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🇦🇺 Australia /Elections & Politics

Chalmers cannot escape house-price questions as Marles learns from the melon saga

From ABC Australia · () English

Translated from English and summarized by DistantNews. Read the original for the full story.

At a glance

Analysis Named sources Context piece
  • Australian Treasurer Jim Chalmers faced sustained questioning over falling house prices, after property data showed declines in every capital city in August and the Commonwealth Bank warned of possible further falls.
  • Chalmers attributed housing-market pressure mainly to recent interest-rate rises, while another government minister said tax changes had contributed to price declines.
  • The update also examines political debate over social-media algorithms, tobacco excise and a low-risk gift from Defence Minister Richard Marles to the Trump administration.

Jim Chalmers tried to present a resilient economy through a pre-recorded social-media video. He called the economy “robust” despite challenges from the war in the Middle East, pointed to rising electric-vehicle adoption and said housing construction had increased. But when the treasurer later faced reporters, almost every question turned to house prices.

Buying a house is a long-term proposition.

· Jim ChalmersThe treasurer defended the government’s position as house prices came under sustained scrutiny.

The government’s reversal on its pledge not to reduce negative gearing and the capital-gains tax discount relied on Treasury forecasts. Those budget papers predicted that growth would slow by 2 percent over several years. Property data firm Cotality then reported price declines in every capital city in August, while Commonwealth Bank forecasts suggested prices could fall by as much as 13 percent, worrying some mortgage holders.

Chalmers has dismissed price movements as unexceptional and defended his department’s projections. “Buying a house is a long-term proposition,” he said. He argued that recent interest-rate increases, rather than the government’s tax changes, were the main factor affecting the market.

No doubt.

· Matt ThistlethwaiteThe government frontbencher said tax changes had contributed to falling house prices.

That position became harder to maintain after fellow frontbencher Matt Thistlethwaite said there was “no doubt” the tax changes had helped push prices down. Asked about the comment on ABC, Chalmers said it was “one of a number of reasons.”

One of a number of reasons.

· Jim ChalmersChalmers responded when asked about Thistlethwaite’s statement on the effect of tax changes.

The treasurer also blamed social-media algorithms for spreading what he called “disturbing rubbish.” He said algorithms were hampering social cohesion and making it harder to address major problems. Prime Minister Anthony Albanese has made a similar argument, supporting greater user control over online feeds. Consent advocate Chanel Contos has proposed opt-in algorithms that would restore chronological feeds, an idea supported by some crossbenchers and the Greens amid concern about misogynistic content reaching young people.

Disturbing rubbish.

· Jim ChalmersThe treasurer used the phrase to describe content promoted by social-media algorithms.
About this summary

Originally published by ABC Australia in English. Translated, summarized, and contextualized automatically by DistantNews, with a note on how the source frames the story. Not individually reviewed before publishing. How this works.

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