Master Builders CEO Denita Wawn delivers brutal warning for Labor as it strives to build 1.2 million homes by 2029
Fresh data from the Australian Bureau of Statistics showed in the 12 months to March 31 about 179,000 dwellings were completed.
This falls about 60,000 short of Labor's annual target of 240,000 new homes a year if it is to hit its target of 1.2 million new homes by 2029.
The number of new dwellings in March fell 4.4 per cent compared to the December quarter to 43,517.
Master Builders' chief executive Denita Wawn said the construction industry in Australia continued to be plagued by fiscal troubles limiting housing growth.
'Increase of building (costs) over the last five years has been significant and our productivity has declined and as a consequence, the private market has simply said it is too costly to build,' Ms Wawn said on Sky News Business Now.
'The demand's there, it's just latent. So we've got a productivity issue that we need to address.'
She said Labor's 1.2 million homes target was achievable but stressed, as Treasurer Jim Chalmers had earlier in the week, that there needed to be a widespread effort to boost housing in Australia.
'We need to focus on getting more people into the sector,' she said.
'We need access to finance and we need to ensure that we're being as efficient as possible.
'We think it can be achieved, but it does need everyone realising the seriousness of the issue and implementing the changes that we know are necessary.'
Construction costs have increased about 20 per cent over the past five years, thwarting many investors from the property market.
Ms Wawn said many in the industry were building at a loss with hopes of maintaining cash flow.
'That needs to change and private investment is the way we will resolve the shortage we have in housing at the moment,' she said.
'We cannot rely on government investment alone. So, as a consequence, we need more people. We need easier, simple planning approval systems.
'We need a construction code that makes sense and (to) stop making so many changes to it so often.
'We need to ensure that we have utilities in our building site so we can then get building the actual construction of the homes.'
The new ABS figures come just days after leaked information showed Treasury had warned Labor after it was re-elected that its goal to build 1.2 million homes "will not be met".
The department also called on Labor to build a 'coherent and well-prioritised' housing agenda.
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The Age
an hour ago
- The Age
Allan's WFH plan respects flexibility, not dogma
To submit a letter to The Age, email letters@ Please include your home address and telephone number below your letter. No attachments. See here for our rules and tips on getting your letter published. WORK FROM HOME The revelation that Labor considered a federal work-from-home policy before the 2025 election, only to shelve it to highlight Peter Dutton's ill-fated office mandate, underscores a stark contrast in political acumen (″ Labor's work-from-home strategy outshines Coalition's misstep″ , 6/7). Labor's strategic pivot capitalised on Dutton's misjudgment, which ignored the realities of modern work-life balance, particularly for women and carers. His backflip, prompted by voter backlash, exposed a policy rooted in control rather than progress, echoing Tim Wilson's recent Australian Financial Review critique of flexible work as 'professional apartheid' despite his own party's retreat. Labor's 2023 Fair Work Act amendments already strengthened remote work rights, fostering inclusivity and productivity, as evidenced by a 4.4 per cent rise in workforce participation. Premier Jacinta Allan's bold plan to legislate two days of remote work further cements Labor's forward-thinking approach, while the Coalition's flip-flops erode trust. Australians deserve leadership that respects flexibility, not dogma. Sue Barrett, Caulfield South Proposal discriminates essential workers Working from home should be left as an agreement between the employer and the employee based on the needs and capability of both parties. It appears to be already working quite well without government intervention or interference. It does not need to be, and should not be, a 'right' cemented in law. In doing so, it risks introducing an adversarial atmosphere into what should be a matter of negotiation between adults. Instead, it creates a two-tier level of employment that discriminates between those who can work from home (primarily white-collar workers) and those whose jobs require physical engagement (primarily essential workers such as nurses, teachers, police etc). The only real beneficiaries of this will be the legal fraternity who are already preparing for some lovely taxpayer money as one arm of the public service takes on the other (' High Court battle looms for state Labor's work-from-home push ', 6/8). The law will no doubt also be tested in terms of what 'compensation' will be provided to blue collar workers who believe themselves to be discriminated against. I would rather see laws enacted that protect workers from corrupt unions and predatory work practices, than ones that provide meaningless 'human rights'. But it's such a lovely distraction from the real woes of the state isn't it, premier? Stephen Farrelly, Donvale Employers' bait and switch I disagree with your characterisation that Premier Jacinta Allan's working-from-home push is a 