What the Victorian State Budget means for sport: Steady investment, shifting focus

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The 2026–27 Victorian State Budget includes increased funding for sports infrastructure and participation - a welcome development for the sector, compared with budgets in the last couple of years. It reinforces the role of sport beyond major venues and events, particularly through community participation, access and inclusion.

At the same time, the Budget reflects a new approach to supporting sport in Victoria, with the state’s position as Australia’s sporting capital increasingly reliant on maximising existing assets in increasingly competitive national landscape.

Where sports funding is going

Funding is directed towards maintaining key assets and supporting participation, rather than expanding the overall footprint.

Key allocations include:

  • $25 million to support participation in community sport
  • Around $90 million for the State Sporting Centres Trust and Kardinia Park
  • An additional $4.2 million for cultural infrastructure maintenance, building on $14.5 million committed last year.

Together, these measures support both the continued use of venues and increased participation across the state.

Notably, there is no major new capital allocation for new stadiums, arenas or large-scale cultural or tourism infrastructure.

Maximising existing assets in a more competitive landscape

Victoria has done much of the heavy lifting over the past few decades, investing in major venues and securing long-term agreements for key sporting events such as the Formula One Grand Prix, the Australian Open and the AFL Grand Final. This investment continues to underpin the state’s position as a leading sport and entertainment destination.

At the same time, the national landscape continues to evolve. Preparations for the 2032 Olympics in Brisbane, Queensland are driving a significant uplift in new venues and renewed energy across the events pipeline, with multiple facilities expected to compete for major events over the next decade.

While Victoria is no longer outspending other states, existing infrastructure and long-term event agreements provide a strong base. Over time, however, differences in investment approach may shape where major events are hosted and how states compete for new opportunities.

A focus on community participation and access

The Victorian Budget includes new investment at the community level, including:

  • $25 million to support increased participation in community sport
  • The return of Get Active Kids vouchers.

There is also a strong emphasis on improving access for women and girls, multicultural communities, people with disabilities and those living in regional areas.

This year’s is improving access, participation and inclusion. More broadly, this reflects the sector-wide approach to measuring value through participation, economic and social outcomes, not just major events.

Backing established venues

The funding for the State Sporting Centres Trust and Kardinia Park highlights a focus on infrastructure that already provides strong utilisation and returns. These venues host regular events including AFL games and make significant economic and social contributions to Victoria.

Directing funding toward these assets aligns with the broader theme of the Budget - targeted investment with clear benefit.

A steady approach with long-term considerations

Taken together, the sports-related measures in this year’s Budget reflect a considered approach. There is increased funding flowing into the sector, with a focus on maintaining and activating existing infrastructure alongside continued support for community participation.

However, there is less emphasis on new large-scale developments or expanding the overall footprint. Over time, the challenge will be how Victoria balances its strong existing base with increased investment and competition from other states.

How BDO can help

If you’re planning, funding or delivering sports and infrastructure projects, BDO’s project & infrastructure advisory sports & entertainment team can support you to prioritise investment, assess value and deliver outcomes that strengthen both communities and competitiveness.

Key takeaways

The Victorian State Budget increases funding for sport with a focus on participation
  • The 2026–27 Budget includes increased investment in community sport participation and the maintenance of key sporting assets. This marks a shift from recent budgets and reinforces sport’s role in supporting access, inclusion and community outcomes.
Funding prioritises existing venues over new major developments
  • Investment is directed toward established infrastructure such as State Sporting Centres and Kardinia Park, with no major new funding for large‑scale stadium or arena projects. This reflects a strategy focused on maximising utilisation and value from existing assets rather than expanding the footprint.
Community access and inclusion are central to the funding approach
  • The Budget places strong emphasis on increasing participation, including support for women and girls, multicultural communities, people with disabilities and regional Victorians. This signals a broader approach to measuring value through social, participation and economic outcomes, not just major events.

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