<html><body>
<h3>1. Deficit</h3>
It should come as no surprise this year’s budget will deliver a deficit.
The government has used the lead-up to the budget to lay the blame for the shape of the country’s finances with the previous government, warning the electorate that immediate sacrifices are needed for <a href="https://www.smartcompany.com.au/legal/politics/41701-abbott-reveals-budget-plan-no-changes-to-age-pension-for-three-years" target="_blank">long-term gain</a>.
The most recent estimates place the expected deficit in the arena of $47 billion, with future budgets also expected to show the government’s accounts in the red until at least 2019-20.
Hockey has <a href="https://www.smartcompany.com.au/legal/politics/41665-hockey-s-budget-roadmap-industry-assistance-age-pension-and-welfare-payments-on-treasurer-s-hit-list">said in pre-budget speeches</a> that the government will aim to reduce real spending growth by 1.75% over the next five years to turn things around.
<h3>2. A debt levy of some kind</h3>
The government’s so-called debt levy has gone through a number of guises since it was <a href="https://www.smartcompany.com.au/growth/economy/41721-how-the-government-s-debt-tax-targeting-top-earners-will-hit-your-business" target="_blank">first leaked</a>, but cabinet has signed off on the tax increase, so we know it is coming.
The government looks likely to impose a 2% increase on the highest income tax rate, which will <a href="https://www.smartcompany.com.au/legal/politics/41840-budget-2014-debt-levy-could-hit-650-000-australians-abbott-prepares-10-billion-infrastructure-fund">affect around 650,000 taxpayers on incomes above $180,000</a>.
Unsurprisingly, the debt levy is one of the more controversial measures to be included in the budget, with accusations the government has broken pre-election promises not to change existing taxes or introduce new taxes being hurled at the government, even from within its own ranks.
Hockey and Prime Minister Abbott have both said the levy will be temporary, but as most people know, once a tax is introduced it is very difficult to undo.
<h3>3. Less money for corporate welfare</h3>
In one of the more recent pre-budget leaks, the government has said it will <a href="https://www.smartcompany.com.au/federal-budget-2014/41892-budget-2014-10-billion-cut-to-industry-assistance-asic-corporate-registry-to-be-privatised">reduce the amount of money available to struggling companies by $10 billion</a>.
Hockey flagged the move a <a href="https://www.smartcompany.com.au/legal/politics/41665-hockey-s-budget-roadmap-industry-assistance-age-pension-and-welfare-payments-on-treasurer-s-hit-list">few weeks ago</a>, using a speech about the economy to outline the government’s position when it comes to corporate welfare. However, there is little information about what shape the cuts will take at this stage.
Hockey said on the weekend “those who depend heavily on government support will not necessarily receive the same support into the future”. 
“Business has a responsibility to manage itself in the same way we expect (others to do so), other than those most vulnerable in the community,” he said.
<h3>4. A raise in the retirement age</h3>
Australians will need to start preparing to work for longer, with the government <a href="https://www.smartcompany.com.au/legal/politics/41533-are-you-ready-to-work-until-you-re-70-hockey-flags-plans-to-raise-retirement-age" target="_blank">set to raise the retirement age to 70 within coming decades</a>.
While Prime Minister Abbott has <a href="https://www.smartcompany.com.au/legal/politics/41701-abbott-reveals-budget-plan-no-changes-to-age-pension-for-three-years" target="_blank">ruled out</a> making changes to the eligibility or indexation of the age pension for the next three years, the government is widely tipped to proceed with plans to change the age at which Aussie workers can retire.
“With four or five seniors on the pension, the number of workers per retiree dropping from five to three by 2050, and more than 1000 people becoming eligible for the age pension every single week, long-term reform is essential and unavoidable,” said Abbott recently.
<h3>5. Paid parental leave</h3>
Voters can also expect to see Abbott’s paid parental leave in the budget, although in a scaled-back form.
The scheme, first proposed by the Coalition when it was in opposition, is expected to cost $5.5 billion each year, with the aim of encouraging more Australian women to return to work after having children.
The eligibility threshold for the scheme was originally set at $150,000, but faced with growing concerns about the affordability of the scheme from opposition parties and within his own party ranks, <a href="https://www.smartcompany.com.au/growth/economy/41720-what-will-abbott-s-scaled-back-paid-parental-leave-scheme-look-like-a-smartcompany-q-a" target="_blank">Abbott has cut the threshold to $100,000</a>.
The scheme will continue to pay six months of 26 weeks parental leave based on the recipient’s full-time salary, but the maximum payouts from the scheme will now be capped at $50,000 instead of $75,000.
This article continues on the next page. Please click below.