'furphy' (Editorial, 6/8). I work in the private sector and there have been numerous cases where my manager unilaterally changed my WFH days when it suited him. A two-day WFH would already rubber-stamp what is already considered 'hybrid' in the workplace and prevent a bait-and-switch by overzealous employers who promise 'hybrid', but is in fact a full return to the office. People would be outraged if employers just felt like changing people's yearly salaries, so why do it to their working conditions? Christopher Lam, Saint Kilda East Debate irrelevant to teachers A letters correspondent to these pages (6/8) wonders if the new working from home proposals will apply to teachers. While long past the joys of going to that workplace every day, and having 'missed' the experience of working from home during COVID, I doubt that there are many teachers who would voluntarily choose to 'work from home'. The policy is pretty irrelevant to the teaching profession and I'm sure that most teachers have no desire to work from home again. Let those who enjoy the benefits of such work practices continue to do so, without introducing irrelevant furphies. Graeme Gardner, Reservoir THE FORUM Election on horizon Chip Le Grand's incisive article ″ Dear Leader Jacinta Allan will fight for your right to do what you're already doing ″, 7/8), hits the spot about the state of politics in Victoria and the focus of the Victorian Labor conference. As one of your letter correspondents recently remarked, we only seem to see our Premier in a hard hat (and high-vis jacket) along with several other ministers similarly attired, seemingly projecting their strong support of so-called 'working people'. But, I seem to recall that our leaders have committed to govern for all. And of course, bashing the opposition (notwithstanding they have been severely depleted) is a worthy parliamentary sport. Forget the ongoing youth crime, tobacco wars, childcare problems, health waiting lists, alleged CFMEU corruption, the dire straits of our finances etc., many of which have plagued us for years now. Warning us about what the opposition did decades ago seems to be more productive in the eyes of our leaders than addressing some of these issues constructively and urgently. Must be an election coming. Charles Griss, Balwyn Putting people first I was at the Labor State conference and found it interesting that Chip Le Grand's article focused on just one speech of about 20 across one-and-a-half days. I witnessed passionate individuals, (politicians, union members and delegates like myself), present on what the government is doing for, among others, First Nations people, the LGBTQI community, the disabled, women, renters, retirement home residents, regional Victorians, front-line workers, office workers, the elderly, the young, those with and those without. So, yes the premier highlighted what the Liberals did, close schools, cut services and more, as a reminder to those of us who put people first, what we are fighting for. Samantha Keir, East Brighton
The Advertiser
3 hours ago
- The Advertiser
Plan to lift GST must come with lower income tax burden
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Independent MP Kate Chaney wants a "progressive GST model" as Labor looks for ways to reinvigorate Australia's languishing productivity and strengthen the budget. Under a plan proposed by economist Richard Holden, Australia would lift the rate of the consumption tax from 10 to 15 per cent and apply it to exempt items such as certain types of food, education and health. But to mitigate the impact on those with lower incomes, all Australians aged 18 and older would be given a $3300 rebate, meaning they would effectively pay no GST on the first $22,000 of their annual expenses. While the GST-free threshold would cost Australia $68.8 billion, increasing the tax and removing exemptions for certain categories would raise $92.7 billion, adding $23.9 billion to the Commonwealth's budget. "The major parties like to talk about tax cuts and spending but they're less willing to discuss where the money will come from," Ms Chaney said. "We have to have courageous conversations about other revenue sources to avoid handballing this problem to future generations." Prime Minister Anthony Albanese said his government would determine its policy. "Our tax policy - the only tax policy that we're implementing - is the one that we took to the election ... which is reducing income taxes," he told reporters in Melbourne on Thursday. Opposition finance spokesman James Patterson said he was concerned two-thirds of revenue generated by Ms Chaney's proposal would be used to compensate Australians for the tax it collects. He warned against tax on spending in areas carved out of the GST when it was introduced more than two decades ago, such as education and health. "The Howard government recognised that people who spend their money on private health or private education are actually taking a burden off the public purse, and therefore it would be unjust to tax them on top of that," he told Sky News. It would be an "incredibly brave government" that put a tax on top of insurance and private education fees, Senator Patterson said. The Australian Council of Social Service has called for a halving of the capital gains tax discount, a 15 per cent tax on superannuation retirement accounts and a commonwealth royalty payment for offshore gas. It urges the government to strengthen the