Australian news and politics live updates: Albanese’s Budget nightmare as Minns blasts bracket creep inaction

Two political leaders of different generations, temperaments and ideologies presented the nation with a clear choice this week.

Anthony Albanese, standing atop a new government-funded apartment building, boasted of subsidised housing for nurses and other essential, but low-paid, workers.

Shadow Treasurer Tim Wilson condemned what he called “one of the most-immoral governments in Australian history” and promised entrepreneurs, small business people and “self starters” a Liberal government would put them first.

“We know that income tax is a direct punishment,” he told the National Press Club today. “The only answer the Government has is to turn around and say we will increase taxes on everything else.”

The specific help coming for these great Aussie battlers? That’s a little wishy-washy, but expect the replacement of “pessimism with Liberal optimism”.

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An army of mums and dads running shops are set to target nervous Labor backbenchers over Budget plans to double capital gains taxes on small businesses that weren’t taken to the last election.

Treasurer Jim Chalmers has made a virtue of abolishing the 50 per cent capital gains tax discount in a bid to make residential property market speculation less attractive to future investors.

But this change, imposing a minimum 30 per cent tax on capital gains, also includes a top 47 per cent tax on businesses when they sell or are listed on the share market.

That’s double the existing 23.5 per cent ceiling now, which Small Business Australia executive director Bill Lang said could cause unemployment to rise as fewer prospective entrepreneurs saw the upside in taking a financial risk working for less than the average wage.

“If there’s less people with an incentive to do that, longer term, they’ll be less jobs created in the economy of the future,” he told The Nightly.

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Prime Minister Anthony Albanese has urged people to get vaccinated after more than 220 cases of diphtheria were reported across the nation.

The number of cases have been confirmed in the NT, WA, QLD and SA.

“The health minister has given a response today, and clearly, we are going to have to respond to this outbreak,” Mr Albanese said.

“The first thing that should be said is that people need to be vaccinated if they haven’t been. That is the most important thing that people can do.”

Health Minister Mark Butler backed the PM’s stance, adding the number of cases were “very concerning”.

“To put that in context, we’ve been recording case numbers nationally for about 35 years, and this, by a very big distance, is the biggest outbreak of diphtheria we’ve ever seen,” Mr Butler said.

“It’s about 30 times the average number of diphtheria cases that we’ve seen over the last five years or so.”

Anthony Albanese has met with Kumanjayi Little Baby’s family during a visit to Alice Springs.

The Prime Minister “got to speak to her mum, her grandfather and her grandmother” while also visiting a memorial at the town camp to lay a bouquet of flowers.

“She was cherished and loved. And they’re going through the worst of devastation and at this time they’ve asked that they be allowed to go through the sorry business with the privacy and dignity and solemnity that it deserves,” he said.

The Prime Minister added the Alice Springs community had rallied behind the family in the wake of the five-year-old’s alleged murder.

“This is a young person lost far too early under circumstances that are unbearable,” Mr Albanese said.

“They are trying to bear their way through this with dignity, with respect, and it is. It will remain something that is with them forever.”

During his visit, Mr Albanese also touched on new child protection legislation that was introduced to parliament by the NT government following Kumanjati Little Baby’s death.

“We’ll work constructively with the Northern Territory government but they also need to work respectfully with the local community, with the family, and need to make sure they involve First Nations people as well in this local community to work through these issues in the most constructive way possible,” the PM said.

The legislation has been criticised by child protection workers in the NT.

A financial adviser has warned Australians that an “extremely overvalued” property market will take a hit from rate hikes, Federal Budget tax changes and a potential economic downturn.

Ord Minnett head of research Malcolm Wood on Wednesday said slower spending growth and looming tax hikes created a “heightened risk of disruption” amid international threats, including the Middle East war.

The Federal Budget adjusted the treatment of capital gains tax discount from a clean 50 per cent to a dynamic figure based on inflation — making investors worse off in periods of low inflation.

Negative gearing on future purchases of existing homes was removed, too, with new builds and assets held on Budget night exempted.

“These changes should significantly impact the Australian housing market,” Mr Wood said.

“(By) driving a large decline in home sales as negatively-geared investors hold onto properties, a large decline in home prices as investors leave an overstretched established market and a double-digit decline in housing investment as investors step back amidst uncertainty.”

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Nationals leader Matt Canavan has demanded the prime minister call a fresh election to test support for his broken promises on tax changes in the budget.

