Federal Government Drops $3.8 Billion to Fast-Track Melbourne’s Suburban Rail Loop
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08.05.2026
Suburban Rail Loop funding in Melbourne is set to rise by $3.8 billion. The Federal Government is set to provide the further investment. The Albanese Government’s total commitment to the SRL will now reach $6 billion. This is reported by the railway transport news portal Railway Supply.
Photo: Victorian Government. Federal Government Drops $3.8 Billion to Fast-Track Melbourne’s Suburban Rail Loop
Days earlier, Rail Express reported that funding would be cut. The cut concerned extending Inland Rail north of Parkes.
SRL East to receive new federal allocation
The new allocation will support delivery of the first stage of SRL East. Also, that section includes 26 kilometres of twin tunnels between Cheltenham and Box Hill.
“As Melbourne grows, we need more ways for people to travel than on our busy suburban roads,” said federal Transport Minister Catherine King.
“That’s why the Albanese Government is announcing an additional $3.8b investment in the Suburban Rail Loop, so we can connect more corners of Melbourne and prepare our city’s rail network for the next century.”
Still, today’s $3.8 billion announcement falls below the Victorian Government’s hoped-for Commonwealth contribution. Victoria had wanted federal funding to cover one third. The project requires $34.5 billion.