not-for-profit sector by supporting digital transformation and making service users the centrepiece of governance and program design. All policies developed at the roundtable should be assessed on how they improve the wellbeing of people and the natural environment while taking gender and other factors into account, the council said. A push to lift the goods and services tax must form part of a broad reform package that reduces the burden on workers, a prominent economist says. The Albanese government's economic roundtable will be held later in August and has prompted calls for an overhaul to the nation's tax system, including scaling back negative gearing and raising the GST. AMP chief economist Shane Oliver said while he backed lifting the GST to 15 per cent, the change had to be implemented among other measures such as lowering income taxes to compensate lower income workers. "It's very important it all comes together as a package, because just changing tax concessions will disincentivise income workers," he told AAP. "I'm concerned it (roundtable) will morph from broad-base tax reform to more taxes." Negative gearing and capital gains concessions could be scaled back if the burden on workers was reduced through lower taxes, Mr Oliver said. Independent MP Kate Chaney wants a "progressive GST model" as Labor looks for ways to reinvigorate Australia's languishing productivity and strengthen the budget. Under a plan proposed by economist Richard Holden, Australia would lift the rate of the consumption tax from 10 to 15 per cent and apply it to exempt items such as certain types of food, education and health. But to mitigate the impact on those with lower incomes, all Australians aged 18 and older would be given a $3300 rebate, meaning they would effectively pay no GST on the first $22,000 of their annual expenses. While the GST-free threshold would cost Australia $68.8 billion, increasing the tax and removing exemptions for certain categories would raise $92.7 billion, adding $23.9 billion to the Commonwealth's budget. "The major parties like to talk about tax cuts and spending but they're less willing to discuss where the money will come from," Ms Chaney said. "We have to have courageous conversations about other revenue sources to avoid handballing this problem to future generations." Prime Minister Anthony Albanese said his government would determine its policy. "Our tax policy - the only tax policy that we're implementing - is the one that we took to the election ... which is reducing income taxes," he told reporters in Melbourne on Thursday. Opposition finance spokesman James Patterson said he was concerned two-thirds of revenue generated by Ms Chaney's proposal would be used to compensate Australians for the tax it collects. He warned against tax on spending in areas carved out of the GST when it was introduced more than two decades ago, such as education and health. "The Howard government recognised that people who spend their money on private health or private education are actually taking a burden off the public purse, and therefore it would be unjust to tax them on top of that," he told Sky News. It would be an "incredibly brave government" that put a tax on top of insurance and private education fees, Senator Patterson said. The Australian Council of Social Service has called for a halving of the capital gains tax discount, a 15 per cent tax on superannuation retirement accounts and a commonwealth royalty payment for offshore gas. It urges the government to strengthen the not-for-profit sector by supporting digital transformation and making service users the centrepiece of governance and program design. All policies developed at the roundtable should be assessed on how they improve the wellbeing of people and the natural environment while taking gender and other factors into account, the council said. A push to lift the goods and services tax must form part of a broad reform package that reduces the burden on workers, a prominent economist says. The Albanese government's economic roundtable will be held later in August and has prompted calls for an overhaul to the nation's tax system, including scaling back negative gearing and raising the GST. AMP chief economist Shane Oliver said while he backed lifting the GST to 15 per cent, the change had to be implemented among other measures such as lowering income taxes to compensate lower income workers. "It's very important it all comes together as a package, because just changing tax concessions will disincentivise income workers," he told AAP. "I'm concerned it (roundtable) will morph from broad-base tax reform to more taxes." Negative gearing and capital gains concessions could be scaled back if the burden on workers was reduced through lower taxes, Mr Oliver said. Independent MP Kate Chaney wants a "progressive GST model" as Labor looks for ways to reinvigorate Australia's languishing productivity and strengthen the budget. Under a plan proposed by economist Richard Holden, Australia would lift the rate of the consumption tax from 10 to 15 per cent and apply it to exempt items such as certain types of food, education and health. But to mitigate the impact on those with lower incomes, all Australians aged 18 and older would be given a $3300 rebate, meaning they would effectively pay no GST on the first $22,000 of their annual expenses. While the GST-free threshold would cost Australia $68.8 billion, increasing the tax and removing