Five-minute budget: what you need to know

Here's the main takeaways.

Petrol price relief is on its way.

The Morrison government has agreed to cut the fuel excise for the next six months to offer motorists some reprieve from sky-high petrol prices.

The decision to halve the excise to 22.1 cents per litre is expected to save a family with two cars who fill up once a week around $700 over the next six months.

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The cut to fuel excise is set to take effect from midnight on Tuesday, but relief at the bowser isn't expected for another fortnight.

Two other measures aimed at easing pressure on Australians struggling under the rising cost of living are included in the budget.

One-off payments of $250 will within weeks land in the pockets of 6 million people, including job seekers, pensioners, carers, veterans, concession card holders and eligible self-funded retirees.

About 10 million people will receive a $420 tax offset after they submit their returns for the 2021-22 financial year.

The one-off boost will mean individuals who are already benefitting from the low to middle income tax offset will receive up to $1500, and couples up to $3000, from July 1.

Small businesses which invest in staff and embrace digital technologies will benefit from Tuesday's budget.

Starting immediately, small businesses will get a $120 tax deduction for every one hundred dollars spent on training their employees.

The same offer applies for businesses who spend on digital technologies, such as cloud computing, e-invoicing, cyber security and web design.

Spending on Defence is set to grow to $38.2 billion next financial year and rise to a massive $44.5 billion in 2025-26.

In a major announcement, this year's budget includes the first tranche of funding for a new 10-year, $9.9 billion program to bolster Australia's offensive and defensive cyber security capabilities.

The so-called REDSPICE program will create 1900 new jobs, doubling the size of the Australian Signals Directorate.

The program is designed to help the agency keep up with the rapid growth in the cyber capabilities of potential adversaries, as well as be able to counter attack and protect the nation's critical infrastructure.

Parents will have full flexibility over paid parental leave under a measure being framed as a win for working women.

Under the $364 million shakeup, Dad and Partner Pay will be rolled into one scheme offering up to 20 weeks which can between shared between eligible working parents as they see fit.

The leave can be taken anytime within the two years of the birth of adoption of a child.

About 180,000 new parents access Paid Parental Leave each year.

In a significant move, the Pharmaceutical Benefits Scheme's safety net thresholds will be lowered, meaning about 2.4 million people will need fewer scripts before reaching the point at which medicines become free or cheaper for the rest of the year.

The budget also includes billions of dollars to continue the fight against COVID-19, including the rollout of vaccines and the purchase of anti-viral treatments, rapid antigen tests and personal protective equipment.

More than half-a-billion dollars has been allocated over the next five years for mental health, including $52.3 million for Lifeline and $46.7 million for suicide prevention.

After last year setting out a five-year, $17.7 billion plan to overhaul aged-care in the wake of the damning royal commission, the government has allocated another $458 million to help the sector through the pandemic.

With Prime Minister Scott Morrison keen to nail down the tradie vote ahead of the upcoming federal election, the Coalition will hand out $5000 payments to new apprentices in priority areas from July 1.

The new incentive scheme comes on top of a $365 million, three-month extension to the government's apprentice wage subsidy program, which has been credited with helping to lift apprentice rates to the highest level since 1963.

The scheme has allowed employers to access a 50 per cent subsidy on the wages of new apprentices and trainees in their first year.

Housing affordability is shaping up as a major election battleground, with the Coalition using Tuesday's budget to make its pitch to Australians fighting to break into the market.

The Coalition will more than double its Home Guarantee Scheme to 50,000 places per year.

The scheme allows single parents to buy a home with a deposit as low as 2 per cent, and first home buyers with a deposit as low as 5 per cent.

The government is also providing another $2 billion for affordable housing through the National Housing Finance and Investment Corporation.

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