<hr class="system-pagebreak">
<h3>6. Extending unfair contract protections for small business</h3>
Small Business Minister Bruce Billson has advocated for the extension of unfair contract protections for small business for some time and small business owners can expect to see this policy in tonight’s budget.
The policy would grant small business the same unfair contract protections currently available to consumers under the Australian Consumer Law.
Billson <a href="https://www.smartcompany.com.au/people/industrial-relations/30184-coalition-s-unfair-contract-provisions-move-could-lead-to-uncertainty-for-small-business--legal-expert-warns" target="_blank">previously said</a>  he finds small businesses often have to negotiate with big business on a take it or leave it basis under standard form contracts which place a disproportionate burden on one party over the other.
“What happens with standard form contracts is businesses use them irrespective of the scale or legal status of the person they are contracting with, consumers have certain protections but small businesses have no more power to negotiate and no access to those unfair contract provisions,” he said.
<h3>7. A higher level of fuel excise</h3>
In a bid to improve the budget’s bottom line, the government will use the budget to increase petrol tax by reintroducing the twice-yearly practice of indexing fuel excise in line with inflation.
It’s been 13 years since the fuel excise was indexed to inflation and in that time motorists have paid 38.1 cents per litre in fuel excise. According to news reports, unfreezing the indexation will add up to three cents a litre in the first year.
It’s bad news for small businesses, which will be faced with rising costs and therefore tougher competitions from the big end of town.
Peter Strong, executive director of the Council of Small Business of Australia, <a href="https://www.smartcompany.com.au/growth/economy/41868-government-s-petrol-tax-hike-to-slug-small-business?utm_source=SmartCompany&amp;utm_campaign=0bed38ffe7-Friday_9_May_201409_05_2014&amp;utm_medium=email&amp;utm_term=0_234118efee-0bed38ffe7-93985385">previously said</a> it’s important for small business owners to start planning for the change now.
“The costs of goods will go up everywhere because the cost of transport is going up,” said Strong. “If you’re in a business where you’re using your car a lot, you’re going to have to think about what this means.”
<h3>8. Cash for infrastructure</h3>
Hockey said this week that a higher level of fuel excise will <a href="https://www.smartcompany.com.au/federal-budget-2014/41892-budget-2014-10-billion-cut-to-industry-assistance-asic-corporate-registry-to-be-privatised" target="_blank">help fund a massive investment in roads</a>, worth a total $82 billion.
The government plans to commit $40 billion to its roads package, with the remaining $42 billion to come from state governments and the private sector.
“If we are going to make any changes to fuel excise, it will go into roads, and we are laying out a plan for the biggest increase in road expenditure in Australian history,” said Hockey.
However, at least some of the government’s contribution will come from re-announcing projects earmarked by the previous Labor government, and opposition infrastructure spokesperson Anthony Albanese has raised concerns the spending will come at the expense of investment in public transport.
<h3>9. Privatisation of the ASIC register</h3>
Media reports have put the number of government agencies to be abolished, merged or sold in this year’s budget at somewhere between 50 and 70.
One agency which appears to be in the confirmed table is Australian Securities and Investments Commission’s corporate register, which the government <a href="https://www.smartcompany.com.au/federal-budget-2014/41892-budget-2014-10-billion-cut-to-industry-assistance-asic-corporate-registry-to-be-privatised">will seek to privatise</a>.
As <a href="https://www.smartcompany.com.au/legal/41549-privatisation-of-asic-corporate-registry-on-the-table" target="_blank">previously reported</a>, the register is estimated to generate more than $625 million in revenue and has annual costs of around $140 million.
<h3>10. Health co-payments and welfare cuts</h3>
The introduction of co-payments for GP visits and cuts to welfare payments have been <a href="https://www.smartcompany.com.au/legal/politics/41665-hockey-s-budget-roadmap-industry-assistance-age-pension-and-welfare-payments-on-treasurer-s-hit-list" target="_blank">expected for some time</a>.
While the introduction of a GP co-payment may not appear to have an obvious impact on small businesses, SmartCompany blogger Bri Williams says there are some <a href="https://www.smartcompany.com.au/people/41875-a-behavioural-perspective-on-the-budget-s-6-gp-fee">important behavioural and business lessons to take from the policy</a>.
This article first appeared on <a href="https://www.SmartCompany.com.au" target="_blank">SmartCompany</a>.
Picture courtesy of Flickr/<a href="https://creativecommons.org/licenses/by/2.0/" target="_blank">Creative Commons</a>.
</body></html>

