Interstate stadium race heats up as Victoria holds position

Victoria’s State Budget responds to increasing investment from New South Wales and Queensland in new stadiums and major events infrastructure, but stops short of committing to similar large-scale builds, according to BDO's Project and Infrastructure Advisory Partner, Katie McNamara.

After two lean budget cycles, there is a noticeable uplift in funding for the sector, providing some relief to organisations that have delayed essential maintenance and faced increasing operational pressures.

However, Katie said aside from a modest boost to cultural infrastructure maintenance, there is no significant new capital investment in sports, arts, tourism or cultural facilities.

“While interstate governments continue to invest heavily in new venues and major projects, Victoria’s approach is focused on maintaining and activating existing assets rather than expanding infrastructure.

“This reflects a broader shift from building new projects to maximising what has already been delivered,” she said.

“This strategy is underpinned by earlier investments, which secured long-term hosting rights for major events including Formula 1, the Australian Open and the AFL Grand Final.

“These agreements ensure Victoria retains a strong position in the national events market, even as competition intensifies.”

A key area of investment in this Budget is approximately $90 million of funding allocated to major sporting trusts including the State Sporting Trust and Kardinia Park.

“These facilities have demonstrated strong economic and social returns and remain central to Victoria’s sporting and events ecosystem,” said Katie.

At the community level, the Budget places a clear emphasis on participation and access. The return of $200 Get Active Kid vouchers, alongside a $25 million investment in grassroots sport, is aimed at addressing cost-of-living pressures and increasing involvement across the state, particularly for women and girls, multicultural communities, people with disability and regional Victorians.

Overall, the Budget signals a measured response to growing interstate competition, prioritising asset maintenance, participation and activation over new large-scale developments.
 

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