenline in 2025–26?

• We have $18 million in the 2025-26 Budget – $7.75 million from Council and $10.25 million the Federal Government – to complete the Birrarung Marr section of the Greenline Project.

  This will deliver 450 metres of new boardwalks, promenades and open spaces along the northbank of the river.

• What about future stages of the Greenline Project?

• The Greenline Project is a partnership project, additional budget for future stages will be determined as we secure more funding from other levels of government and commercial stakeholders.

  The work done on the award-winning master plan means we can pick up the project at any point, and we’ll continue to advocate for transforming more of the Yarra River Birrarung north bank.

  Works are already underway on the Birrarung Marr section in partnership between Council and the Federal Government, and on the Collins Wharf section in partnership with Lendlease. Meanwhile the Seafarers Rest section has been delivered in partnership with the Victorian Government, Riverlee and Oculus.

  Council will continue to coordinate with a range of Victorian Government departments and agencies, stakeholders and private entities to further develop the project, advance planning for improvements, and secure partnerships and funding to enable delivery of the Greenline Project.

Public transport

• What are you doing for public transport?

• The Department of Transport and Planning manages Victoria's transport network, including the cost of public transport fares. In the central city, free journeys are currently offered to all commuters on trams within the Free Tram Zone.

  City of Melbourne continues to plan for and work with the Victorian Government to deliver an efficient and accessible transport network that makes it easy to get around Melbourne. The Transport Strategy 2030 supports changes to fares which encourage more people to use public transport.

Affordable housing

• What are you doing to build more homes and reduce homelessness?

• Like many global cities, Melbourne is grappling with a severe housing and homelessness crisis. Council has endorsed two key strategies to tackle these issues, the Affordable Housing Strategy (2020) and the Homelessness Strategy (2024).

  Our landmark Make Room facility also opened earlier this year and is now fully tenanted providing secure supportive housing for 50 people experiencing rough sleeping or chronic homelessness in the City of Melbourne for up to 12 months or until they can secure access to long-term housing.

  This is the first initiative of its kind delivered by any Council in Australia. A suite of health and social services have been established and is fully operational. On-site health services include nursing, mental health support, dentistry, podiatry, physiotherapy and dietetics.

  We will be also delivering affordable housing across several Council-owned sites, including:

  • Southern Development Site Queen Victoria Market precinct
  • Victoria Street, West Melbourne

  We will continue to provide services and programs to support people who are experiencing homelessness through:

  • A service co-ordination program which brings together 17 government and non-profit agencies across homelessness, health, housing, and justice to deliver more effective, timely, and sustained outcomes for people experiencing homelessness —such stable housing, improved wellbeing, and reduced demand on crisis services.
  • Leasing of land for Central City Community Health Service operated from Drill Hall and the Ngwala Willumbong Aboriginal Homelessness entry point on Bourke Street.
  • A women’s homelessness prevention program
  • Training and information for local businesses, residents, and council staff to engage compassionately and appropriately with people experiencing homelessness.

Arts and events

• What’s in the budget for events?

• In 2025–26, we will deliver more than 65 events, including major blockbusters like Moomba, Firelight Festival and Now or Never, and we’re also backing the Melbourne International Comedy Festival. We’re working to make sure our events program is working harder than ever to entertain Melburnians and boost business.

• What are you doing for the creative sector?

• We’re continuing to invest in our creative sector, making Melbourne the destination of choice for emerging talent. To support our vibrant arts sector, we’re investing more in local arts grants for Melbourne-based artists and boost public art with a Southbank Major Public Art Commission and Stolen Generations Marker. We’ll also support temporary works such as Photo Festival, Test Sites program and the Hero Building Commission.