Australian news and politics live: Housing Minister Clare O’Neil avoids clear stance on stamp duty reform
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Big bank warns inflation rates could surge to a record high
One of Australia’s big four banks has warned that Wednesday’s inflation reading will likely come in at the top end of the RBA’s target range, all but killing off the chances of interest rate relief next month.
ANZ economist Sophia Angala forecast Wednesday’s quarterly inflation rate will come in at 0.9 per cent, lifting the overall figure to 2.8 per cent for the year.
“If the data does print in line with our expectation, it does point to the recent momentum of underlying inflation,” she said.
“As a result, we no longer expect a rate cut from the RBA in November.”
Wednesday’s CPI figures are tipped to be make-or-break for interest rate cuts in November, as unemployment rose to its highest levels in four years, opening the door to interest rate relief.
O’Neil dodges stamp duty question after RBA recommendation
Housing Minister Clare O’Neil has faced pointed questions about stamp duty after the Reserve Bank Australia Governor critices the tax as a major barrier to lowering costs.
When asked about supporting the Reserve Bank Governor’s call to reduce or eliminate stamp duty, O’Neil said, “Some of the states have attempted to move away from stamp duty and I have been really supportive of that. This is a big challenge that State Governments face and I would never (add) commentary about how they should deal with those things because they are state issues,” she told Sunrise.
Pressed on whether she would put pressure on states to scrap stamp duty, Ms O’Neil replied, “Let me be really clear, I have made my comments about stamp duty. This is a responsibility for the State governments.”
When the host interrupted to say Ms O’Neil could put pressure on the states, she responded,
“That’s exactly what we are doing.”
