Weekly Wrap Up – 12 December 2025
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It has been a mixed week for the Government as Parliamentarians return to Canberra for the upcoming sitting fortnight.
On one hand, the Government received a welcome geopolitical and economic reprieve. The anticipated ceasefire agreement between the United States and Iran, including steps towards reopening the Strait of Hormuz, has eased immediate concerns about global energy markets and fuel security. Anthony Albanese welcomed the agreement, arguing that a lasting peace would help reduce pressure on energy prices and shield economies from further disruption. At a time when every cost of living pressure matters, lower fuel prices will provide relief both at the bowser and across broader inflationary settings.
That backdrop helped frame the RBA’s decision to leave the cash rate unchanged at 4.35 per cent. While borrowers received no rate cut, they were spared a fourth consecutive increase. While Jim Chalmers described the decision as welcome relief for households already under pressure, the RBA made it clear inflation remains stubbornly high and further hikes cannot be ruled out.
Yet the Government’s economic message is increasingly competing with another political reality: the rise of One Nation. In what was one of the most closely watched political events of the week, Pauline Hanson delivered her first address to the National Press Club amid polling that continues to show One Nation leading on primary votes and strengthening its claim to be more than simply a protest movement. This saw Hanson use her speech to sharpen One Nation’s focus on cost of living, immigration, climate change, identity politics, and artificial intelligence.
This sets the stage for what promises to be a thrilling parliamentary sitting fortnight. With committee reports on the Government’s tax and NDIS reform packages due today, attention will turn to the negotiations required to secure their passage. Following significant scrutiny of its tax reforms, the Government moved to consult on amendments ahead of the tax package’s introduction to the Senate, particularly in response to concerns from the startup and small business community. While the Government is hoping to secure support from the Coalition for its NDIS reforms and Greens backing for its tax measures, whether either package can successfully navigate the Senate remains one of the key questions in the weeks ahead.
Stay tuned.
Top Talking Points
US-Iran Peace Deal: Anthony Albanese and Penny Wong welcomed US President Donald Trump’s announcement of a ceasefire agreement with Iran.
Cash Rate: The RBA maintained the cash rate at 4.35 per cent.
National Press Club: Pauline Hanson addressed the National Press Club for the first time in her political career.
Coalition Retirements: Jonathon Duniam announced he will not seek re-election for his Tasmanian seat at the next election.
Federal Polling: The latest poll from Resolve shows One Nation leading on 29 per cent, ahead of Labor on 28 per cent and the Coalition on 20 per cent.
Making headlines this week
Tax Reform Developments
KPMG Inquiry Updates
Elsewhere, representatives from KPMG and associated firms and associations are currently before the Parliamentary Joint Committee on Corporations and Financial Services’ inquiry into the Oversight of ASIC, the Takeovers Panel and the Corporations Legislation. The hearing comes as KPMG faces scrutiny over allegations that confidential client information was improperly used to secure audit work. These allegations have triggered an ASIC investigation, multiple senior departures, and a broader review of the firm’s governance and ethics frameworks. The Government has also imposed a temporary freeze on new government contracts with KPMG until 30 September while an independent review is undertaken. The Committee is expected to examine KPMG’s handling of whistleblower complaints and the adequacy of existing regulatory oversight.
Things to watch
22 June: The Federal, New South Wales, and Queensland Parliaments will sit.
23 June: The New South Wales and Queensland Governments will hand down their 2026-27 State Budgets, and links to GRACosway’s Budget insights will be included in next week’s Weekly Wrap Up.
24 June: The ABS will release Engineering Construction Activity and Consumer Price Index data.
24 June: CEDA will host Daniel Mookhey to deliver the NSW State Budget Address 2026.
24 June: Ted O’Brien will address the National Press Club, discussing the Coalition’s approach to foreign policy.
25 June: The ABS will release Labour Force Data.
APRA Consultation, Insurance Address, and Appointments Updates
APRA opened consultation on eight proposals to strengthen governance standards for banks, insurers and superannuation trustees, clarifying board responsibilities, raising expectations for director skills, independence and accountability, and improving conflict management and board performance oversight.
At the AFR Insurance Summit, Daniel Mulino stated that rising insurance premiums are being driven by higher underlying risks – particularly climate-related disasters and reinsurance costs – and flagged a stronger regulatory focus on transparency, competition, and affordability to ease pressure on households and businesses.
The Federal Government announced new appointments to the Reinsurance Pool Corporation, with Kent Griffin and Robert McLean appointed as part-time members through to July 2028.
Bilateral Appointment, Fertiliser Procurement, and AUKUS Developments
Penny Wong appointed former Foreign and Defence Minister Stephen Smith as Australia’s Chair of the new Australia-Japan Leadership Dialogue.
Don Farrell secured an additional three shipments of approximately 98,500 tonnes of urea through the $7.5 billion Fuel and Fertiliser Security Facility, partnering with Incitec Pivot, CSBP, and Summit Fertiliser.
The Federal Government opened the WA Submarine Discovery Centre in Rockingham, providing the community with a dedicated hub to learn about Australia’s nuclear-powered submarine program, AUKUS developments, and the delivery of future submarine capabilities.
Smelter Negotiations, Truck Electrification Rollout, and Battery Moves
Tim Ayres announced that the preferred bidder for Liberty Bell Bay Smelter has withdrawn from exclusive negotiations. The Federal and Tasmanian Governments will provide $9.6 million in wage assistance during administration.
Chris Bowen announced that, following a $19 million grant from the Australian Renewable Energy Agency under the Driving the Nation program, Linfox will deploy 26 heavy-duty electric trucks across Melbourne, Brisbane and Adelaide, reducing diesel use, emissions and operating costs.
The New South Wales Energy Security Corporation will invest $100 million in a large-scale battery platform across Sydney, Newcastle and the Hunter Central Coast. The investment will support four batteries with up to 1 GW of storage capacity by 2031.
High Speed Rail Leadership, Digital Platform Regulators Agreement, and Sydney Trains Investment Updates
Catherine King reappointed Jill Rossouw as Chair of the High Speed Rail Authority, alongside Ian Hunt and Dyan Perry as board members.
The Digital Platform Regulators Forum signed a Memorandum of Understanding to strengthen cooperation between Australia’s key digital regulators, including the ACCC, ACMA, eSafety Commissioner and OAIC. The measure will enhance information sharing and coordinated action on scams, privacy, online safety, competition issues and digital platform risks.
Ahead of the 2026-27 NSW Budget, the Government announced a $2.1 billion investment in maintenance for the Sydney Trains Network, to improve the reliability of rail services and incident response.
Early Childhood Pay Reform, RFDS Fleet Increase, and Lung Cancer Screening Expansion
Jason Clare committed $3.6 billion to provide a 15 per cent pay rise for early childhood educators while also requiring child care providers to limit fee increases for families and maintain safety and quality standards to access funding.
The Australian Medical Association argued that the Department of Health’s ‘Whole of Medical Workforce Supply and Demand Compendium Report’ highlights the need for urgent action on workforce planning, including the establishment of an independent health workforce planning agency.
The Federal Government announced that the National Lung Cancer Screening Program supported nearly 100,000 Australians in its first year, improving early detection and survival outcomes by encouraging timely screening for those at higher risk.