AUSTRALIAN housing values lifted by 1.8 percent in April according to CoreLogic’s national home value index, with the monthly pace of capital gains easing from a 32-year high in March (2.8%). 

Although growth conditions have slowed, housing values are still rising at a rapid pace, up 6.8 percent over the past three months to be 10.2 percent higher than the COVID low in September last year.

CoreLogic’s research director, Tim Lawless, said the pace of capital gains could slow further over the coming months as inventory levels rise and affordability constraints dampen housing demand.

“The slowdown in housing value appreciation is unsurprising given the rapid rate of growth seen over the past six months, especially in the context of subdued wages growth," Mr Lawless said. "With housing prices rising faster than incomes, it’s likely price sensitive sectors of the market, such as first home buyers and lower income households, are finding it harder to save for a deposit and transactional costs.”

There is already some evidence of fewer first time buyers in the market, with the Australian Bureau of Statistics reporting a -4.0 percent fall in the value of first home buyer home loans through February, the first drop since May last year.

Despite the slowdown, positive housing market conditions remain geographically broad-based with every capital city and ‘rest-of-state’ region continuing to record a lift in dwelling values over the month. 

Darwin (2.7%) and Sydney (2.4%) recorded the largest month-on-month rise in dwelling values, while Perth values recorded the lowest rate of growth amongst the capital cities at 0.8%.

The four smallest capital cities recorded double digit annual growth (Adelaide 10.3%, Hobart 13.8%, Darwin 15.3% and Canberra 14.2%), reflecting a smaller COVID-related disruption and an earlier start to the growth phase last year.  Melbourne is recording the lowest level of annual growth (2.2%) due to a larger downturn, attributable to the extended lockdown period last year.

The broad trend of houses outperforming the unit sector continued through April as higher density styles of housing experienced less demand amidst elevated supply across some inner city precincts.  At the combined capital city level house values (8.6%) have risen at double the pace of unit values (4.3%) over the first four months of the year.

“A preference shift away from higher density housing during a global pandemic is understandable, however a rise in flexible working arrangements also seems to be supporting greater demand for houses around the outer-fringes of capital cities. Relatively weak investor activity, compounded by a supply overhang in some high-rise precincts, is also dampening price growth in unit markets,” Mr Lawless said.

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US PRESIDENT Joe Biden’s Leaders Summit last week revealed that climate action ambition is increasing and the timeframes for taking strong action are shortening, states the quarterly International Carbon Markets Briefing from the Carbon Market Institute (CMI). 

CEO of the CMI, John Connor said after years of a vague focus on 'low carbon economy' aspirations, discourse had shifted to 2050 net-zero emission goals and, importantly, the credibility of nations’ plans to get there, including their 2030 targets. 

“This scrutiny and momentum sets a precedent and expectation for what is to come in the next six months to COP26,” Mr Connor said.  “Between now and November there are more opportunities for strengthened targets to be announced, including at the UN General Assembly in September, the G20 Summit in October, and at CMI’s 8th Australasian Emissions Reduction Summit in June.”

According to the CMI briefing launched today, last week’s announcements now mean that over 50 percent of global GDP is aligned with an emissions reduction trajectory designed to keep average global warming to 1.5ºC and that 70 percdent of the global economy is now covered by a net zero target, including every G7 country.

However, Mr Connor warned that countries with similarly high levels of climate ambition were likely to develop improved terms of trade between them, disadvantaging those lagging behind. 

“With countries like Australia falling behind this increased ambition, investments in the just transition may end up unevenly distributed,” Mr Connor said. “That’s because those countries with concrete or legislated targets provide more assurance for clean economy investment opportunities.

“Strong global climate ambition and collaboration is driving better aid, trade and diplomatic relationships between these nations and will inevitably position them to be able to take more, and more immediate, advantage of opportunities. This mitigates risks to their economies and communities as the climate crisis deepens.”

The CMI welcomed the Australian Government’s announcement to fund development of Article 6 capacity building in the Indo-Pacific, saying it represents a clear and timely shift in policy towards more open and constructive engagement in international carbon markets.

“Regional engagement in international carbon market development is a critical step for Australia to play a more meaningful role in the region,” Mr Connor said.

“Australia has a wealth of knowledge and expertise in the development of nature-based solutions and our decarbonisation and drawdown industries are very keen to engage in the challenge of international carbon markets, positioning our domestic industry for growth. 

“Australian business stands ready to engage, and we look forward to working with government on these developments.”

About CMI

The CMI is the independent industry association for business leading the transition to net zero emissions. Its members include primary producers, carbon project developers, Indigenous corporations, legal and advisory services, insurers, banks and emission intensive industries developing decarbonisation and offset strategies. The CMI's Quarterly International Climate Policy and Market Developments Briefing is a member-only publication. www.carbonmarketinstitute.org

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THE SUCCESSFUL implementation of a bold new industry development plan for Queensland’s $82.6 billion resources sector will provide decades of jobs for Queenslanders, the Queensland Resources Council (QRC) said today.

