Pressured media sector boosted by broadcast tax cuts
Australian media outlets, including the country’s independent news channel, will receive an injection of funding from the government to guard against upheavals in the industry.
Tuesday’s federal budget included $6.4 million for funding increases to the ABC, SBS and the Australian Associated Press, as well as planned adjustments to media regulations.
The financing will also support structural changes in the media market.
The Albanian government will also suspend the commercial broadcasting tax for two years in order to provide financial aid to television and radio stations.
The measure would save broadcasters $111.3 million over five years, according to budget documents.
Ahead of the budget, the government outlined changes to the news bargaining incentive, which encourages social media giants such as Google and Meta to strike deals with media companies to use content on their platforms.
If an agreement is reached between companies for content, social media platforms will pay the government only 1.5 percent of their revenues; If no agreement is made, this figure will be higher, such as 2.25 percent.
Funding for ABC and SBS is planned to be increased within the budget.
The government will spend $1.28 billion on the ABC in 2026/27, meaning the national broadcaster will receive a $58.5 million increase on the previous financial year.
The funding will boost Indo-Pacific broadcasting, news and media diversity, and increase production of Australian drama and children’s content.
However, salary and wage increases, as well as extra operating costs, will result in a $46.3 million increase in the broadcaster’s expenses compared to the previous year.
SBS will also receive $367 million for the next financial year; $3 million will be given over three years to extend the podcast series.
AAP will receive $15 million from the federal government to ensure its financial sustainability.
This brings AAP’s total federal funding for the 2026/27 financial year to $26 million.
AAP chief executive Emma Cowdroy said the additional funding would drive news flow into the future.
“At a time when the news media industry worldwide is in a precarious position, AAP’s role in feeding highly factual, accurate, primary source journalism into the information ecosystem is critical,” Ms. Cowdroy said.