ekeating-PWvazjYE25

10 things to expect from the federal budget

<html><body>
State Treasurer Michael O’Brien has billed Victoria’s 2014-15 budget, handed down yesterday, as “a terrific budget for business”, but experts aren’t so sure. 
The budget projects an operating surplus of $1.3 billion in 2014-15, which will grow to $3.3 billion in 2017-18.
The big ticket item in this year’s budget is the promise to <a href="https://www.smartcompany.com.au/finance/tax/32073-payroll-tax-fights-continue-across-the-country-as-south-australian-businesses-demand-permanent-change" target="_blank">cut payroll tax</a> by 0.05%, from 4.9% to 4.85%, from 1 July, which will affect an estimated 39,000 employers.
However, Crowe Horwath tax specialists Adam Mallabone and George Psarrakos, told SmartCompany the cut is “more a headline” than a fundamental structural change to the state’s payroll tax.
Mallabone said while the tax rate is being reduced, there are no planned changes to the tax-free threshold for companies paying payroll tax, which would have been more beneficial for small and medium-sized business.
“The real catch with payroll tax is that it kicks in once a company’s payroll exceeds $550,000 a year,” says Mallabone. “We would have liked to have seen an increase in the threshold so as to exclude a higher number of employers.”
Likewise, Psarrakos says Crowe Horwath does not want to see “employers penalised for hiring more people”.
Mallabone says payroll tax is “the most regressive tax you can get”, and while Victoria’s payroll tax rate has been declining in recent years, it is still higher than other states.
However, the Victorian Employers’ Chamber of Commerce welcomed the move, saying in a statement on Tuesday the cut “keeps Victoria’s taxes competitive against other states and reduces the cost of doing business”.
Elsewhere in the budget, Mallabone and Psarrakos say SMEs and individuals will be affected by an increase in motor vehicle registration fees. Car stamp duty will rise by $0.40 per $200 and light vehicle registration costs will rise from $25 to $270.  
Meanwhile, individuals are expected to save $16 million over four years as a result of the government’s decision to scrap duties payable on life insurance in Victoria.
<a href="https://www.dtf.vic.gov.au/Publications/State-Budget-publications/2014-15-State-Budget/2014-15-Budget-Papers" target="_blank">According to the budget papers</a>, Victorian property investors are also set to pay more land tax in 2014-15 as housing prices in Victoria continue to rise. The value of land tax paid by Victorians is projected to increase by $275.8 million to $1.9 billion, although Mallabone says there will be no actual increase in the land tax rate.
Infrastructure is the big ticket item in the budget, with the government outlining plans to spend up to $27 billion on the state’s road and rail networks, including a remodelled Melbourne Rail Link that will include a train line to the airport.
VECCI chief executive Mark Stone welcomed the infrastructure boost outlined in the budget, which he said will create jobs and stimulate economic growth.
“The budget provides important funding for East West Link Stage 2 as well as funding to progress the Melbourne Rail Link project, both of which will create jobs and are key to enhancing the capacity of Melbourne’s transport system,” said Stone.
This article first appeared on <a href="https://www.smartcompany.com.au/" target="_blank">SmartCompany</a>.
</body></html>

Is the Victorian budget “a terrific budget for business”?