Speaking alongside Liberal Leader Angus Taylor, Senator Canavan said any increase in the capital gains tax in this term of the Albanese government was a broken promise.

“He’s changed his mind on capital gains tax, well, he should give the Australian people the chance to change their mind and have another election, and he’s probably not going to do that.

“I reckon he should. He probably won’t, because he’d be worried about the reaction at an election.”

John Howard has paid tribute to former governor-general of Australia and retired Anglican bishop Peter Hollingworth after his death, aged 91.

The former Australian Prime Minister issued a statement to honour Dr Hollingworth’s “long life” that was “sustained by his strong Christian faith.”

“None was more important, both as to the intensity of his commitment and results demonstrated, than the years he spent with the Brotherhood of St. Laurence in Victoria: an Anglican inspired welfare organisation committed to helping the disadvantaged and, in particular, reducing poverty amongst children,” Mr Howard said.

“Many believe that Hollingworth’s work, both as its Director, and more generally a member of the Brotherhood, did more to shape national policy in the final decades of the 20th century than the advocacy of any other person.

Dr Hollingwoth became the first cleric appointed as Governor-General of Australia in 2001 under Howard’s term.

The former Prime Minister reflected on Dr Hollingworth’s time as an Archbishop in Brisbane and Chairman of the Council but acknowledged the controversy following his handling of sex abuse allegations.

“Regrettably, the controversy over his handling of sex abuse by clergy in the Archdiocese of Brisbane has coloured recent commentary about him.,” Mr Howard added.

“As someone who abhorred the sexual abuse of anyone – particularly children – in the Church or elsewhere, he addressed these issues in a candid manner, acknowledging his own failings.

“Janette joins me in expressing our deep condolences to Peter Hollingworth’s three daughters and their extended families.”

Shadow Treasurer Tim Wilson has delivered his Federal Budget reply at the National Press Club.

During his speech on Wednesday, Mr Wilson said the government had “declared war on the self-starters and small businesses of this nation”.

“We need new economic structures to empower people for the 21st century,” he added.

Mr Wilson launched the Stand with Small campaign to back small business owners during his address.

He said a future Coalition government would consult on a Small Business Act which would aim to create a single, consistent legal definition for a small business across all Commonwealth laws.

“Each new law should require a small business regulatory impact statement, and provide a pathway for feedback and where small businesses should also be heard, from the RBA, ASIC, the ATO and Fair Work,” Wilson tells the National Press Club,” he said.

“We will replace Labor’s pessimism with Liberal optimism. A nation where the taxpayers are respected, hard work pays off, and Australians feel in control of their lives.”

In concluding his speech, Mr Wilson said Australia needs a “new dawn” in the wake of the release of the Budget he labelled a “dud”.

“A dawn that restores living standards, and protects our way of life. A dawn that puts trust in Australians and aligns their incentives to get ahead to the advancement of us all,” he said.

“A dawn that fills young Australians with hope, aspiration and confidence.”

NSW Premier Chris Minns has unleashed on the Albanese government over its inaction on bracket creep, saying Australians are being “stung”.

Mr Minns said the current top income tax rate of 47 per cent is too high, resulting in Aussie employees spending half of their week woking for the government.

“Whether it’s in this budget or in the future, we do need to make sure that we’re doing everything we can to hand more money back to working Australians,” he said on Wednesday.

“The top marginal rate of 47 per cent, as I said in parliament last week, you’re working Monday, Tuesday, and half of Wednesday for yourself, and then Wednesday, Thursday, and Friday for the government.

“In a general sense... we do need to make sure we’re taking urgent action when it comes to personal income taxes because at the moment, a lot of working families are getting stung.”

Coalition have called for the government to intervene in the return of a second cohort of ISIS-linked women and children as they’re expected to touch down in Australia within days.

Shadow home affairs minister Jonno Duniam says temporary exclusion orders should be placed on the group if Australian officials already suspect the group have committed serious terrorists and humanities offences.

It comes as authorities swooped on a group of 13 who touched down in Sydney and Melbourne earlier this month — charging three women with serious alleged crimes.

Two of the women faces charges of crimes against humanity for allegedly enslavement, while the third was charged for entering a declared conflict zone and joining ISIS.

According to reports in the Australian, a second cohort of six women are expected to arrive as early as next week.

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