1
Australia's retail sector faces challenges in 2024
Despite Christmas and Boxing Day sales beating expectations, the Australian Retail Consortium has reminded retailers that the early months of 2024 could be very tough as consumers cut back on spending.
The Australian Retail Consortium expects seasonal sales to rise 1.6 per cent on last year to $24 billion, setting a new record for December. However, the surge in demand for everyday items such as bed linen, bedding and household items may signal that consumers are preparing for a six-month spending downturn.
Chris Richardson, an economist at Access Economics, said in an interview: "2024 is going to be an uphill battle for retailers. It's going to get worse, but I don't think it's going to fall off a cliff...... Things will gradually improve as the year progresses, but mostly from July. ”
ANZ economist Adelaide Timbrell said consumption growth in 2023 was actually relatively stagnant, given inflation and population growth.
The economists noted that successive interest rate hikes have squeezed the budgets of mortgage households, while inflation has pushed up utilities, municipal tax rates and other basic living expenses. But the federal government's upcoming third phase of personal income tax relief, which will return $21 billion to most high-income earners, is expected to provide a stimulus to the retail sector in the middle of the year, insulating the sector from a severe slowdown.
At the same time, cost-conscious consumers cut back on spending, with spending on eating out and takeaway falling by more than 3.3% during the holiday season.
Spending in department stores is the highlight of the season, with an expected increase of about 4.8%, while clothing sales are also expected to rise by more than 3% compared to last year.
2
NSW Queensland voters have become Labour's "number one black fan"!
Coalition support soared
According to the latest Newspoll conducted for The Australian, voters in major age groups, including NSW and Queensland, are starting to speak out against the Albanese government.
Pyxis Polling &Insights conducted an online survey of 3,655 voters across Australia between October and December.
The survey results show that Labour's main vote in NSW has fallen, with 37 per cent of participants saying they would vote for the Coalition if a federal election were held today.
In Queensland, the League has a higher support rating of 41 per cent.
Labour's support in the primaries in South Australia and Western Australia remains strong, but in Victoria, the two parties are evenly matched.
At the same time, the Greens' support remains high.
The Greens beat Pauline Hanson's One Nation by a few percentage points in each state, receiving 15 per cent of the primary vote in Victoria, according to the survey.
Among the main groups of voters, including the 50-64 age group, the League also surpassed the Albanese government in terms of support.
Such voters are more likely to own assets and bear the lion's share of the income tax burden.
Some 40 per cent of respondents said they would vote for the Coalition if a federal election were held today, compared to just 33 per cent who felt the same for Labour.
Among those aged 33-45, the competition between the two major parties is also fierce, with voter support evenly divided.
然而，Anthony Albanese在首选总理类别中仍然牢牢领先于Peter Dutton。
Respondents in all states except Queensland agreed that Albanese was the better prime minister, while in Queensland, Dutton led by a percentage point.
Since taking office in 2022, the Labour leader's approval ratings have been declining for a long time, but over the past three months, his approval rating has stabilized at 46%.
Ahead of the results of the news polls, Labour's 2023 season will be a mess.
3
The Victorian Government is exempt
Tennis Australia $43 million loan
During the pandemic, the Victorian government, led by Daniel Andrews, forgave $43 million in loans to Tennis Australia, helping the sports organisation achieve a record $62 million surplus in 2023.
After losses totalling more than $100 million in 2020 and 2021, and a slim profit of $4.4 million in 2022, Tennis Australia, chaired by Virgin Australia CEO Jane Hedlika, reported its best ever result – an operating surplus of $19 million.
Financial statements filed with the company's regulator show the sports body generated $553.3 million in revenue from events and merchandise sales in the year to September. Its spending rose slightly, from $517.3 million to $527.4 million.
But this record surplus has been boosted even further thanks to an agreement that extends the Australian Open in Victoria for another two years until 2046, in exchange for which the state government "exempts tennis Australia from its obligations and responsibilities".
In February 2021, Victoria borrowed $40 million from Tennis Australia at an interest rate of just over 4%. Full repayment was originally scheduled for February 8, 2039.
In the weeks leading up to February 2021, there was a public controversy over who would bear the cost of the 14-day quarantine for 72 players and their teams. Tennis Australia chief executive officer Craig Tyley said the cost "could end up in excess of $40 million".
The Victorian Police Minister at the time, Lisa Neville, insisted that Tennis Australia would fund the cost and that the government would not contribute a penny. "I want to make it clear again that the cost of hotel quarantine at the Australian Open is entirely paid for by Tennis Australia. I confirmed this three more times today. ”
By forgiving Tennis Australia's Covid debt, the Victorian government has effectively paid the bills for the player quarantine program.
