News live: energy rebates will not be extended, Chalmers says; Australians’ credit card debt at four-year high | Australia news

Federal energy rebates will not be extended, Jim Chalmers says

Treasurer Jim Chalmers is speaking in Canberra, where he just announced the federal government’s energy bill rebates will not continue.

Chalmers is speaking to the press ahead of the release of the upcoming mid-year budget update, which he said would include “savings” and “difficult decisions”.

“And one of them is around these energy bill rebates,” he said. “The main game for the budget is obviously May, a big focus there will be to balance these two challenges.”

He added:

There have been three rounds of electricity bill rebates, and there won’t be a fourth. … These electricity bill rebates are an important part of the budget, but not a permanent feature of the budget.

Chalmers said changes to federal tax rates were a better system to permanently help with the cost of living.

Treasurer Jim Chalmers. Photograph: Mick Tsikas/AAP
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Credit card debt holding at four-year high

Australians had nearly $18.3bn in outstanding personal credit card debts in October, after interest-accruing balances surged the prior month.

The national total rose almost $1bn over the preceding 12 months, hitting its second-highest level since October 2021, new data from the Reserve Bank.

A fall in credit card spending during the month saw total interest-accruing debt slip behind the $18.4bn recorded in September.

Debit card transactions picked up, though, as consumers continued to spend their higher real incomes. Card spending totalled $84.5bn for the month – more than $500m higher than in September and $4.2bn higher than October 2024, according to Canstar analysis.

Canstar spokesperson Laine Gordon said the rise in debt was a worrying sign:

It’s concerning to see credit card debt climbing back to levels we haven’t seen since July 2021 – a clear sign more households are leaning on plastic to get by.

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