Victoria slashes car rego and fares as Trump’s Iran war hits Aussie household budgets

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Victorian motorists and public transport users will begin receiving major cost-of-living relief from June 1, with the state government introducing a 20 per cent vehicle registration rebate and half-price public transport fares.

Premier Jacinta Allan said the measures were intended to provide immediate financial relief for Victorians facing economic pressures.

“As Premier, I’m determined to do everything I can to help Victorians who are under pressure.”

Announcing the measures, Premier Allan said the package was designed to help families cope with rising household expenses and higher fuel costs.

Under the registration rebate scheme, eligible motorists can receive up to $186 back on a single vehicle registration, while households with two registered vehicles can claim up to $372.

The rebate applies to light vehicles for personal use, including cars, utes and motorcycles, where registration was paid between July 1, 2025, and June 30, 2026. Eligible vehicle owners can claim rebates through the Service Victoria platform until July 31, 2026.

At the same time, public transport fares across Victoria will be cut in half until the end of the year. A full daily fare will fall from $11.40 to $5.70, regardless of travel distance within the state.

The government estimates regular commuters could save more than $850 by January 1, 2027.

Children under 18 and existing concession pass holders will continue to travel free under existing arrangements.

Roads and Road Safety Minister Ros Spence said the rebate recognised the financial strain facing motorists, while Government Services Minister Ingrid Stitt described the initiative as a practical way to make life more affordable.

The rebates and fare reductions come as governments across Australia seek ways to ease household cost pressures amid ongoing global economic uncertainty and elevated fuel prices.

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