Sun, 18th Aug 2024

In this week's Financial Services Online news wrap, the significant challenges facing Australian small businesses, revealing nearly 1.25 million enterprises are at risk of collapse due to rising living costs, are discussed. Key factors contributing to this crisis include escalating energy costs, regulatory burdens, and changes to industrial relations. Reserve Bank Governor does not foresee interest rate cuts in the near future due to inflation concerns and increasing construction costs. Additionally, the Australian Securities and Investments Commission initiates legal action against the Australian Securities Exchange over misleading statements about the CHESS replacement project. However, potential relief arrives as the Small Business Exemption amendment proposes a two-year extension on responsible lending regulations. This may bring improved dynamics for businesses with fewer than 100 employees or an annual turnover of less than $5 million.n