Treasurer says ‘worst is behind us’ in fight against inflation
Overnight, the treasurer, Jim Chalmers, said “the worst is behind us” when it comes to inflation. Speaking to 7News’ Spotlight program, he said the peak in inflation was now “in the rear-view mirror, and we’re not complacent about that”.
But we are confident that, having been through a very difficult time together, better days are ahead.
Asked whether that meant interest rates would come down before a potential election next May, Chalmers said there was “really good reasons for treasurers of either political persuasion not to make predictions about interest rate movements”.
The market expects that there will be interest rate cuts in 2025 … as treasurer, I’ve been very careful not to make those kinds of predictions.
Chalmers said that Australia “came quite close” to recession in the first two quarters of this year, and that growth was “very, very flat” in March and June.
And if I’m honest with you … there were times where we feared that the economy would go backwards. But if you’re asking me, was I worried at the time? Too right I was …
There were some moments in the lead up to the release of [the national accounts] where there was a very substantial risk that the economy might have gone backwards. A lot of relief when we discovered that it hadn’t.
Key events
Victorian premier defends housing plan to rezone affluent areas
The Victorian premier, Jacinta Allan, has been speaking with ABC News Breakfast about a plan to create 50 new “activity zones” to help deliver more than 30,000 additional homes across Melbourne by 2051.
Defending the plan, she said that more homes need to be built in the state, particularly for younger Victorians under 40:
Anyone under the age of 40 knows just how tough it is to find a home, particularly to find a home close to where they grew up, close to families. We need to get on and build more homes, particularly in and around the suburbs of Melbourne.
Allan was asked about pushback from locals, including those in Brighton, and whether she should have spoken with residents. She said 25 zoning locations had been announced, with another 25 to come, and “we’re going to get on and talk to people in those local communities.”
I know from my conversations with many Victorians that putting homes next to a train station just makes sense for so many people … The status quo is just not an option any more.
It’s tougher and tougher for younger people to get into a home, to start a family, to build their long-term wealth that previous generations have had that opportunity to. We’ve got to get on and find new ways to push on and build more homes, because the status quo is locking out too many people.
Bid to avoid post-2032 homelessness in Queensland
There are fears Brisbane could be heading toward a post-2032 Olympic Games homelessness crisis if the next state government does not take action, AAP reports.
The warning comes after a Q Shelter-commissioned Australian Housing and Urban Research Institute report on the Olympics’ impact on homelessness and the local housing market.
Q Shelter’s CEO, Fiona Caniglia, said the “best-case scenario is people will be pushed out to the regions”.
But if you live here now and for reasons that are important to you, like work and family, then we need to create a framework so you can stay, and so you’re not forced to move because of the impact of the games.
Reports will be published annually leading up to the 2032 games to monitor housing market conditions and the responses to homelessness in Brisbane. The aim is to help calibrate policy responses to ensure Brisbane 2032 delivers its intended legacy of social inclusion.
However, Q Shelter said it was not out of the realm of possibility that Brisbane could be the first games host that doesn’t worsen homelessness. This could be done through legacy planning, including repurposing the athletes’ village into social housing.
Treasurer says ‘worst is behind us’ in fight against inflation
Overnight, the treasurer, Jim Chalmers, said “the worst is behind us” when it comes to inflation. Speaking to 7News’ Spotlight program, he said the peak in inflation was now “in the rear-view mirror, and we’re not complacent about that”.
But we are confident that, having been through a very difficult time together, better days are ahead.
Asked whether that meant interest rates would come down before a potential election next May, Chalmers said there was “really good reasons for treasurers of either political persuasion not to make predictions about interest rate movements”.
The market expects that there will be interest rate cuts in 2025 … as treasurer, I’ve been very careful not to make those kinds of predictions.
Chalmers said that Australia “came quite close” to recession in the first two quarters of this year, and that growth was “very, very flat” in March and June.
And if I’m honest with you … there were times where we feared that the economy would go backwards. But if you’re asking me, was I worried at the time? Too right I was …
There were some moments in the lead up to the release of [the national accounts] where there was a very substantial risk that the economy might have gone backwards. A lot of relief when we discovered that it hadn’t.
Welcome
Emily Wind
Good morning, and welcome back to a new week on the Australia news live blog. I’m Emily Wind, and I’ll be taking you through our rolling coverage this Monday.
The treasurer, Jim Chalmers, has said that “the worst is behind us” when it comes to inflation. Speaking on 7News’ Spotlight program last night, he said:
When it comes to inflation specifically, the worst is behind us … The peak in inflation is now in the rear-view mirror and we’re not complacent about that, we’re cautious about that, but we are confident that having been through a very difficult time together, better days are ahead.
We’ll bring you more from his interview in a moment.
Meanwhile, King Charles and Queen Camilla are continuing their tour of Australia as part of their first visit to the country since Charles became its reigning monarch.
This morning, the couple will visit the Australian War Memorial in Canberra and the prime minister will host a reception at Parliament House. The king will meet firefighters and bushfire researchers at CSIRO, while Camilla will meet the founder of the charity donations platform GIVIT. There will also be a tour of the National Botanical Gardens.
As always, you can read out with any tips, questions or feedback via X, @emilywindwrites, or you can send me an email: [email protected]. Let’s get started.