Weekly Wrap Up – 12 December 2025
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Last week, we said we’d watch how new Greens leader David Shoebridge worked with Labour in the Senate. Well, this week, the Greens formed an unlikely alliance with the Coalition and crossbench to remove legislation winding back private health insurance rebates for over-65s from the parliamentary agenda. It’s an early but expected sign that Shoebridge’s leadership won’t necessarily translate into a more cooperative relationship with Labour.
Elsewhere, Communications Minister Anika Wells introduced Labor’s Digital Duty of Care Bill, removing ministerial powers to define new online harms and exempting professional news material. Despite these concessions, neither the Coalition nor Greens are supporting the legislation, with it instead being referred to a committee for further inquiry. While feeling more like a footnote in the context of this week, the Government also introduced legislation for its domestic gas reservation scheme and minimum tax on discretionary trusts, the latter of which will be outright rejected by the Coalition and criticised by the Greens over exemptions for private school fees.
Meanwhile, the Joint Select Committee on AI sent a letter to the Prime Minister outlining recommendations on AI regulation, copyright, and data centre investment. Curiously, the letter had been reviewed and edited by the Prime Minister’s Office before being sent to, well, the Prime Minister. Beyond the unusual drafting arrangements, the letter reinforces the Government’s ambitions to attract AI investment, despite growing concerns from Australia’s creative industries.
Meanwhile, over in the Liberal camp, Angus Taylor must be thinking that with friends like Josh Frydenberg, who needs enemies? Liberal Leader in Exile and current Goldman Sachs Australia Chair Josh Frydenberg was this week promoting his upcoming biography, A Grateful Son. However, the whole affair sounded less like a book launch and more like a pitch to become the next PM. But with policy proposals such as increasing the GST during a cost-of-living crisis and cutting government spending, one can’t help but cast one’s mind back to the Liberal Party’s 2022 election campaign, when it promised to wind back tax cuts and was dogged by Labor’s attacks over cuts to Medicare. Regardless, any comeback would require an Andy Burnham-esque effort, given Frydenberg isn’t a member of the House of Representatives, having been booted out by the good people of Kooyong.
Top Talking Points
Parliament Sits: Federal Parliament reconvened, debating an Australian domestic gas reserve, a new Digital Duty of Care, minimum tax on discretionary trusts, and rebates on private health insurance.
National Press Club Addresses: Madeleine King and Anika Wells addressed the National Press Club this week on critical minerals and the Digital Duty of Care legislation.
Artificial Intelligence Public Hearings: The Joint Select Committee on AI held further hearings in Canberra on Wednesday and Friday, with representatives from Amazon, the Tech Council of Australia and the Productivity Commission scheduled to appear.
Conservative Political Action Conference: CPAC was held in Brisbane over the weekend, with Opposition Leader Angus Taylor addressing the conference, while Pauline Hanson reportedly drew the strongest response from attendees.
Polling: The latest Newspoll showed Labor’s primary vote rising two points to 29 per cent, the Coalition up one point to 20 per cent, and One Nation down two points to 28 per cent.
Making headlines this week
Joint Select Committee on Artificial Intelligence Letter
Victorian Pre-election Commitments
The Government faced setbacks on two significant budget measures this week. Opposition to the Government’s proposed 30 per cent minimum tax on discretionary trusts intensified, with growing pressure from business groups, investors and state governments over the potential impact on family businesses and asset structures. This follows Treasury’s release of exposure draft legislation, which includes concessions aimed at reducing restructuring costs and addressing concerns raised during consultation.
Meanwhile, the Government suffered a setback in the Senate after the Coalition, Greens and crossbench combined to block the Private Health Insurance Amendment (Modernising the Private Health Insurance Rebate) Bill 2026, removing the legislation from the Notice Paper. The Bill would have reduced private health insurance rebates for Australians aged 65 and over, generating an estimated $3 billion in savings to fund aged care reforms. Mark Butler committed to reintroducing the legislation, but the vote highlights the Senate challenges facing the Government under the Greens’ new leadership.