<html><body>
It’s that time of year again when tens of thousands of investors from around the globe descend on Omaha, Nebraska, to hear billionaire Warren Buffett dole out his investment wisdom.
Along with Buffett’s <a href="https://www.smartcompany.com.au/leadership/35872-five-pearls-of-wisdom-from-warren-buffett-s-2014-letter-to-berkshire-hathaway-shareholders" target="_blank">annual letter to shareholders</a>, the annual shareholders’ meeting for Buffett’s investment group Berkshire Hathaway is one of the biggest events on the investment calendar, with the “Oracle of Omaha” always generous in his comments and advice.
Buffett is also not shy on speaking on issues that are important to him and in the lead up this year’s meeting <a href="https://online.wsj.com/news/articles/SB10001424052702303948104579536184228959734" target="_blank">caused a stir when he took aim at the Omaha hotel industry for “price gouging” his visiting shareholders</a>. He even went one step further and suggested his fellow investors could save a few bucks by booking accommodation through online startup Airbnb.
This year, more than 30,000 shareholders were <a href="https://dealbook.nytimes.com/2014/05/03/live-blog-berkshire-hathaways-2014-shareholder-meeting/?_php=true&amp;_type=blogs&amp;_r=0" target="_blank">keen to hear</a> Buffett speak about Berkshire’s first-quarter earnings, in which net income was down, and the investment guru’s decision to abstain from voting against Coca-Cola’s controversial executive compensation plan.
Here’s five pieces of wisdom from this year’s meeting.
<ol>
<li>
On playing nice around the board table Buffett said there is a need for board directors to be diplomatic, and that trying to force change amounts to rude corporate behaviour. “I’ve voted for compensation plans in various places that are far from what I would have designed myself. That is the way boards work. You keep belching at the dinner table, you’ll be eating in the kitchen.” 
</li>
<li>
On the nature of corporate boards “The nature of boards is that they are part business and part social and people behave sometimes with their business brain and sometimes with their social brain”. 
</li>
<li>
On climate change “I don’t think in making a decision on Berkshire and other companies that climate change should be a factor in the decision-making. A lot of people are over-climbing that they know the impact. We are agnostic. It’s not there isn’t global warming because there is, but those that say they know its impact are talking out of their hats”. 
</li>
<li>
On managing Berkshire’s culture “Managers, when they work, are joining a business that is unlike anything else. It’s a huge corporate asset and we want to maintain that message well beyond my lifetime.” 
</li>
<li>
On concerns about Berkshire Hathaway’s growing cash stockpiles “We are finding things to do that tend to sop up the cash. We will always have around $20 billion around Berkshire; we will never be dependent on the kindness of strangers, which didn’t work well for Blanche DuBois. We cannot depend on anybody else to keep our own strength and maintain our operations.”
</li>
</ol>
This article first appeared on <a href="https://www.smartcompany.com.au/" target="_blank">SmartCompany</a>.
Picture courtesy of Flickr/<a href="https://creativecommons.org/licenses/by/2.0/" target="_blank">Creative Commons</a>.
</body></html>

Five gems from Warren Buffett’s annual shareholders’ meeting

<html><body>
International cosmetics retailer Sephora will arrive in Australia in time for Christmas, with the retailer confirming on Thursday that it will open a stand-alone store in Sydney’s CBD in December.
After <a href="https://www.smartcompany.com.au/marketing/sales/41469-sephora-tipped-to-open-in-australia" target="_blank">reports earlier this year</a> that the retailer would enter the Australian market in the first half of 2015, <a href="https://www.afr.com/p/business/companies/sephora_to_open_first_australian_PzbdFGr3eLfG9vgtnaKtUN" target="_blank">Fairfax reports</a> Sephora has secured a three-level 800 square metres store in Pitt Street Mall which is currently occupied by clothing retailer Esprit.
It’s just the first step in the retailer’s ambitious plans to shake up the local beauty and cosmetics market, with Ravi Thakran, group president for Asia and the Middle East for parent company LVMH, telling Fairfax there is room for around 20 Sephora stores to launch in Australia in coming years.
Sephora is the fastest growing brand within the LVMH group, which includes other brands such as Louis Vuitton, Givenchy and Bulgari.
The retailer will be hoping to secure a share of Australia’s cosmetic and toiletry sector, which according to the latest figures from IBISWorld generates annual revenues of $5.5 billion, and is projected to grow at an annual rate of 3% over the next five years.
Senior IBISWorld analyst Caroline Finch told SmartCompany the local cosmetics market is “big bikkies”, with local shoppers choosing to spend their cash with a variety of retailers, including David Jones and Myer, Priceline, and speciality retailers such as Aesop and the Body Shop.
As the latest <a href="https://www.smartcompany.com.au/growth/economy/33935-uniqlo-to-open-first-australian-store-in-melbourne" target="_blank">international retailer to set its sights on the Australian market</a>, we’ve pulled together three quick pieces of information you probably didn’t know about Sephora.
1. European market leader
Sephora has a long history in the European beauty and cosmetics market, having been founded in in 1969. The retailer is now the market leader in Europe, as well as holding a large portion of the United States cosmetics market.
The business was acquired by LVMH in 1997 and now operates more than 1,400 stores in 30 countries.
2. A wide range of premium products
According to Finch, Sephora will opt for a “targeted approach” to the Australian market that will be based on offering an extensive range of premium beauty products, including high-end brands such as Marc Jacobs not currently distributed locally.
For this reason, Finch believes the retailer will pose the biggest threat to DJs and Myer, rather than Priceline, which competes on everyday low prices. In fact, Finch says Sephora may complement Priceline’s strategy, with customers choosing to buy high-end products from Sephora but continuing to visit Priceline for basics.
3. More bang for your buck
Finch says the biggest challenge for the department stores will come from Sephora’s customer service strategy, with the retailer’s sales staff able to sell across brands.
While sales staff at DJs and Myer work on commissions, customers visiting Sephora stores will be shown products from more than one retailer at a time. Finch says this is likely to please shoppers, who will see value in the approach.
Internationally, Sephora is also known for providing free samples to its customers, another feature of the retailer’s strategy likely to impress local shoppers.
This article first appeared on <a href="https://www.smartcompany.com.au/" target="_blank">SmartCompany</a>.
</body></html>

