Australia news live: Liberals call for Lidia Thorpe to face privileges committee; eastern states brace for more rain

In everybody’s interest for stability to return to UK: Chalmers

Reporter:

Liz Truss resigned as prime minister to the chancellor’s mini budget. Are you feeling any pressure about what you might be presenting and what it might flow to and how do you think markets will respond to your budget on Tuesday?

Chalmers:

I think every friend of the UK wants to see some stability there. We don’t comment on the domestic politics or internal machinations of parties in countries with which we have a great relationship and a great friendship.

I’m sure on a personal level, it’s very difficult for Liz Truss and when it comes to economic policies in the most recent times, I think it is a sign of the times, frankly, in the UK that I’ve only been the treasurer here for five months and I’ve already had four UK counterparts.

And I think it’s in everybody’s interest, not least of which the UK’s, that there is a semblance of order and stability in the UK.

Updated at 21.39 EDT

Key events

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Victorian minister for emergency services Jaclyn Symes has stepped up for a press conference to provide an update on the flooding in the state, beginning by announcing a $77.3m health and education recovery fund to support local infrastructure and services.

Approximately 320 schools and 28 health services have been affected by the floods, with Symes reminding residents of the support currently available to residents:

On the immediate emergency payments, we have received 22,000 applications for that support and as of this morning, we have processed over 8000 of those.

This is more than $6 million that has gone into the pockets of those people that have been displaced or impacted directly through inundation in their homes so important additional payments ensuring they can go and buy necessities such as food, clothing, medication and the like and we have a lot of staff on hand to process those applications as quickly as possible.

I do want to remind everyone that there is a lot of support available.

Sussan Ley calls for Lidia Thorpe to resign from Senate

I just wanted to return to a press conference deputy Liberal leader Sussan Ley held earlier today, where she called on Greens senator Lidia Thorpe to resign from the Senate.

Ley was scathing in her assessment, at one point saying it was inappropriate for Thorpe to be on law enforcement committees “by day” and “in bed with bikies at night”.

Lidia Thorpe is not fit to be in the Australian parliament. It’s pretty clear: you can’t get law enforcement agencies by day and be in bed with bikies at night. Let’s remember this transgression is not an isolated incident for senator Lidia Thorpe.

Her rap sheet is pretty lengthy. Lidia Thorpe had to retake her oath of office because she used it as a stunt to insult the late Queen Elizabeth II. She’s insulted our national flag and she’s participated in protests where the flag has been defaced and burnt. While occupying a seat in our Senate, she said that Australia’s very system of government is illegitimate. She’s abused Indigenous elders.

She’s trashed our institutions every day and every day since entering the parliament. This is a serious test for Adam Bandt and the Greens. Adam Bandt must ask senator Thorpe to resign from parliament.

While you can make of Ley’s comment about who is in bed with you as you will, Thorpe’s former partner was never convicted of any criminal charges.

Updated at 21.48 EDT

Business groups warn against Labor’s multi-employer bargaining changes

Guardian Australia reported yesterday that employer groups are concerned that Labor’s multi-employer bargaining changes have not been limited to low paid workers.

In a joint statement today the Business Council, Chamber of Commerce and Industry and Australian Industry Group – who all saw Labor’s IR bill in secretive consultations on Thursday – have warned against “proposed changes to workplace laws will have significant ramifications that raise the risk of higher unemployment, increased strike action and damage to our economic security”.

They said:

Business has deep reservations that any undue expansion of multi-employer bargaining risks jeopardising the important focus on encouraging employers and employees to reach agreements at the enterprise level. Any broader system of multi-employer bargaining must be voluntary and cannot lead to another layer of ill-suited, industry-wide terms and conditions.

ACCI chief executive, Andrew McKellar, said:

If proposals for multi-employer bargaining force unwanted terms and conditions on workplaces irrespective of whether productivity gains are realised, jobs and small business will be at risk. Undermining genuine workplace agreements and increasing the scope for aggressive industrial action are a recipe for disaster with deteriorating international conditions.

Australia Industry Group chief executive, Innes Willox, said:

The high-risk proposals as they currently stand will create enormous difficulties for business and carry unintended consequences that will cost jobs and cause serious damage to our economy.

But the treasurer, Jim Chalmers, made no apology for the changes, set to be introduced to parliament next week. Chalmers told reporters in Canberra that Labor wanted to get wages moving “across the economy … beginning with the lowest paid”.

The government’s policies reflect that it wanted “strong but sustainable” wage growth, he said.

Updated at 21.38 EDT

In everybody’s interest for stability to return to UK: Chalmers

Reporter:

Liz Truss resigned as prime minister to the chancellor’s mini budget. Are you feeling any pressure about what you might be presenting and what it might flow to and how do you think markets will respond to your budget on Tuesday?

Chalmers:

I think every friend of the UK wants to see some stability there. We don’t comment on the domestic politics or internal machinations of parties in countries with which we have a great relationship and a great friendship.

I’m sure on a personal level, it’s very difficult for Liz Truss and when it comes to economic policies in the most recent times, I think it is a sign of the times, frankly, in the UK that I’ve only been the treasurer here for five months and I’ve already had four UK counterparts.

And I think it’s in everybody’s interest, not least of which the UK’s, that there is a semblance of order and stability in the UK.

Updated at 21.39 EDT

‘Swings and roundabouts in the inflation figure’: Chalmers

Chalmers finishes his announcements and takes questions from reporters, including more on inflation.

When it comes to that inflation peak and I have to say more about that in the course of the next day or two is that there are swings and roundabouts in that inflation number. The big ongoing contributor to inflation increasingly will be the impact of these natural disasters and the impact of higher electricity prices.

