Spending to receive and integrate immigrants is expected to increase by 1⁄4 per cent of
GDP in each of 2016 and 2017.
Spending for child benefits and child tax allowances and
long-term care benefits rises (by 0.2% of GDP).
Government investment spending for
transport infrastructure, broadband networks, energy efficiency, urban renewal, childcare
facilities, universities and other research institutions also increases (by 0.1% of GDP).
The federal government has also made higher transfers to local governments for investment
and plans to create a long-distance road infrastructure corporation, to which it has
assigned the revenues of road use charges.
Under EU rules the fiscal room for the general government is projected to amount to
about 1⁄2 per cent of GDP in 2016. If there is also room under the national rules this could be
used to finance additional short-term spending needs. Chief among these is spending to
receive and integrate immigrants. Further spending priorities include filling remaining
gaps in the provision of early childhood education and care, full-day primary schooling and