Australian Treasurer Scott Morrison Prepares to Deliver Budget on Tuesday

Australian Treasurer Scott Morrison is set to announce the budget on Tuesday, which will be a prelude to an election campaign.

Small tax cuts and spending on health, infrastructure and education are likely to be part of Tuesday’s Budget.

The cost of these will likely be offset by pension changes and closing tax loopholes for multinational companies.

The opposition Labour party says the reforms – also believed to include a hike in tobacco prices and pension concessions for the wealthy – are too modest and favour the rich. It has been piling on the pressure with a raft of populist policy suggestions, say analysts.

The budget is expected to form the backbone of the Liberal coalition’s manifesto for an election.

Prime Minister Malcolm Turnbull has said he will dissolve both houses of parliament after the budget and call an election by 11 May. Australia will almost certainly go to the polls on 2 July.