Federal Treasurer Jim Chalmers has kept open the prospect of tax incentives in the budget as business warned that changes to foreign investment laws. It comes amid criticism that budget spending could prompt further inflation and prompt rate rises.

Council of the City of Sydney

Domestic violence has taken center stage in recent discussions, marked by events ranging from rallies to night-time vigils, and culminating in an urgent National Cabinet meeting. The issue, which has long demanded attention, is acknowledged by officials, one of whom expressed regret over the government's inability to fully address the problem so far. In response to the crisis, it is announced that the upcoming budget will allocate nearly $1 billion to combat domestic violence, although there are calls for even greater funding. This comes amidst questions of fiscal priorities, contrasting the swift allocation of $50 billion for defense with the perceived underfunding of frontline domestic violence services.

As the budget is being finalized, the Treasurer is pressed to include measures that would soften the HEX burden on students and provide additional support to households struggling financially. Amidst these demands, the government faces a critical test of its commitment to address pressing domestic issues. The Treasurer has indicated that the previously announced Stage 3 tax cuts are expected to substantially alleviate cost of living pressures, with hints at additional measures, the details of which remain unspecified.

Looking forward, achieving a second budget surplus is a prominent goal for the government. However, concerns have been raised about the potential inflationary impact of redistributing too much surplus back to families. As a precaution, there are suggestions for both government and households to curb spending on non-essential items. From an international perspective, Washington DC signals that persistent inflation may necessitate keeping interest rates elevated for an extended period, echoing domestic economic challenges.

As inflation concerns loom, the domestic focus shifts to the upcoming Reserve Bank decision on interest rates, underscored by the broader economic strategy leading up to the federal election. Traditionally, budgets preceding elections feature increased spending. However, the current government appears to prioritize managing inflation and interest rates ahead of electoral considerations.



Government hints at further tax incentives in Budget

From rallies to night-time vigils and a hastily convened National Cabinet meeting, domestic violence has dominated the agenda this week. I'm so sorry that we haven't fixed this for you yet. Part of the fix comes from funds, and there'll be almost $1 billion in the upcoming budget. But there's pressure for more. How can Labor find $50 billion for defence at the drop of a hat, but still leave frontline services underfunded? As the Treasurer puts the finishing touches on the budget, there are also demands to ease the HEX burden and help for households doing it tough. There is a true test for this government as to whether they are going to focus on the things that really matter. Jim Chalmers has warned the already announced Stage 3 tax cuts will be the biggest cost of living relief, but he's also promised there'll be other measures, it's just unclear what they will be. A second surplus is also in the government's sights. And that's great, but if the government hands back too much of that to families and they spend it, that could add to inflation. That fights inflation. So there's a call for a cut back in government spending, and another for households to do it as well. Half-looking discretionary spending, do you need that coffee? Do you need that expensive, lavish meal? From Washington DC, there's a signal lingering inflation will keep rates higher for longer. Inflation is still too high. Further progress in bringing it down is not assured. Rates remain on hold there, while the Reserve Bank will make a decision next week. This is all happening a year out from a federal election, and more often than not, there'd be a cash-splash in the budget, but it seems the government would prefer to get interest rates down before people head to the polls.

At the former U.S. president's trial on Thursday, Donald Trump's lawyer accused star witness Michael Cohen of lying about a phone conversation he claimed to have had with Trump about a hush money payment to adult film actress Stormy Daniels shortly before the 2016 presidential election.

Manhattan

Trump's lawyer accuses Cohen of lying at hush money trial

Authorities have charged an alleged gunman with the attempted murder of Slovak Prime Minister Robert Fico. Following emergency surgery, Fico's condition is now listed as stable but serious.

Banská Bystrica

Alleged gunman charged with Slovak PM's attempted murder

Peter Dutton has announced if the Opposition wins Government it will cut permanent migration numbers in half in an effort to ease the housing supply crisis.

Canberra

Opposition plans to slash foreign arrivals

France has deployed troops to New Caledonia's ports and international airport, banned TikTok and imposed a state of emergency after three nights of clashes that have left four dead and hundreds wounded.

Nouméa

TikTok banned in New Caledonia amid riots

Leaders Xi Jinping and Vladimir Putin framed their nations' ties as a stabilizing force in a chaotic world as they met in Beijing. It is Putin's first trip abroad since his March re-election and the second in just over six months to China, an economic lifeline for Russia.

Beijing

Russia's Vladimir Putin meets China's Xi Jinping in Beijing

This week, the U.S. Department of Justice said Boeing did not hold up their end of the bargain after 737 Max crashes and now it's a possibility the company could face charges.

Washington

U.S. Justice Department may prosecute Boeing

France declared a state of emergency on the Pacific island of New Caledonia after three young indigenous Kanak and a police official were killed in riots over electoral reform.

France declares state of emergency in New Caledonia

Israel's defense minister publicly challenged Prime Minister Benjamin Netanyahu over the country's post-war plans for the Gaza Strip, with Yoav Gallant stressing his opposition of any long-term military rule by Israel in the ravaged Palestinian enclave.

Jerusalem

Israel-Gaza War

Israel's defense chief challenges Netanyahu on Gaza

Peter Dutton is set to deliver a budget reply speech, hinting at a focus on migration intake to address the housing crisis. The Coalition expected to propose further cuts to migration numbers and align housing supply with immigration rates.