International cosmetics giant Sephora to open first Australian store in December

<html><body>
Residents in the Sydney suburb of Mosman paid the most income tax in 2011-12, according to <a href="https://www.ato.gov.au/About-ATO/Research-and-statistics/In-detail/Tax-statistics/Taxation-statistics-2011-12/" target="_blank">data released by the Australian Tax Office</a> today.
The wealthy suburb topped the ATO’s list of postcodes that paid the highest level of <a href="https://www.smartcompany.com.au/legal/politics/41685-debt-levy-on-income-tax-would-hit-small-business-the-hardest" target="_blank">income tax</a>, with a tax bill of close to $874 million. According to the data, 15,300 people in Mosman and Spit Junction paid tax in 2011-12, with a mean taxable income of $164,484.
Other suburbs to record high tax bills include Mackay in north Queensland’s, where residents paid $757 million in 2011-2012, and the affluent Melbourne suburb of Brighton, where locals paid taxes worth $569 million.
At the other end of the scale, the 90 taxpayers in the Gippsland towns of Baw Baw and Icy Creek recorded a tax bill of just $485,495.
According to the data, the Queensland town of Bundaberg is home to the most number of welfare recipients, with locals receiving $15 million in Centrelink payments during the period, while Toowoomba is home to the largest number of pension recipients.
Professor Chris Evans from the Australian School of Business at the University of New South Wales toldSmartCompany the results are “not at all surprising”.
“These suburbs record the highest level of tax because they generate the highest levels of income, and disproportionately so,” said Evans, who said these locations also have high levels of capital.
Evans said that income inequality has been steadily increasing in Australia, with the rich getting richer. The same suburbs and cities have been topping these lists for a long time and the income tax system “is not as progressive as it once was”, he said.
“There has been no spreading of wealth in Australia and, in fact, there has been a concentration,” he said.
This article first appeared on <a href="https://www.smartcompany.com.au/" target="_blank">SmartCompany</a>.
</body></html>

Which suburbs and towns pay the most tax? 

<html><body>
An Australian women’s fashion retailer with annual turnover of $62 million has collapsed.
The directors of Grace Fashion, the parent company of retail chain SES Fashions, appointed Stewart Free, Bradd Morelli and Sule Arnautovic of Jirsch Sutherland as administrators on 22 April.
SES Fashions currently operates 44 retail stores across the country, employing approximately 300 workers. The chain specialises in affordable women’s fashion items, including clothing, shoes and accessories.
Free told SmartCompany that Jirsch Sutherland has had nine parties register interest for the business ahead of the first meeting of creditors, which will be held in Sydney on 2 May.
Free said the administrators are still investigating the state of the company’s books but its debts are believed to be around $12 million.
Free said a “very lacklustre” retail market in the first few months of this year is the main factor in pushing the company into administration, along with “some pressure from suppliers”.
Colin Porter, managing director of Creditwatch, told SmartCompany that it is “definitely a tough environment” for retailers in Australia.
Porter said the collapse of SES Fashions is a prime example of the need for wholesales and suppliers to “be really vigilant” and understand their clients and the market they are supplying.
SES Fashion’s administration follows the <a href="https://www.smartcompany.com.au/finance/cashflow/35295-creditors-line-up-after-fashion-retailers-collapse-dion-lee-ellery-and-mercedes-benz-fashion-week-all-owed-cash" target="_blank">collapses earlier this year</a> of fashion retailers Jasu and UnderCoverWear. 
This article first appeared on <a href="https://www.smartcompany.com.au/" target="_blank">SmartCompany</a>.
</body></html>

