Fri, 12th Jul 2024

In this episode of the Weekly Finance News Wrap, Paige Estritori discusses the financial landscape in Australia. A worrying trend shows a decline in real per capita disposable incomes and real wages, with an anticipated decade-long struggle to reach pre-pandemic wage standards. Stage 3 tax cuts may offer relief by increasing average weekly take-home pay, but economists warn of possible inflation and higher mortgage rates. While some Australians may save their additional earnings, consumer sentiment is down due to fears of these inflationary effects and mortgage rate hikes. On the other hand, business confidence remains high despite declining conditions. In Western Australia, residents face increasing costs of living, particularly with electricity bills, rents, and grocery prices. Existing measures like rebates and energy-saving campaigns have been taken, yet questions remain if more can be done.