South Australia is reducing its Emergency Services Levy.

The state’s new Liberal government has fulfilled an election promise that it says will save the average Adelaide household $145 per year from July.

The Government will spend $360 million over four years reducing the tax.

“Emergency Services Levy relief is in place from July 1,” Premier Steven Marshall said.

“We want more money in the pockets of South Australians so they can spend it the way they choose to spend it, hopefully in our economy, creating jobs and keeping our young people here in South Australia.”

Levy bills shot up when the previous Labor Government a long-standing discount in 2014.

The levy is based on property values, and under the new system will see properties worth more than $400,000 experience bill reductions of more than 50 per cent.

The percentage reductions are smaller for lower value properties, so the bill for a $300,000 home will fall by $90 to $99, a saving of 47 per cent.

The Premier said emergency services would continue to receive “significant funding to undertake the crucial work they do to keep our community safe”.