$62 million fashion retail chain collapses

<html><body>
As the Abbott government inches closer to <a href="https://www.smartcompany.com.au/legal/politics/41665-hockey-s-budget-roadmap-industry-assistance-age-pension-and-welfare-payments-on-treasurer-s-hit-list" target="_blank">delivering its first budget on 13 May</a>, the Prime Minister has today signalled some changes to his proposed paid parental leave scheme.
The scheme, first proposed by the Coalition when it was in opposition, is expected to take a $5.5 billion chunk out of the government’s coffers each year, with the aim of encouraging more Australian women to return to work after having children.
While Abbott and Treasurer Joe Hockey have continued to defend the <a href="https://www.smartcompany.com.au/legal/33217-small-business-divided-on-coalition-s--5-5-billion-parental-leave-policy---where-s-the-money-coming-from" target="_blank">controversial policy</a>, some members of the Coalition have been <a href="https://www.propertyobserver.com.au/https://www.abc.net.au/news/2014-02-27/government-senator-warns-parental-leave-scheme-too-costly/5288208" target="_blank">signalling their unease over the policy to the media</a> and the Greens have raised concerns about the cost of the policy in light of the government’s slated plans to cut welfare payments in next month’s budget.
So what will the new scheme look like? And who will be affected by the changes? We’ve pulled together a SmartCompany Q&amp;A to provide some answers.
What has the Prime Minister actually said?
<a href="https://www.theaustralian.com.au/news/latest-news/abbott-to-reduce-parent-leave-cut-off/story-fn3dxiwe-1226900421459" target="_blank">According to The Australian</a>, the Prime Minister will cut the threshold for the scheme from $150,000 to $100,000.
The change does not introduce a means-test for the scheme, but instead caps the amount of money that women can receive at a lower level.
The $100,000 threshold is in line with <a href="https://www.theaustralian.com.au/national-affairs/tony-abbotts-100000-welfare-test-for-families/story-fn59niix-1226898879439" target="_blank">Abbott’s recent comments</a> about the income limit at which families should stop receiving welfare payments.
And how is this different to what was on the table before?
The scheme will continue to pay six months or 26 weeks parental leave based on the recipient’s full-time salary, but the maximum payouts from the scheme will now be capped at $50,000 instead of $75,000.
The government has not proposed any other changes to the scheme, with existing features such as the payment of superannuation still included.
How many new parents will be affected?
Diversity strategy and compliance consultant Prue Gilbert told SmartCompany that less than 2% of Australian women of childbearing age earn above $100,000 and so the change would only affect a small percentage of workers.
“It’s a pretty minimal change and is more symbolic than anything else,” said Gilbert.
And if the government is making the change to save money, does it mean other measures rumoured to be included in the budget such as the “debt levy” will be scrapped?
Probably not. Gilbert says the change will have a “negligible impact on the budget bottom line” and so the government will proceed with its plans to reduce the current budget deficit by dramatically reducing its spending and potentially introducing a temporary increase to personal income tax levels.
So if the change is minimal, what’s Abbott thinking?
Gilbert says the change is “aimed at getting more support” for the scheme, which is now attracting <a href="https://www.smh.com.au/federal-politics/political-news/nervous-liberal-mps-beg-prime-minister-tony-abbott-to-rethink-paid-parental-leave-scheme-20140428-zr0vo#ixzz30J8LG5iV" target="_blank">criticism from within the Coalition’s own ranks</a>.
“The Greens have previously said that they will support the scheme at $100,000,” said Gilbert, who believes the change will mean that the scheme will almost certainly gain the Senate’s tick of approval.
Would the government be better off spending more on affordable and accessible childcare?
Media reports this week have <a href="https://www.theaustralian.com.au/national-affairs/childcare-shortage-anbsphurdle-for-paid-parental-leave/story-fn59niix-1226898789564" target="_blank">focused on the paid parental leave versus childcare debate</a>: that is, that women would be more likely to return to work if they have better access to more affordable and higher quality childcare.
However, Gilbert says that on average, Australian women take a mixture of 32 weeks in paid and unpaid leave from their jobs after having a child, and a paid parental leave scheme that allows mothers to spend the first year of their child’s life at home is in the best health interests of the mother.
It’s also much more expensive for childcare centres to care for children under the age of one, says Gilbert, who will be looking at the legislative detail of the government’s policy to see if it will be possible for women to take 12 months leave at half-pay under the scheme. “It would be a very positive thing,” she says.
This article first appeared on <a href="https://www.smartcompany.com.au/" target="_blank">SmartCompany</a>.
</body></html>