"The $43 million contribution to this result was a one-off cancellation of liabilities from Victoria, in exchange for which Tennis Australia committed to extend the Australian Open in Victoria for two years until 2046," Tennis Australia said in its financial statements. ”
"The remaining $19 million surplus represents a recovery from a pandemic-impacted year and a focus on cost reduction...... Looking ahead to 2024, Tennis Australia has returned to debt-free status, providing an opportunity for further investment in tennis. ”
Asked about the debt, a Tennis Australia spokesperson said: "The cost of the 2021 Australian Open quarantine is covered by Tennis Australia. ”
4
Australia has 2,349 construction companies closed in a year
A staggering 2,349 construction companies have failed in Australia over the past year, and many more are likely to face the same fate soon.
The construction industry has been struggling by a "perfect storm" of high interest rates, soaring material costs and ongoing worker shortages in Australia's construction industry.
According to the latest data released by the company's regulator, ASIC, the number of bankruptcies in the construction industry reached an annual record in 2023.
The third quarter of 2023 was the worst period for the construction industry, with 785 construction companies declaring bankruptcy.
In the first three days of December alone, four construction companies went bankrupt.
However, Denita Wawn, chief executive of the Australian Institute of Builders, remains optimistic about the industry. "Despite the volatility experienced by the building and construction industry over the past financial year, it is reassuring to see that businesses remain resilient," she said. ”
"This is a challenging time for some businesses caught in the perfect storm of rising material prices, labor shortages and rising interest rates, while being tied down by fixed-price contracts. ”
The number of insolvencies across the economy increased by 31% compared to 2022, with the construction sector accounting for the vast majority of corporate failures.
Of the 8,471 businesses that have failed this year, nearly 28% are in the building and construction industry.
Against the backdrop of an ongoing housing shortage caused by Australia's record overseas migration, the collapse of builders, contractors and subcontractors will not only have an immediate impact, but could also limit the future of new home supply.
Since November 2021, a series of high-profile business failures have shaken the construction industry.
BA Murphy、Condev Construction、Oracle、LDC、ProBuild、Pivotal Homes、Hallbury Homes和Warren Homes等公司均成为受害者。
Porter Davis, one of Australia's largest homebuilders, collapsed in March when the company had 1,700 properties under construction in Victoria and Queensland. Another 779 future homeowners have signed contracts, but construction has not yet begun. The company's 470 employees lost their jobs, while 1,000 unsecured creditors faced a total of $71 million in debt.
Recently, W3D Construction in Queensland declared bankruptcy, with almost $1.3 million in debt, and Brisbane's renowned The Southport School's stadium project is still under construction.
In another case, a series of businesses in the cabinet and building products sector owned by GDK Group collapsed, accumulating debt of more than $45 million.
Dome Building Projects, which completed bespoke construction and refurbishment works in Melbourne's eastern suburbs, declared bankruptcy in October and failed to make payments to the company's former directors.
However, despite the record number of construction company failures, there are also many businesses established in the industry.
According to data released by the Bureau of Statistics, in the 12 months to June 2023, a total of 73,405 construction companies ceased operations, but at the same time, 73,013 new companies joined the sector.
5
Australians' mortgage heavy electronic product consumption shrank by 40%,
36 to 45-year-olds are the most in arrears!
In 2023, households are under constant cost-of-living pressures, and their spending patterns are changing. Stubbornly high inflation and rising interest rates are also putting serious pressure on many household budgets, especially those with high mortgages.
According to an analysis published by Illion, an Australian credit reporting agency, the following five charts reveal the shift in spending patterns amid the cost-of-living crunch, and where financial stress is most severe.
The analysis was compiled using data from more than 18 million credit consumers and banks, and included research on consumer defaults.
Persistently high inflation, higher interest expenses, and rising tax burdens have had a heavy impact on consumers. Real household disposable income fell by 4.3 per cent in the year to 30 September, the largest decline since the 1980s, according to the latest economic report card released by the Australian Bureau of Statistics.
In response, shoppers have reduced their spending on big-ticket non-essential items like electronics, furniture, and other household items.
Electronic devices have been particularly hard hit, such as mobile phones, laptops and iPads and other 3C electronics.
Louis Tsang, head of analytics and data services at illion, said spending on consumer electronics has fallen by 40% over the past six months compared to the same period in 2022.
"People are abandoning equipment upgrades this year, and I think there's a lot of that happening now. In the past six months, compared to the same period in 2022, purchases of household goods and equipment have fallen by 12%, and spending at department stores has fallen by 3%. Illion's data also shows that spending on childcare has also decreased.
