The Victorian Government will deliver a 20 per cent rebate on vehicle registration as part of its 2026–27 budget, aiming to ease cost-of-living pressures linked to rising fuel prices.
Premier Jacinta Allan said global instability, including ongoing conflict in the Middle East, had contributed to higher petrol costs, placing added strain on households.
Under the scheme, eligible motorists will receive up to $186 back on a single vehicle, based on current registration fees of up to $930.70. Families with two cars could receive up to $372.
The rebate will be available for light vehicles used for personal purposes, including cars and utes under 4.5 tonnes. Vehicle owners will be able to claim for up to two vehicles registered in their name.
Applications will open on June 1 through Service Victoria and close on July 31, with the refund covering 20 per cent of registration payments made in the 2025–26 financial year.
The initiative is expected to cost around $750 million in foregone revenue and is framed as a one-off measure while the state maintains a budget surplus. “As Premier, I’m determined to use government to help Victorians who are under pressure,” Ms Allan said.
“Like cheaper public transport, this won’t fix everything, but it’s immediate action I can take to make a difference.”
The rebate follows earlier measures introduced by the government, including free and discounted public transport fares.
Minister for Government Services Ingrid Stitt said the rebate process would be straightforward, while Roads and Road Safety Minister Ros Spence said the measure would provide direct financial relief to motorists.
Cost of Living Minister Paul Edbrooke said the government was focused on reducing everyday expenses for households.
The rebate is part of a broader budget strategy aimed at supporting families amid ongoing economic pressures.
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