QRC chief executive Ian Macfarlane said today’s launch of a Queensland Resources Industry Development Plan (QRIDP) by Resources Minister Scott Stewart was a crucial step towards building the state’s global reputation as a low-emissions energy superpower.

“The State Government is delivering on its pre-election commitment to work with the QRC and other stakeholders to develop a plan that maximises the benefits and addresses the challenges facing resources companies and resources communities at a critical time in world history,” he said.

“The next step is to make sure a clear plan and set of actions is developed in a timely way, for government and industry to take forward to secure the future of our industry and the future of Queensland.”

Mr Macfarlane said the global pandemic had made people more aware of the importance of a strong, stable state economy to their everyday lives.

“A new development plan for the resources sector will concentrate on promoting industry growth as well as responsibly unlocking resources and using low-emission energy to lower power costs,” he said.

“This is a genuine opportunity for the government and resources sector to work together to fix what isn’t working, remove unnecessary red tape and inefficiencies and set targets and pathways for growth.”

Mr Macfarlane said the plan would expand the Queensland economy and create more jobs and business opportunities, placing the state in a prime position to benefit from the world’s ever-increasing demand for energy from a mix of low and zero emission sources.

“We know from decades of exploration data that Queensland has a broad and abundant mix of resources, ranging from coal and gas to copper, zinc, lead, bauxite, nickel and silver, as well as critical minerals such as vanadium, titanium, scandium and cobalt which are essential in the production of renewable technologies,” Mr Macfarlane said.

“Queensland also has 300 days of sunlight a year to support a growing solar power industry, is closely located to expanding Asian markets particularly South-East Asia, has a critical mass of skilled resources workers and a strong safety culture to support future expansion.

“We have all the ingredients we need to support Queensland’s rise as a major supplier in the global energy market and secure our state’s long-term future.”

Other QRIDP priorities include:

• maximising social and economic community benefits from the resources sector;
• streamlining of government regulatory processes;
• opportunities to expand advanced processing of resources in Queensland;
• minimum 12-week consultation process for regulatory change of material impacts;
• continued support for explorers through initiatives such as the Collaborative Exploration Initiative;
• identification of further growth opportunities for Qld’s Mining Equipment, Technology and Services (METS) sector;
• prioritising best practice environmental protections and rehabilitation based on Queensland’s landmark financial provisioning laws;
• facilitating access to the state network of common user ports, rail lines and electricity infrastructure to create new opportunities.

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THE Australian Taxation Office (ATO) and the Tax Practitioners Board (TPB) are focused on measures to intercept attempted identity fraud targeted at registered tax practitioners and their clients.

New guidelines will strengthen and modernise the practices and controls that registered tax practitioners follow when verifying the identity of their clients.

The ATO has seen an increase in attempts by criminals to commit refund fraud by stealing the identities of taxpayers which has coincided with an increased reliance on technology and remote working practices. Having your identity compromised can have devastating financial consequences.

A lack of consistency to verifying the identity of clients has left individual tax practitioners vulnerable to attack. Practices that retain client identity documents insecurely are also at greater risk of having these documents stolen through physical break-ins.

The ATO’s draft guidance encourages tax practitioners to voluntarily start adopting the new client verification standard immediately, with the view for the standards to become compulsory in the future following an initial transition period and further consultation with the tax profession.

ATO Assistant Commissioner Sylvia Gallagher confirmed there was not an expectation that tax practitioners need to go back and verify the identity of their entire client base as part of the transitional approach.

"We’re asking that they perform identity checks from this point on, at the next opportunity in their normal dealings with clients,” Ms Gallagher said.

Inviting feedback on the TPB’s draft guidance, the TPB chair Ian Klug said, “We value the support of the tax profession in implementing these important controls to better protect the Australian community from tax fraud through identity crime.’’

Mr Klug further said the TPB’s guidance would apply to all registered tax practitioners regardless of whether they use the ATO’s online services or not.

“The Tax Agent Services Act 2009 does not expressly set out minimum requirements for tax practitioners to verify a client’s identity. However, there are implications under this Act if tax practitioners fail to take reasonable steps to ensure the identity of their clients is established. Our draft guidance provides practical guidance and examples so tax practitioners do not fall foul of their obligations and put their registration and business at risk,” Mr Klug said.

Tax practitioners who are unable to successfully verify a client’s identity and suspect potential fraud should contact the ATO on 1800 467 033.

The ATO’s draft guidance is available on the ATO website. The ATO is seeking feedback from tax practitioners. Submissions can emailed to This email address is being protected from spambots. You need JavaScript enabled to view it..

The TPB’s draft practice note is available on the TPB website. Submissions can be emailed to This email address is being protected from spambots. You need JavaScript enabled to view it. or sent by mail to GPO Box 1620, Sydney NSW 2001.

Submissions are due to the ATO and the TPB by June 10, 2021.

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