Opposition wants fewer migrants to ease housing crisis

Former Bulldogs and Tigers Brandon Wakeham has been charged over allegedly supplying large quantities of MDMA and cocaine. The 25-year-old, along with two co-accused arrested by Police and charged with commercial supply of illicit drugs.

Former NRL player charged over alleged drug supply

Slovakia's Prime Minister Robert Fico has been undergoing surgery after being shot in a suspected assassination attempt, as he greeted supporters after a meeting. Five shots were fired at close range, while security scrambled to confront the shooter. The government says the attack, which has left the prime minister in a critical but stable condition, was politically motivated.

Bratislava

Slovakia PM's 'life in danger' after assassination attempt

Russian President Vladimir Putin arrived in Beijing for talks with Xi Jinping that the Kremlin hopes will deepen a strategic partnership between the two most powerful geopolitical rivals of the United States.

Putin arrives in China, to meet Xi Jinping in Beijing

Ukrainian forces struggle to repel Russian advances near the important city of Kharkiv. U.S. Secretary of State Anthony Blinken is in Kyiv to highlight $61 billion US in aid and weapons, but some say it comes too late to make a difference.

Kyiv

Ukraine Invasion

Concerns U.S. aid for Ukraine arriving too late as Russia advances

Dutch nationalist Geert Wilders said a deal had been reached to form what was set to be the most right-wing government in the Netherlands in decades, almost six months after a major election victory.

Amsterdam

Netherlands set for most right-wing government in years

Firefighters in western Canada are battling the first major wildfires of 2024 after unseasonably warm temperatures and an ongoing drought left forests tinder-dry. The blazes prompted evacuation orders for parts of northern British Columbia and Alberta.

British Columbia

Climate Crisis

Wildfires in western Canada spur large evacuations

Protesters occupying a University of Melbourne building are refusing to move, defying orders by Police and risking arrest. A group of around one-hundred students staging a sit-in to protest the war in Gaza.

Melbourne

Pro-Palestine protesters refuse to leave uni campus

A Sydney council has voted to overturn a controversial same-sex parenting book ban that prompted national outrage. Riot police were called after rival protests gathered outside the council chambers.

Cumberland City Council

Council votes to reverse same-sex parenting book ban

Hundreds of police are scouring northern France for Mohamed Amra, a fugitive known as "The Fly" who was freed by gunmen in a brazen attack against a prison van that killed two guards and wounded three.

Paris

French police search for 'The Fly' after deadly prison van escape

Slovakia's Prime Minister Robert Fico is battling life-threatening wounds after officials said he was shot multiple times in an assassination attempt condemned by European leaders. The suspected gunman was detained by police.

Handlová

Slovakian leader critical after assasination attempt

The Cannes Film Festival officially kicked off as celebrities walked the red carpet into the plush Grand Theatre Lumiere to honour Hollywood actor Meryl Streep before settling in to watch this year's opening film, "The Second Act." Story by Monte Francis.

Cannes

Cannes kicks off with a Palme d'Or for Meryl Streep

Ukraine has pulled back troops near several villages in the northeastern Kharkiv region, where Russian forces have been advancing and pounding settlements in a new offensive along the border, Kyiv said.

Kharkiv

Ukraine pulls back from two areas of Kharkiv

French police and authorities have launched a nationwide manhunt for an escaped prisoner, after an armed gang ambushed his prison van, killing two officers. Video footage has emerged of the deadly attack which took place in Normandy, France on Tuesday morning in public.

Normandy

Manhunt underway after prison van attack in France

The Federal Budget has promised an energy rebate of $300 for all Australian households, but critics say a lack of means testing is a tougher sell. Federal Treasurer Jim Chalmers says the latest budget will reduce inflation, but economists disagree.

Federal budget promises an inflation fix 'by Christmas'

U.S. Secretary of State Antony Blinken told President Volodymyr Zelenskiy during a trip to Kyiv that part of a major U.S. aid package had arrived in Ukraine and that more was on its way.

Blinken says Putin must pay for damage in Ukraine

In his second day on the stand at Donald Trump's criminal trial, the prosecution tried to build up the former fixer's credibility as a witness who can link Trump to the alleged scheme of falsifying business records to conceal hush money payments to adult film star Stormy Daniels.

New York

Star witness Michael Cohen grilled by defence at Trump trial

A preliminary National Transportation Safety Board (NTSB) report says the cargo ship Dali that collapsed the Francis Scott Key Bridge in Baltimore lost power twice in the hours before it left port.

Baltimore

Report: Ship lost power twice before ramming Baltimore bridge

At least two French prison guards were shot dead and three others seriously injured after heavily armed men ambushed a prison van to free an inmate, French police said, triggering a major manhunt.

Incarville

Manhunt underway after prisoner van ambushed

The Georgian parliament has approved in the third and final reading a divisive bill that sparked weeks of mass protests, with critics seeing it as a threat to democratic freedoms and the country’s aspirations to join the European Union.

Tbilisi

Georgian Parliament adopts controversial law despite protests

U.S. President Joe Biden has unveiled a bundle of steep tariff increases on an array of Chinese imports including electric vehicles, computer chips and medical products, risking an election-year standoff with Beijing in a bid to woo voters who give his economic policies low marks.

Biden sharply hikes U.S. tariffs on China chips, cars

The Treasurer has announced a $300 power bill rebate for households and a $325 rebate for small businesses, alongside measures to address inflation and support low-income households, aiming to alleviate the country's cost of living pressures.