Auto industry welcomes wins, calls out missed support in Victorian Budget
5 May 2026
Melbourne, VIC – The Victorian Automotive Chamber of Commerce (VACC) has welcomed key measures in today’s Victorian Budget, including investment in skills, regional training and road maintenance, but says critical gaps remain in direct support for the automotive businesses that keep Victorians moving.
VACC CEO Peter Jones said the Budget delivers some important wins for consumers and the future workforce but falls short in addressing the rising cost pressures facing automotive operators.
“There are some positive steps in this Budget, particularly investment in skills, regional training and road maintenance, all of which will benefit our members and the communities they serve,” Mr Jones said.
A $459 million investment in skills and training, including subsidised training places and upgrades to TAFE facilities, was highlighted as a strong signal for the future of the industry.
“Investment in training, particularly in emerging technologies like electric and hydrogen vehicles, is critical to ensuring our workforce is equipped for the future,” Mr Jones said.
“The focus on regional delivery, including upgrades at Wodonga TAFE, is especially important for ensuring technicians outside metropolitan areas are not left behind.”
The VACC also welcomed the Government’s record $1 billion investment in road maintenance, noting the benefits for regional businesses and transport reliability.
“Better roads mean safer, more efficient travel for all Victorians, and that’s good for our members, particularly those operating in regional and rural areas,” Mr Jones said.
The expansion of small business support programs, including the Small Business Activation Fund, and measures to improve access to government procurement were also seen as positive steps, provided automotive businesses can meaningfully access these opportunities.
“There is real potential in these programs, but it’s critical that automotive businesses are able to participate in a practical and accessible way,” Mr Jones said.
However, the VACC said the Budget missed a key opportunity to provide direct relief to small automotive businesses grappling with rising costs.
“While this Budget supports motorists, it does little to support the businesses that keep them on the road,” Mr Jones said.
“Automotive operators are continuing to face significant pressures from fuel costs, energy prices, wages and regulatory burden, and there is little in this Budget that directly addresses those challenges.”
The VACC also urged the Government to work closely with industry on the implementation of its Fair Fuel Plan, including improvements to the Service Victoria fuel comparison app.
“Transparency for consumers is important, but it must be accurate and developed in consultation with industry,” Mr Jones said.
“We’ve raised concerns about the current system, and this funding must be used to deliver meaningful improvements.”
VACC said it will continue to work with Government to ensure the needs of Victoria’s automotive industry, which employs tens of thousands of people across metropolitan and regional areas, are recognised and supported.
“Our industry is essential to the daily lives of Victorians and the functioning of the economy,” Mr Jones said.
“We stand ready to work with Government to ensure future measures better support the businesses that keep Victoria moving.”
ENDS
Media contact:
Andrew Molloy
Manager Marketing, Media, Communications & Publications
P. 03 9829 1248 | M. 0457 188 375 | E. [email protected] | W. vacc.com.au
Karla Leach
Executive Manager, Marketing and Communications
P. 03 9829 1247 | M. 0429 334 832 | E. [email protected] | W. vacc.com.au
About VACC
Founded in 1918, the Victorian Automotive Chamber of Commerce (VACC) represents over 5000 businesses in Victoria and Tasmania who employ more than 50,000 people. Member businesses range from new and used vehicle dealers, repairers, vehicle servicing, parts and component wholesale/retail and distribution and aftermarket manufacture, tyre dealers and automotive dismantlers and recyclers.
VACC develops the future workforce, employing 560 apprentices and trainees through its group apprenticeship scheme, and maintains memberships with the Motor Trades Association of Australia and Australian Chamber of Commerce and Industry and contributes to the national policy debate through these leading industry associations.