exemptions for certain categories would raise $92.7 billion, adding $23.9 billion to the Commonwealth's budget. "The major parties like to talk about tax cuts and spending but they're less willing to discuss where the money will come from," Ms Chaney said. "We have to have courageous conversations about other revenue sources to avoid handballing this problem to future generations." Prime Minister Anthony Albanese said his government would determine its policy. "Our tax policy - the only tax policy that we're implementing - is the one that we took to the election ... which is reducing income taxes," he told reporters in Melbourne on Thursday. Opposition finance spokesman James Patterson said he was concerned two-thirds of revenue generated by Ms Chaney's proposal would be used to compensate Australians for the tax it collects. He warned against tax on spending in areas carved out of the GST when it was introduced more than two decades ago, such as education and health. "The Howard government recognised that people who spend their money on private health or private education are actually taking a burden off the public purse, and therefore it would be unjust to tax them on top of that," he told Sky News. It would be an "incredibly brave government" that put a tax on top of insurance and private education fees, Senator Patterson said. The Australian Council of Social Service has called for a halving of the capital gains tax discount, a 15 per cent tax on superannuation retirement accounts and a commonwealth royalty payment for offshore gas. It urges the government to strengthen the not-for-profit sector by supporting digital transformation and making service users the centrepiece of governance and program design. All policies developed at the roundtable should be assessed on how they improve the wellbeing of people and the natural environment while taking gender and other factors into account, the council said. A push to lift the goods and services tax must form part of a broad reform package that reduces the burden on workers, a prominent economist says. The Albanese government's economic roundtable will be held later in August and has prompted calls for an overhaul to the nation's tax system, including scaling back negative gearing and raising the GST. AMP chief economist Shane Oliver said while he backed lifting the GST to 15 per cent, the change had to be implemented among other measures such as lowering income taxes to compensate lower income workers. "It's very important it all comes together as a package, because just changing tax concessions will disincentivise income workers," he told AAP. "I'm concerned it (roundtable) will morph from broad-base tax reform to more taxes." Negative gearing and capital gains concessions could be scaled back if the burden on workers was reduced through lower taxes, Mr Oliver said. Independent MP Kate Chaney wants a "progressive GST model" as Labor looks for ways to reinvigorate Australia's languishing productivity and strengthen the budget. Under a plan proposed by economist Richard Holden, Australia would lift the rate of the consumption tax from 10 to 15 per cent and apply it to exempt items such as certain types of food, education and health. But to mitigate the impact on those with lower incomes, all Australians aged 18 and older would be given a $3300 rebate, meaning they would effectively pay no GST on the first $22,000 of their annual expenses. While the GST-free threshold would cost Australia $68.8 billion, increasing the tax and removing exemptions for certain categories would raise $92.7 billion, adding $23.9 billion to the Commonwealth's budget. "The major parties like to talk about tax cuts and spending but they're less willing to discuss where the money will come from," Ms Chaney said. "We have to have courageous conversations about other revenue sources to avoid handballing this problem to future generations." Prime Minister Anthony Albanese said his government would determine its policy. "Our tax policy - the only tax policy that we're implementing - is the one that we took to the election ... which is reducing income taxes," he told reporters in Melbourne on Thursday. Opposition finance spokesman James Patterson said he was concerned two-thirds of revenue generated by Ms Chaney's proposal would be used to compensate Australians for the tax it collects. He warned against tax on spending in areas carved out of the GST when it was introduced more than two decades ago, such as education and health. "The Howard government recognised that people who spend their money on private health or private education are actually taking a burden off the public purse, and therefore it would be unjust to tax them on top of that," he told Sky News. It would be an "incredibly brave government" that put a tax on top of insurance and private education fees, Senator Patterson said. The Australian Council of Social Service has called for a halving of the capital gains tax discount, a 15 per cent tax on superannuation retirement accounts and a commonwealth royalty payment for offshore gas. It urges the government to strengthen the not-for-profit sector by supporting digital transformation and making service users the centrepiece of governance and program design. All policies developed at the roundtable should be assessed on how they improve the wellbeing of people and the natural environment while taking gender and other factors into account, the council said.
