Treasurer Jim Chalmers was spotted on a morning run near Parliament House in Canberra on Friday, just days before delivering what he calls Labor's most ambitious federal budget yet. The budget, set for Tuesday, aims to rebalance intergenerational equity away from baby boomers and invest billions in resilience against global shocks.
Farrer Byelection: A Political Shift
Saturday's byelection in the rural New South Wales seat of Farrer, held by former opposition leader Sussan Ley, is equally significant. Labor is not contesting, leaving One Nation's David Farley and independent Michelle Milthorpe as the main contenders. A One Nation victory would mark the party's first lower house win, 30 years after Pauline Hanson's initial election. The race highlights declining major party support and rising grievance politics amid tough economic times.
Hanson has campaigned on anti-immigration policies and support for Ben Roberts-Smith, while boasting a private plane gifted by billionaire Gina Rinehart. One Nation recently barred ABC journalists from covering Hanson's event, reflecting its adversarial media stance. Farley's past ties to Labor and the "Voices" movement have raised questions about his commitment to One Nation.
Budget Reforms and Political Risks
Chalmers' budget is expected to target negative gearing and capital gains tax discounts, breaking previous promises. These changes aim to cool the housing market but risk angering property investors and lobby groups. The Coalition, led by Angus Taylor, will likely use this as ammunition. Labor's reform appetite is tested, with some in caucus urging bolder action.
The byelection result and budget could weaken the Coalition further while boosting Hanson's influence. Labor's preference deal with One Nation may backfire, strengthening the right-wing party. Chalmers insists the reforms are about fairness, but creating losers among Coalition voters could fuel political shocks. As the next election looms, this budget may be Labor's best chance for major reforms.
