Tomorrow's budget will see $500 million towards the upgrade of the Princes Highway between Jervis Bay Road and Sussex Inlet Road, including the Jervis Bay Road Intersection.

Prime Minister Scott Morrison has revealed $400 million will be allocated for stage one of the $500 million Princes Highway upgrade from Jervis Bay Road to Sussex Inlet Road.

A further $100 million will also be available for the Jervis Bay Road Intersection upgrade, a project valued at $125 million.

These funds will meet existing commitments from the state government for both projects, providing a much needed boost for regional transport networks that the Illawarra business community has long campaigned for.

Read more:

A further $19 million of additional funding will also be announced for the Far North Collector Road Network, connecting Moss Vale Road at Cambewarra to West Cambewarra Road at North Nowra. A project now valued at $32.8 million.

To the north $240 million has been allocated for the Mount Ousley Interchange near Wollongong, while to the south, $400,000 of additional funding has been allocated for the Eurobodalla Roads Upgrade Package.

NSW Senator Jim Molan said these projects will make local roads safer, reduce travel times and support thousands of jobs across the state.

"The government's record funding commitment is creating jobs, boosting business investment, while securing Australia's COVID recovery," he said.

"This investment has improved safety and enhanced transport efficiency in Gilmore and budget builds on this record of delivery."

Senator Molan said the budget continues the government's agenda to improve high-priority roads, essential to the movement of people and freight to support the region's economic development.

"These types of large-scale infrastructure projects will be particularly crucial for helping us bounce back after COVID-19 by ensuring we have the safe transport connections needed for all of Australia to keep moving," Senator Molan said.