The Age
6 hours ago
- The Age
Australia news LIVE: Albanese defends Allan's WFH push; Trump threatens higher tariffs on Australian medications; Rio Tinto mulls sick leave overhaul
Key posts 1.59pm Flying to Sydney from NZ? You might not need to fill out a paper form any more 1.39pm Union alarm as mining giant mulls sick leave overhaul 1.20pm Today's headlines 12.50pm Taxpayers pour $50 million into Gina Rinehart-backed lithium miner 12.20pm Trump threatens DC takeover after staffer known as 'Big Balls' assaulted 11.18am Trump coming after 'utterly core' Labor agenda: Butler 11.16am Butler 'very concerned' about Trump's 250 per cent tariff threat 10.59am Albanese praises 'very constructive' call with Palestinian Authority Hide key posts Go to latest Quick explainer: What is a tariff? By Alexander Darling Good afternoon, Alex here in Melbourne taking over from my colleague, Daniel. While there's all this discussion about US President Donald Trump's tariffs coming into effect today, here's a crash course in what that word means. A tariff is a tax which countries impose on goods and services imported from another country. They are often used to protect domestic industries offering the same goods and services as well as raising revenue. Loading Often importers will pass the costs of tariffs onto their customers in the form of higher prices, making the imported goods more expensive and less attractive to consumers. As an example, US importers will pay a 10 per cent tariff on Australian goods, meaning an order that used to cost $1 million will now cost them $1.1 million. In the past, US President Donald Trump has used tariffs on Canada, Mexico and China as a bargaining chip, to force those countries to change their approach to controlling the flow of fentanyl and illegal immigrants to the US. Latest posts 2.55pm Trump threatens 100 percent tariff on chips - with a carrot attached By Alexander Darling While Australia is sweating on Donald Trump's threat of a 250 tariff on pharmaceuticals exported to the US, the higher tariffs have already arrived for other countries. In the past 24 hours, the president has announced a plan to impose 100 per cent tariffs on semiconductor imports. Semiconductors are small bits of metal that conduct electricity, needed in everything from smartphones to medical equipment. The president of the Philippine semiconductor industry Dan Lachica said that around 70 per cent of the country's exports are semiconductors, and as such this new tariff plan would be 'devastating' for the Asian archipelago nation. Trump said companies that make computer chips in the US would be spared the import tax. Investors seemed to interpret the potential tariff exemptions as a positive for Apple and other major tech companies that have been making huge financial commitments to manufacture more chips and other components in the US. Loading Big Tech has already made collective commitments to invest about $1.5 trillion in the U.S. since Trump moved back into the White House in January. That figure includes a $600 billion promise from Apple after the iPhone maker boosted its commitment by tacking another $100 billion on to a previous commitment made in February. Meanwhile, Trump has also imposed an additional 25 per cent tariff on Indian goods, citing New Delhi's continued imports of Russian oil in a move that sharply escalated tensions between the two nations after trade talks reached a deadlock. You can read more from our Europe correspondent David Crowe at the link here. With Reuters, AP 2.35pm Negative gearing: Greens spruik last election's housing policy ahead of productivity roundtable By Alexander Darling The Greens have welcomed fresh calls from the Australian Council of Social Service to curb the Capital Gains Tax discount and abolish negative gearing, ahead of treasurer Jim Chalmers' Economic Reform Roundtable later this month. ACOSS published its submission to the roundtable earlier today, which is also calling for reform of employment services and support for households and industry to speed the clean energy transition. 'ACOSS joins a chorus of stakeholders, including the ACTU and banks, calling on the government to wind back negative gearing and the capital gains tax discount ahead of the [roundtable],' said the Greens in a statement on Thursday afternoon. 