Australia news LIVE: Bullock blames domestic spending for rate hike, inflation as government insists global factors to blame; No explosives found inside vans searched in UK terror probe

Pressed on where the Coalition would cut spending if it were in government, the opposition leader said he would start by cutting investment in Australia’s “climate bureaucracy”, but could not provide further clarification on his colleague Tim Wilson’s claims yesterday that the Coalition would target the NDIS, aged care packages and childcare if elected.

Yesterday, the shadow treasurer said government spending on the schemes was out of control, and that they acted as “honey pots to raid”.

“There’s issues with fraud that we do see in programs,” Taylor told ABC TV this morning. “If there is fraud, we should make sure the taxpayers’ money is being used properly.”

Wilson could not say how much money would be saved by cutting these programs.

“Well, there is fraud going on. We know that, and we’ve seen that in the NDIS, and we’ve seen egregious examples. And we’ll continue to work on how much we think that is in the lead up to the election, of course.”

The Coalition would certainly seek to cut spending on climate programs and renewable energy, Taylor said.

Opposition Leader Angus Taylor has accused the government of failing to do its job properly after the Reserve Bank lifted interest rates to a 15-year-high yesterday.

“The point here is that the government hasn’t been doing its job in containing spending and making it easier to build and make things in this country,” he told ABC’s News Breakfast.

Yesterday, RBA governor Michele Bullock acknowledged it was a combination of domestic and international factors that had contributed to high inflation, but Taylor insisted high government spending was to blame.

“This has been homegrown inflation,” Taylor said. “Jim Chalmers will look for an excuse for everything. He wakes up each morning looking for who to blame.”

“There is very significant waste we’re seeing [in government spending] … at a time when we’re seeing real belt tightening from households and businesses. So we need to see that kind of belt tightening from the government.”

The RBA confirmed its fourth interest rate rise of 2026, increasing the cash rate target to 4.60 per cent.

The increase of 25 basis points from the previous mark of 4.35 per cent takes interest rates to their highest level in 15 years.

Use our mortgage calculator below to see the likely impact of the rate rise on your loan repayments. On a 25-year loan of $600,000 at 6.50 per cent, your mortgage would cost an extra $93 each month.

You can change all the inputs to match your loan amount, term length and agreed interest rate below.

Hello and welcome to our live coverage of national news this Wednesday, September 30. Here’s what is making headlines today.

• Yesterday the Reserve Bank hiked interest rates to 4.6 per cent, marking a 15-year-high, despite rising unemployment, falling house prices and sluggish economic growth. RBA governor Michele Bullock said Australia was being impacted by “domestic capacity pressures” as well as extraordinary shocks, including the ongoing Iran war, spending on AI, and a lack of productivity. Bullock warned there could be more hikes on the way.
• Treasurer Jim Chalmers said the government took responsibility for its role in managing inflation, but continued to blame continuous interest rate hikes on the war in the Middle East. Meanwhile, One Nation leader Pauline Hanson called for Chalmers to resign following yesterday’s rate decision, and Opposition Leader Angus Taylor said it was a “dark day” for mortgage holders.
• A parliamentary leadership battle is brewing in the Greens party this week after outgoing leader Larissa Waters stepped down amid ongoing illness. On one side is a joint ticket of Mehreen Faruqi and Nick McKim, on the other is Sarah Hanson-Young. David Shoebridge has not ruled out contesting.

• And Anthropic has warned investors that its technology could pose “existential risks to humanity” as it prepares to list on the sharemarket. The AI company warned in the prospectus for its planned initial public offering (IPO) filing that its models could exhibit unpredictable behaviours including attempts to “resist shutdown”, to “conceal or manipulate information” and behaviour “resembling blackmail”.