BUDGET DEFICIT SLASHED; NO-NUKES VOW

Chalmers handed $50 billion Budget bonus

Treasurer Jim Chalmers has confirmed that the Federal Budget deficit for 2021-22 will be slashed by almost $50 billion on the pre-election estimate of $79.8 billion, thanks to ongoing strong export commodity prices and low unemployment. Despite the 2021-22 budget deficit improvement (down from the original projected $106.6 billion), Dr Chalmers and Finance Minister Katy Gallagher hosed down expectations of a more relaxed budget statement to be delivered on October 25. The two ministers said new health and pandemic-related spending had accounted for an extra $5.5 billion, while commodity prices had eased since June 30. Dr Chalmers said there would be “difficult decisions in the October budget” while Senator Gallagher said some proposed infrastructure programs faced “re-profiling and adjustment.” The Final Budget Outcome is due for release on September 28.

PM repeats vow on no nuclear weapons

Prime Minister Anthony Albanese has marked the first 12 months of the AUKUS partnership by reaffirming that Australia will neither seek nor acquire nuclear weapons. Mr Albanese said that the US and UK were fully committed to sharing naval nuclear propulsion technology that met the highest non-proliferation standard. The PM added that through AUKUS, Australia had made significant strides in its trilateral co-operation on advanced capability initiatives and was promoting a greater sharing of information and technology, as well as fostering deeper integration of industrial bases and supply chains.

Overseas migration rebooting population growth

Australia’s population is back on the growth path, rising 0.9 per cent in the 12 months to March 2022 after two years of Covid-19 disruption. The Australian Bureau of Statistics said the resumption of overseas migration had revived population growth, which had slumped to annual growth of near-zero up to March 2021. Queensland registered the highest annual growth rate of 1.8 per cent to the end of March, while Northern Territory (0.4 per cent) recorded the lowest. Australia’s population was 25.89 million at March 31.

Teacher education under the spotlight

Education Minister Jason Clare has ordered a review into how teaching is taught at universities, in a bid to lift the number and competency of qualified teachers. University of Sydney Vice-Chancellor Mark Scott will lead the review, investigating how to strengthen both the link between performance and funding of initial teacher education, and the effectiveness of teacher education programs. It will also examine ways to improve both the quality of practical experience and postgraduate initial teacher education for mid-career entrants.

Farrell confident of EU free trade progress

Trade and Tourism Minister Don Farrell said that increased access for Australian farmers to the European Union market was central to striking a free trade agreement with the EU bloc. Senator Farrell said he was confident of a deal, following Australia’s policy shift on climate change and talks with France post the cancellation of the French submarine contract. After meeting with a EU delegation, Senator Farrell said there were “lots of things” the EU wanted from Australia, particularly in the areas of hydrogen and critical minerals. The Minister said the EU represented an important point of export market diversity, given that it was a $17 trillion economy of 450 million consumers.

Businesses warned to back up environmental claims

Australia’s statutory consumer watchdog is targeting businesses that make false or misleading claims about their environment claims. Australian Competition and Consumer Commission (ACCC) Deputy Chair Delia Rickard said the agency had received reports that some businesses were falsely promoting environmental or green credentials to capitalise on changing consumer preferences. Warning that businesses needed to substantiate their environmental claims, Ms Rickard said broad terms like ‘environmentally-friendly’, ‘green’ or ‘sustainable’ had limited value and may mislead consumers. She said the ACCC would not hesitate to take enforcement action where it saw that consumers were being misled or deceived by green claims.