'Under the Greens 2025 election policy, both negative gearing and the CGT discount would be grandfathered to one existing investment property and removed on all second and subsequent properties, ensuring 'mum and dad' investors with a single investment property are not negatively impacted, while disincentivising future speculative and unproductive investment in the property market.' The party's housing spokesperson, Senator Barbara Pocock, said the roundtable was 'an ideal opportunity where fixing the housing crisis should be top of the agenda'. Later in the same press conference, Robert Simms, a state Greens member of South Australia's upper house, said he would draft a bill giving SA's public servants the right to work from home one day a week. It follows Victoria's Labor premier announcing last week legislation allowing both public and private sector workers the right to work from home two days a week. The Prime Minister defended Jacinta Allan's push earlier today. Man charged with killing a top Minnesota House Democrat is expected to plead not guilty Minneapolis: The man charged with killing the top Democrat in the Minnesota House and her husband, and wounding a state senator and his wife, is expected to plead not guilty when he's arraigned in a federal court on Thursday, his lawyer says. Loading Vance Boelter, 58, of Green Isle, Minnesota, was indicted on July 15 on six counts of murder, stalking and firearms violations. The murder charges could carry the federal death penalty, though prosecutors say that decision is several months away. As they announced the indictment, prosecutors released a rambling handwritten letter they say Boelter wrote to FBI director Kash Patel in which he confessed to the June 14 shootings of Melissa Hortman and her husband, Mark. However, the letter doesn't make clear why he targeted the Hortmans or Senator John Hoffman and his wife, Yvette, who survived. Boelter's federal defence lawyer, Manny Atwal, has said that the weighty charges did not come as a surprise, but she has not commented on the substance of the allegations nor any defence strategies. 1.59pm Flying to Sydney from NZ? You might not need to fill out a paper form any more By Chris Zappone Sydney-bound Qantas passengers from Auckland and Queenstown can now enter the country without a paper incoming passenger card, thanks to a trial of a digital replacement. How it works Before landing, eligible Qantas passengers can complete their passenger questionnaire on their Qantas app and receive a digital QR code. On arrival, they process through the SmartGate system with their passport. At customs, passengers show the QR code generated on their app to Australian Border Force officials. An official checks the details on the digital card and either clears the passenger or directs them to a luggage inspection. The digital card eliminates the need for the forms to be filled out by passengers before landing. For the affected flights, it's expected to speed up the international arrival process in Sydney which has long been a source of aggravation for passengers. The SmartGate system has been dogged by problems and cost overruns since its rollout a decade ago. The slow adoption of the kiosks have created bottlenecks for exhausted passengers who have often flown for hours before arrival in Australia only to wait in long lines to be cleared for entry to the country. Although Smartgates are typically paid for by the Australian Border Force, Sydney Airport has footed the bill for eight new kiosks at T1 to speed the processing capacity. It will install a further 32 SmartGate kiosks by 2026, the airport says. The trial of a digital incoming passenger card for the Sydney-bound flights from New Zealand follows an earlier trial for all international Qantas flights into Brisbane which began in October 2024. Qantas International CEO Cam Wallace said the launch of the limited Sydney digital incoming passenger card 'is a significant step forward in simplifying the arrival process into Australia, and the overwhelmingly positive response from our customers in Brisbane has demonstrated just how much demand there is for this innovation'. 1.39pm Union alarm as mining giant mulls sick leave overhaul By Aaron Bunch and Alexander Darling Thousands of iron ore workers could have their sick leave entitlements slashed, unions claim. Rio Tinto has proposed a slew of changes to its sick leave policy, including reducing workers' entitlement of three months a year to 12 days, the Australian Manufacturing Workers' Union says. The Mining and Energy Union said this amounts to a cut of 33 to 36 days of sick leave in real terms. The proposals raised serious concerns for workers, and the mining giant needed to provide more information, AMWU state secretary Steve McCartney said. 