6
Australian rockets may be launched from Queensland
The industry is worried about the government's lack of attention to the aerospace industry
According to the plan, the first locally built rocket to be launched into space from Australian soil will lift off from a commercial facility in Queensland early next year. If successful, Australia would become the 12th country to have the technology.
Gold Coast-based Gilmour Space has completed final preparations for its sovereign orbital system, known as Eris, and after receiving various regulatory clearances, including environmental approvals, Gilmour Space must now await final launch clearance from the newly formed Australian Space Agency, which is expected to launch in March next year.
The three-stage Eris rocket is 25 meters high, weighs more than 30 tons, and is powered by five hybrid engines, which contain solid fuel and liquid oxidizer. The satellite was originally expected to take off in 2023 and was planned to deliver a 305-kilogram payload to a near-Earth equatorial orbit at an altitude of 500 kilometers.
Gilmour Space CEO, former banker and space enthusiast Gilmour Gilmour said, "We have never launched an Australian-made rocket and have always relied on other people's technology, but now we have designed and built our own rocket, which is an Australian rocket," said Gilmour Space.
We have global competitors who are getting a lot more money in their own country than we are getting from our country, and Australia has to think hard about what it wants and recognise that all of our major allies are putting hundreds of millions to billions of dollars into launch capacity and we don't.
Members of Australia's fledgling space industry have often expressed concern about missing out on lucrative opportunities, arguing that the Australian government has been lacking attention to the industry since the 2022 general election.
Earlier this year, Industry and Science Minister Ed Husic announced the cancellation of plans by the former bipartisan Morrison administration to develop Australian satellites to collect data on natural disasters, agriculture and ocean monitoring.
7
节礼日OZ Lotto九千万澳元开奖
The three from Sydney each received $30 million
Three lucky bettors who will become multimillionaires in 2024 won the OZ Lotto $90 million Boxing Day draw.
All three winners are from Sydney, with one saying they would spend the money on a new house and overseas trips, while a couple is planning to retire early.
The third winner has yet to respond to a life-changing call from lottery officials.
A father in Sutherland said he gambled on a $90 million lottery and didn't expect to take home a life-changing prize.
He said, I was like, whatever, I'm going to try.
On the night of the 26th, as he was getting ready for bed, he received a call from the lotto lottery staff who mistakenly thought he had won $32,000 instead of $32 million.
He said, what, 32 million, I read it was 32,000 Australian dollars. I didn't read it well. That doesn't happen to someone like me.
The family man said he planned to buy a house for the children to settle down and then go on holiday overseas.
A man in Campbelltown and his wife, who are considering early retirement, called the win a dream come true.
He said he couldn't believe it when his award was confirmed, and his body was shaking.
I buy it sometimes and today I saw that there was a $90 million draw, so I bought a ticket this afternoon, he said.
The man, who hails from southwest Sydney, said the prize money would be shared by his family.
"Some of my family members have been going through difficult times recently and it will be a huge help," he said. My wife and I work hard, but I think it's possible to retire early while also helping our children and family.
Lottery officials said they were unable to get in touch with the third-place winner through the contact details provided.
The winning ticket was purchased at a NSW lottery ticket sale point in County Cumberland.
Matt Hart, a spokesman for the lottery company, said that it was a pity that whenever we called the phone number provided, the phone rang and then went directly to the message.
Each winner received a first prize of $32,629,794.23.
8
South Australia will remove the EV cashback subsidy in 2024
To help balance the budget, the South Australian government has urgently scrapped a $3,000 subsidy that will be lost to thousands of people in the state.
In 2024, South Australian residents will no longer be able to claim the $3,000 discount on electric vehicle purchases.
The decision comes as the state government tries to find a solution to the $625 million debt crisis that is expected to emerge in the coming years.
In last Thursday's mid-year budget review, South Australia's finance minister, Stephen Mullighan, said the federal government's cashback policy was a better incentive for people to buy electric vehicles than the policies offered by state governments.
"State and territorial subsidies for electric vehicles have been completely and completely replaced by new incentives introduced by the federal government," he said. "
"The federal incentives are four times as large as the incentives of the Australian state governments. "
The federal government is offering $12,000 cashback to those who buy an electric vehicle.
However, the Treasurer said people who have already placed an order to buy an electric vehicle or plan to place an order to buy an electric vehicle by December 31, 2023, will still be eligible for cashback from the state government.
NSW and Victoria have also scrapped the $3,000 EV subsidy ahead of schedule.
Mr Mullighan said the subsidy was expected to end when the $7,000 budget subsidy was disbursed, but only $2,500 had been disbursed so far.
State subsidies can be used for electric vehicle sales up to $68,000.