Industry pundits across retail and technology have welcomed the Australian Federal Budget for 2024-25 and its particular focus on easing cost-of-living pressures as well as digital and cyber investments - even though several were hoping for more action.

The top-line investments in this year's Budget include a raft of cost-of-living packages, investing in a 'Future Made in Australia' and clean energy capability, strengthening public finances and elevating digital and technology capabilities.

With an emphasis on the hip pocket and an eye on inflation, this year's Federal budget includes the pre-announced tax cuts for all taxpayers, along with a new $300 energy rebate offering for all households, plus $325 rebates for eligible small businesses.

The budget also includes an increase in the maximum rate of Commonwealth Rent Assistance by 10%, a cut of $3 billion in student debt for over three million Australians, and cheaper medicines through a new Community Pharmacy Agreement. Measures to strengthen Medicare and the care economy are in there too, with 29 more Medicare Urgent Care Clinics, free access to mental health care for more Australians, and an additional 24,100 home care packages.

In addition, there's $1 billion investment to build more homes for Australians, including social and affordable housing, and increased housing for students. A $22.7 billion investment over a decade is planned to build a stronger and more resilient economy powered by clean energy.

The Australian Retailers Association (ARA) welcomed the measures to address the cost-of-living crisis but joined a chorus of voicing expressing concerns about the support for small businesses.

"We welcome measures that provide cost-of-living relief and boost confidence during these challenging times, which will have a flow on impact on the retail. However, whilst the cost-of-living measures, as well as the Stage Three Tax Cuts, will provide some relief, we recognise little will shift for Australian households until interest rates ease," said Paul Zahra, ARA CEO.

There was also plenty of thumbs up coming from the tech and innovation sectors for the focus on digital capability and protection. The Tech Council of Australia (TCA) for instance, has welcomed the budget's initiatives to boost investment in innovative industries, improve the tech workforce pipeline, and accelerate the digital transformation of government.

Digital ID, tech investment

As part of the Budget, the Government is strengthening the nation’s cybersecurity defences, including a $288M allocation to strengthen the capabilities of Australia’s Digital ID program.

"Australia's tech sector is vital to the future of our economy and job creation, which is why we're pleased to see some important new investments announced in this Budget," said Ryan Black, Tech Council Acting CEO.

"The long-term commitments made in this budget reflect the reality that securing our nation’s information assets is an ongoing program and not a one-off project. With online fraud and identity theft a major issue for every citizen, the commitment to a Digital ID will boost protection for consumers and make it harder for criminals to commit identity-based crimes," AUSCERT General Manager, Dr Ivano Bongiovanni, said.

Co-Founder and CEO, Secure Code Warrior, Pieter Danhieux, also saw the proposed Digital ID rollout is - if executed well - as a potent measure for curbing the impact of online fraud and identity theft.

"However, this is a largely reactive component of Australia's ongoing cybersecurity strategy, and I fear that we are placing too little funding on proactive, preventative security measures," he said. "The recent ClubsNSW breach showed that there is much work to be done in securing the software supply chain of many enterprises, not to mention a key need for education on how software vendors, enterprises and government departments manage and maintain PII as part of their operations. At the moment, those at the coalface of software development and data management - mainly software engineers - need serious upskilling in areas such as access control, configuration, and safe application of APIs. Without this key knowledge becoming standard, data breaches will continue with the same ease we have now, and Australia must commit to do better."

ShopFully Country Manager for Australia Brendan Straw was also pleased to see the consumer focus in the Budget.

"It's fantastic to see the Australian Federal Budget recognising the urgent need to address cost-of-living pressures while simultaneously investing in a brighter tomorrow, all within the framework of a resilient economy," he said. "This approach, emphasising responsible economic management, looks to not only provide relief to those feeling the pinch today but lay the groundwork for sustained prosperity in the future. By easing cost-of-living burdens, facilitating affordable housing, and fostering opportunities within a 'Future Made in Australia,' this budget seeks to provide a thoughtful response to both present challenges and future aspirations."

Another notable overall headline from yesterday's budget is a second surplus forecast in 2023-24, which would be the first time a government has delivered back-to-back surpluses in nearly two decades. Yet it's a shortlived one, with deficits expected to return from next year.