'Rio Tinto is starting with workers' sick leave entitlements — but who's to say wages and broader conditions aren't next on the chopping block?' he said. According to the union, the revised policy includes 10 days of sick leave and two additional days a year, which do not accrue year-on-year. Loading Workers would be eligible for a $1000 annual payment for wellness programs, it said. Rio Tinto said it was consulting with its employees over proposed changes to its sick and carer's leave policy for its iron ore business. 'Safety and wellbeing of our people is our top priority,' a spokeswoman said. 'Prompted by feedback from our people survey, we are conducting a review of the sick and carer's leave policy for Rio Tinto Iron Ore.' Rio Tinto Iron Ore employs about 16,000 people. Under the National Employment Standards, full-time employees are entitled to 10 days of sick leave each year. With AAP 1.36pm Quick explainer: What is a tariff? By Alexander Darling Good afternoon, Alex here in Melbourne taking over from my colleague, Daniel. While there's all this discussion about US President Donald Trump's tariffs coming into effect today, here's a crash course in what that word means. A tariff is a tax which countries impose on goods and services imported from another country. They are often used to protect domestic industries offering the same goods and services as well as raising revenue. Loading Often importers will pass the costs of tariffs onto their customers in the form of higher prices, making the imported goods more expensive and less attractive to consumers. As an example, US importers will pay a 10 per cent tariff on Australian goods, meaning an order that used to cost $1 million will now cost them $1.1 million. In the past, US President Donald Trump has used tariffs on Canada, Mexico and China as a bargaining chip, to force those countries to change their approach to controlling the flow of fentanyl and illegal immigrants to the US. 1.20pm Today's headlines By Daniel Lo Surdo Good afternoon, and thank you for reading our national news blog. Here's a look at today's biggest stories: Prime Minister Anthony Albanese has defended Victorian Premier Jacinta Allan's controversial work-from-home plan, saying Allan's remote work stance was 'consistent' with the federal government. Allan faced criticism after announcing plans to enshrine the right to work from home into law, with legal experts and business groups both sharing their concern. Albanese said Allan was responding to views in Victoria, and that flexible working arrangements 'help workers, and they help employers'. Health Minister Mark Butler has said he is 'very concerned' after US President Donald Trump threatened a 250 per cent tariff rate on Australian pharmaceuticals amid increasing pressure from American pharmaceutical lobbyists. Butler reiterated the government's refusal to present the Pharmaceutical Benefits Scheme as a negotiating chip in tariff negotiations, and said he would press for the continuing of free trade with the US on pharmaceuticals. Australia exported a record $5.7 billion worth of non-monetary gold in June, according to figures released by the Australian Bureau of Statistics this morning. Gold exports enjoyed a spike at the start of the year amid concern from American investors about Trump's trade policy, helping Australia run a rare trade surplus with the US. Australia exported a record $46.9 billion worth of gold in the 2024-25 financial year. Trump has suggested he may use the National Guard to police the streets of Washington in his latest threat to grant a federal takeover of the US capital. It comes after Edward Coristine, the young staffer known as 'Big Balls' who formerly worked for Elon Musk's so-called department of government efficiency, was beaten and assaulted at the weekend. Trump, who has threatened a federal takeover of Washington on several occasions, said the capital was 'very unsafe', and that 'we have to run DC'. 