2026/27 Budget pledges $500m for cycling and walking networks

The government has announced it will invest $500 million over 10 years to expand walking and cycling infrastructure nationwide, funding new paths and bikeways aimed at improving safety, reducing congestion and supporting active travel.

The budget announcement builds on the Active Transport Fund investment program rolled out during the Albanese Government’s first term.

That helped fund relatively small but practical local projects like Melbourne’s Kororoit Creek Trail extension, Sydney’s Wilson Street cycleway and regional shared-path connections in places like Castlemaine.

Advocacy body WeRide Australia welcomed the new announcement, saying it reflects strong community demand for better transport options.

“This announcement reflects the strong demand we are seeing from communities across Australia who want to provide more options to move around our increasingly congested cities and towns, while also helping to build a healthier population,” said WeRide Executive Officer Peter Bourke.

The organisation said it hopes the investment will help deliver safer routes for children, families and commuters, and credited years of advocacy and research highlighting the economic and health benefits of cycling.

Beyond improving urban mobility and public health—particularly in congested cities—the investment also reflects a broader policy shift encouraging short trips away from car use, something that’s already occurring due to higher fuel prices.

However, the impact of the investment will depend heavily on how it’s delivered across the country.

Australia has historically struggled with fragmented cycling infrastructure, such as short disconnected paths, painted bike lanes ending abruptly, and inconsistent standards between councils. Whether this commitment improves challenges like these will only be seen in time.

You can see all of the projects by state here.