But in the broader sense, what we are seeing in the economy when it comes to inflation is that some things are coming off quicker than what was anticipated earlier in the year and petrol is one of those.

So swings and roundabouts in the inflation figure. These natural disasters will have a big impact on inflation but that needs to be balanced out in the other pressures including petrol which has come off a bit faster than what was anticipated when we last forecast inflation number in the middle of the year.

Updated at 21.41 EDT

Government commits $3bn to contingency reserve for disaster response

The meaning of the old adage to “save it for a rainy day” has taken on new meaning for the government, which has had to provide huge sums of support for flood-affected communities all along the eastern states in the past 12 months.

The treasurer says the government is now adding an extra $3bn aside in their reserves for disaster response.

Chalmers:

I’ve put $3bn in the contingency reserve for additional commonwealth spending for disaster response for remembering that already about $1.5bn or almost that has been spent on payments to those impacted by previous floods and disasters.

The additional money in the contingency reserve will go towards government payments and other kinds of support. We don’t know yet whether that $3bn will be sufficient but we consider it prudent, responsible to put some of that money into the contingency reserve on the expectation that the government bill for what we are seeing in these flood-affected communities will be substantial.

As I said, this is just an initial estimate that cost could be even more significant but the cost of responding to natural disasters and building resilience in our economy, will be absolutely central feature of the budget that I hand out next Tuesday night.

I will put a premium on what’s right and what’s responsible and we certainly won’t be turning our back on … those doing it tough and flood-affected communities.

Updated at 21.14 EDT

Fruit and veg prices to increase 8% due to floods, treasurer says

Chalmers goes on to say how treasury believes agricultural commodities (and consequently our supermarket bills) will be affected by flooding:

They expect that the floods will cause for fruit and vegetable prices, for example, to be 8% higher than otherwise over the next two quarters, the last quarter of this calendar year, the first quarter of next calendar year and that’s based on the impact of previous flooding on some of our prime agricultural land.

We need to remember here, that we are talking about some of the best producing land in the world, producing a lot of groceries for domestic consumption but also, for exports.

And so, what’s happening here to these areas, particularly cruel, I think, given how close many of these farms were to producing what was expected to be a bumper crop.

Updated at 21.05 EDT

Floods will have an impact on GDP growth in next quarter: treasurer

The treasurer, Jim Chalmers, has stepped up to speak in Canberra providing more details about how the impact of flooding will be considered in the upcoming budget.

We are most focused on human costs of these natural disasters but it will have applications for the cost of living for the economy and for the budget as well.

It is too early for us to put very precise price tags on the flooding that we are seeing through such large swathes of Australia but we do know that there will be consequences for the economy and for the budget.

Treasury’s current assessment is that these floods will detract a quarter of a percentage point from GDP growth in the December quarter. That will be recovered in their estimation in the subsequent two quarters after that. It will add in their estimation, 0.1% percentage points to inflation the December quarter 2022 and again in the March quarter, 2023.

Updated at 21.00 EDT

Toddler taken to hospital after car crashes into Melbourne childcare centre

A toddler and three adults were taken to hospital after a car crashed into a childcare centre in Melbourne’s north, AAP reports.

The car smashed through the front windows of the Broadmeadows building and ended up inside about 9am this morning.

A police spokesperson said a young child inside at the time was lucky to escape serious injury and was taken to hospital for observation.

Three adults were taken to hospital as a precaution.

Police said it appeared a woman was attempting to park her car when the crash occurred.

Debris was scattered across the strip of shops after the crash.

Updated at 20.41 EDT

Risk of flash flooding in ACT

Severe storms are possible in the ACT, including Canberra. The Bureau of Meteorology is warning heavy rainfall could lead to flash flooding in the nation’s capital.

Updated at 20.35 EDT

Victorian government promises more training for renewables sector

The Andrews government will inject $6m to train workers in Victoria’s offshore wind sector through a new purpose-built centre, if re-elected at next month’s state election.

The wind training centre will be based in Melbourne and the government will also commission a review into regulatory requirements in the sector to improve worker safety.

In March, the government announced Australia’s first offshore wind targets to generate enough energy to power to 1.5m homes by 2032.

Aid sector welcomes Pacific commitment in budget

The Australian Council for International Development (ACFID) say they “warmly” welcome the government’s announcement of an additional $375m for aid and development to Pacific countries.

ACFID has been calling for assistance to be increased to meet the rising needs in developing countries, particularly those within the region, in the wake of the Covid-19 pandemic, and as climate change events gather pace.

The chief executive of the council, Marc Purcell, said:

Human development went backwards due to the pandemic, and Australia should be providing more support. In challenging economic and geostrategic times, an increase to ODA [Overseas Development Assistance] is critical.

The needs of our regional partners are clear: investment in health systems strengthening, climate change adaptation, gender equality, economic livelihoods and social protections.

The aid budget is about $4.5bn a year, which represents 0.20% of Australia’s gross national income. The OECD average is 0.33%.

ACFID has been concerned about the prospect of temporary, targeted and supplementary measures ending over the next two years, which would see the ODA budget lose $460m. Purcell said:

The new funds would address this drop off.

Updated at 20.28 EDT

Comedy Wildlife Photo finalists

If you’re in need of a Friday pick-me-up, I highly recommend taking a look at these comedy wildlife photo finalists.

Featuring sassy salmon and gentoo penguins, optical illusions of headless penguins and winged antelopes, as well as some of our very own native Australian animals.

Talk To The Fin: Two gentoo penguins hanging out on the beach on the Falkland Islands. Photograph: Jennifer Hadley/Jennifer Hadley/Comedywildlifephoto.com

Updated at 20.11 EDT