What will Abbott’s scaled-back paid parental leave scheme look like?

Article summary

<ul data-end="785" data-start="311">
	<li data-end="459" data-section-id="5hbcyr" data-start="311">Pikos Group has released the five-penthouse collection at Skye Kangaroo Point, headlined by a two-storey sky home spanning more than 1,000 sqm.</li>
	<li data-end="561" data-section-id="1p7lq8n" data-start="460">Early buyer interest suggests the residences could set a new Queensland apartment price record.</li>
	<li data-end="667" data-section-id="1y70z0l" data-start="562">The collection includes four move-in ready penthouses and the highly customised Skye One residence.</li>
	<li data-end="785" data-section-id="yvm0y1" data-start="668">The release caps one of Bri​sbane's most ambitious luxury apartment developments overlooking the Brisbane River.</li>
</ul>

<hr data-end="790" data-start="787" />
Pikos Group has released the five-penthouse collection at its <a href="https://www.apartments.com.au/buildings/skye-residences-by-pikos-kangaroo-point-8-river-terrace-kangaroo-point-qld-4169">Skye by Pikos</a> development in Kangaroo Point, with early buyer interest indicating the flagship residences could eclipse every apartment sale previously recorded in Queensland.

The collection crowns the luxury riverfront development with five residences, including four completed penthouses and Skye One, a two-level sky home spanning more than 1,000 sqm that will be tailored to its eventual owner.

[smartcode_project:default project_id=90059 project_image_fid=374075]

Wanting to offer a fully customisable home, Pikos is offering Skye One as a blank canvas, allowing the buyer to work alongside the developer's design team to customise the home's layout, finishes and internal spaces.

The residence will feature a 247 sqm private rooftop terrace with its own swimming pool, sauna, steam room, outdoor kitchen and multiple entertaining areas overlooking the Brisbane River and CBD skyline.

The remaining four penthouses have been completed and are ready for immediate occupation, each offering four bedrooms, expansive open-plan living areas, soaring ceilings and private lift access.

[smartcode_project:default project_id=90059 project_image_fid=374059]

One of the defining features throughout the project is its use of Roman Classic Travertine, with more than 20,000 sqm of the natural stone imported from Italy after being personally selected by Pikos Group Founder and Executive Director Pedro Pikos, interior designer Julie Williamson and third-generation stone specialist Mario Caucci.

Pikos said the penthouse collection represented the culmination of the company's long-term vision for Skye.

"True legacy isn't measured by what we build today, but by what endures tomorrow," Pikos said.

"Our ambition is to create places that become more valuable with time, enrich the lives of generations, and stand as timeless landmarks long after we've stepped away."

[smartcode_project:default project_id=90059 project_image_fid=374060]

Williamson said the interiors were inspired by the natural character of Kangaroo Point and the Brisbane River rather than international design trends.

"Materiality tells the story of a place," Williamson said.

"We looked to the movement of the Brisbane River, the texture of the cliff face and the warmth of the surrounding landscape to create interiors that feel understated, enduring and unmistakably Brisbane."

Positioned above the Kangaroo Point cliffs, Skye places residents within walking distance of Howard Smith Wharves, South Bank and James Street while offering uninterrupted river and city views.