12.50pm Taxpayers pour $50 million into Gina Rinehart-backed lithium miner By Nick Toscano Australia's national investment fund has taken a $50 million stake in Gina Rinehart-backed Liontown Resources, in the latest sign the Albanese government is doubling down on efforts to help critical minerals producers ride out a long-running price slump. Liontown, a Western Australia-based miner of the electric battery raw material lithium, said on Thursday a $266 million capital raise to fortify its balance sheet would be led by a cornerstone $50 million investment from the federal government's taxpayer-funded National Reconstruction Fund. Rinehart, Australia's richest person, is ASX-listed Liontown's single largest investor with an 18 per cent stake held through her flagship company Hancock Prospecting. The National Reconstruction Fund Corporation – established in 2023 to support priority areas of the Australian economy – said its Liontown investment was in line with the government's strategy to transform Australia into a 'global leader in the critical minerals supply chain'. 'Australia is well-positioned to be a competitive, long-term supplier of lithium to the rest of the world,' the corporation's chief executive David Gall said. Australia is home to some of the richest known reserves of lithium, a metal often called 'white gold' due to its silvery-white appearance and the fact it is an ingredient the world will need in far greater quantities to manufacture lithium-ion batteries to power electric cars and store renewable energy. Since the dawning of the electric vehicle era, automakers across the globe have been scrambling to lock in lithium supplies, striking long-term contracts with producers in WA and the Northern Territory. However, lithium prices have fallen sharply since hitting record highs in late 2022, amid a global slowdown in electric vehicle sales, putting producers' balance sheets under mounting pressure. Liontown managing director Tony Ottaviano described the government's investment as a 'strong endorsement' of the strategic importance of the company's Kathleen Valley lithium project, adding that Liontown was 'well-placed to remain resilient in this low-price environment'. Earlier this year, the $15 billion National Reconstruction Fund took a $200 million stake in Arafura Rare Earths, a company aiming to mine and process crucial raw ingredients needed to make high-strength magnets in the Northern Territory. 12.20pm Trump threatens DC takeover after staffer known as 'Big Balls' assaulted US President Donald Trump suggested he may use the National Guard to police the streets of Washington, DC, in his latest threat to take over running the city that serves as the seat of the US government. 'We have a capital that's very unsafe,' Trump told reporters at the White House on Wednesday. 'We have to run DC.' Trump, who has threatened a federal takeover of the city multiple times, renewed those threats after a young staffer who was part of Elon Musk's Department of Government Efficiency was assaulted over the weekend. Musk, the billionaire former adviser to Trump who once spearheaded the DOGE effort, said the man – Edward Coristine, known by the nickname 'Big Balls' – was beaten and received a concussion. 'It is time to federalise DC,' he wrote. A spokesman for DC Mayor Muriel Bowser declined to comment. Violent crime in the first seven months of 2025 was down by 26 per cent in DC compared with last year while overall crime was down about 7 per cent, according to the police department. 12.09pm Australian gold exports hit record high By Shane Wright The great musician Prince may have said that all that glitters ain't gold, but he wasn't singing about Australia's extraordinary golden trade performance of the past year. Figures from the Australian Bureau of Statistics released this morning revealed that in June, the country exported a record $5.7 billion worth of non-monetary gold. There was a spike at the start of the year as gold exports from Australia and several other nations to the United States soared on concerns among American investors about Donald Trump's trade policy. So large were our exports that Australia ran a trade surplus with the US for the first time since Harry Truman was president (and Vera Lynn, Bing Crosby and Tony Bennett dominated the music charts). The trade surplus has come to an end, but Australia is still exporting record amounts of gold. In 2024-25, the country exported a record $46.9 billion worth of the shiny stuff, a 42.4 per cent lift on 2023-24. It's almost double the value of gold exports in 2022-23. By contrast, the nation's single large export – iron ore – slid by 15.5 per cent last financial year to $116.5 billion.
