The Abbott Government has reversed its decision on around $1 billion in road funding, announcing that it will proceed with the projects the day before a budget update is expected to show this year's deficit will blow out to nearly $50 billion.
The latest budget figures and revenue forecasts will be unveiled in the Mid-Year Economic and Fiscal Outlook (MYEFO) tomorrow.
The dire budget talk comes as the Coalition marks its first 100 days in office, with some frustration at its inability to have key laws passed by the Senate.
Sheeting home the blame to the previous government, Prime Minister Tony Abbott says the budget update will show the "full extent of Labor's profligacy".
View the full story
Was the mining tax to pay for any rail upgrades or simply roads?