Things to watch
19 October, David Crisafulli will Financial regulators sharpen focus on superannuation, fraud and resilience
ASIC’s review into the financial reporting and audit of superannuation funds identified shortcomings in investment valuations, including insufficient trustee scrutiny of external managers, delayed liability adjustments and inadequate disclosures. Auditors were also found to have insufficiently tested valuations and supporting evidence.
Treasury opened consultation on new ATO powers to combat fraud and financial abuse, including recovering debts from fraudulent tax agents, providing relief to victims of agent fraud, and extending garnishee powers to jointly held assets.
In its 2025-26 Annual Report, APRA described Australia’s financial system as strong and resilient despite geopolitical and technological pressures. The regulator increased its focus on superannuation governance and cyber resilience, while highlighting continuing challenges around insurance affordability, availability and climate-related risks.
Australia strengthens international ties and regional engagement
Anthony Albanese welcomed His Majesty King Abdullah II ibn Al Hussein of the Hashemite Kingdom of Jordan in Canberra to set a forward-looking agenda for a strengthened bilateral relationship, building on the 2016 Joint Declaration on Enhanced Cooperation.
Jim Chalmers travelled to Bangkok for the IMF-World Bank Group Annual Meeting, calling for an end to the Middle East conflict and the reopening of the Strait of Hormuz. He also attended the G20 Finance Ministers and Central Bank Governors Meeting.
Penny Wong and Pat Conroy welcomed the President of the Republic of Palau, H.E. Surangel S. Whipps Jr., to renew the bilateral development cooperation arrangement and officially open Palau’s Embassy in Australia.
Matt Thistlethwaite travelled to Singapore to represent Australia at Singapore International Cyber Week (SICW) and enhance Australia’s economic partnership with Singapore. He will also attend the inaugural SICW Ministerial Roundtable for a closed-door discussion on AI-enabled cyber threats.
Gas, renewables and animal welfare reforms
Madeleine King introduced the Government’s domestic gas reservation legislative package. The Bills will require LNG exporters to reserve up to 20 per cent of exports domestically. The reforms aim to boost supply, lower prices and support Australian manufacturing, with changes limiting ministerial discretion and requiring consultation with states and territories on decisions affecting them.
Chris Bowen announced record renewable investment in Australia, with 5 GW reaching final investment decision in 2026. This follows increases in wind and solar investment and strong growth in household solar and battery uptake.
The New South Wales Government introduced the Prevention of Cruelty to Animals Amendment (Office of Animal Welfare) Bill 2026 to establish an independent Office of Animal Welfare. The Office aims to strengthen oversight of animal welfare enforcement, funding and complaints.
Digital safety, mobile coverage and transport in focus
Anika Wells introduced the Digital Duty of Care legislation, with the Government seeking passage before Christmas and open to amendments to secure Senate support. Following consultation, the Bill removes ministerial powers to define new harms and introduces carve-outs for professional news and entertainment content.
The Telecommunications Legislation Amendment (Universal Outdoor Mobile Obligation) Bill 2025 passed the Parliament, with the Government agreeing to Coalition amendments aimed at strengthening the reliability of mobile services, including during disasters. The Greens’ amendment to introduce mandatory domestic mobile roaming was not agreed to.
Documents obtained by the New South Wales Opposition revealed potential metro and heavy rail extensions across Western Sydney. The Coalition has committed to another metro if elected, while the Government continues to assess potential routes through business cases without committing to either proposal.
Fair pay, higher education and labour market developments
Mark Butler announced a $630 million investment to deliver fairer pay to over 460,000 workers in health, disability and community services. The reforms follow the Fair Work Commission’s findings that work done by women in these industries has been undervalued.
The Universities Accord (Opening the Doors of Opportunity) Bill 2026 passed the House of Representatives yesterday following amendments in the Senate. The final legislation passed with a number of amendments negotiated between the Government and the Greens, including changes to the framework governing international student allocations.
The National Student Ombudsman Levy Bill 2026 passed Parliament. The legislation secures ongoing funding for the Ombudsman and its support for students to continue accessing free assistance.
ABS labour force data showed unemployment rose slightly to 4.7 per cent, while full-time employment reached a record 10.23 million. Amanda Rishworth communicated that the labour market remains resilient despite global economic uncertainty.