[smartcode_project_cta:default project_id=90059]

Joel Robinson

Brisbane's next apartment price record? Pikos unveils Skye's exclusive penthouse collection

Article summary

<ul data-end="888" data-start="289">
	<li data-end="442" data-section-id="8tsh6o" data-start="289">DVB Projects is preparing to launch its second Gold Coast apartment development, with demolition now underway at 137 Old Burleigh Road, Broadbeach.</li>
	<li data-end="573" data-section-id="1nyxl3e" data-start="443">The 34-level tower will comprise just 49 ultra-luxury residences, including half-floor, full-floor and penthouse apartments.</li>
	<li data-end="717" data-section-id="oiyimj" data-start="574">The launch follows strong demand at DVB's nearby Sea Glass project, which is more than 50 per cent sold and currently under construction.</li>
	<li data-end="888" data-section-id="epk9o9" data-start="718">The development adds to the transformation of Old Burleigh Road, with premium beachfront apartment projects continuing to reshape the tightly held Broadbeach strip.</li>
</ul>

<a href="https://www.apartments.com.au/developers/dvb-projects">DVB Projects</a> is preparing to launch its second Gold Coast apartment development, with demolition now underway on the Broadbeach site as the Sydney developer moves closer to bringing the ultra-luxury project to market.

The 34-level tower at <a href="https://www.apartments.com.au/new-apartments/137-old-burleigh-road-broadbeach-qld-4218">137 Old Burleigh Road</a> will comprise just 49 residences, ranging from half-floor apartments through to full-floor homes and a penthouse. The launch follows the strong sales performance of DVB's nearby Sea Glass development. More than half of the apartments at Sea Glass, on the other side of Broadbeach, have been snapped up, well ahead of its late 2027 completion

<img alt="DVB Projects to commence demolition on $320m Broadbeach luxury tower" data-entity-type="file" data-entity-uuid="2944b4be-c84e-4b54-8dc1-c712e76704c0" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/E02_Exterior_Street%20Level%20Entrance.jpg?VersionId=YoNig7pRdrE3HCue7sUj78LzJteeQf3H" />

The start of demolition at 137 Old Burleigh Road signals DVB Projects’ underlying confidence in the Gold Coast’s luxury beachside apartment sector.

“We see the Gold Coast as one of the most compelling lifestyle markets in Australia, particularly at the premium end where demand continues to deepen,” said Dean Brown, Managing Director of DVB.&nbsp;

“This project has been carefully designed to respond to that demand - delivering large-format residences with a level of quality, privacy and amenity that is still relatively rare in the apartment market on the beachside."

Brown says the site itself is "exceptional."

"Old Burleigh Road is one of the most tightly held beachfront strips, and opportunities to deliver a project of this scale and calibre in this location are extremely limited.”

<img alt="DVB Projects to commence demolition on $320m Broadbeach luxury tower" data-entity-type="file" data-entity-uuid="398f377a-c037-455e-9250-0c5e0d84c35b" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/I12_FF%20Balcony.jpg?VersionId=NwOiRWGMubR1c8wthuEfggklcja7al9." />

The project will comprise 40 half-floor residences of approximately 260 sqm, alongside eight full-floor residences spanning around 524 sqm.

A single penthouse will crown the building, featuring a private pool, barbecue area, indoor gym and dedicated entertaining spaces.

Residents will have access to a resort-style suite of amenities, including a 20-metre pool with daybeds, a gymnasium, hot and cold plunge pools, a sauna, and private residents’ lounge and dining facilities.

<img alt="DVB Projects to commence demolition on $320m Broadbeach luxury tower" data-entity-type="file" data-entity-uuid="d1642bb0-9a66-4427-a022-dfc0988c6287" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/A02_Pool%20to%20View.jpg?VersionId=c0IXPyn_Gp_Kn3XCwzMrqIVkAdCEwVXP" />

Sales agent Todd Matheson, of <a href="https://www.apartments.com.au/project-marketer/pezet-matheson">Pezet Matheson</a>, which is marketing both 137 Old Burleigh Road and Sea Glass, said 137 Old Burleigh Road would address a clear gap in the market for genuine luxury products.

“There are very few opportunities on the Gold Coast where buyers can secure a residence of this size and quality in a new building,” Matheson said.

“What we’re seeing is a growing cohort of downsizers and interstate buyers who still want space - they’re not willing to compromise on living area, entertaining or finishes.

“This project has been designed with that buyer in mind. It offers the scale of a home, combined with the convenience and security of apartment living, in one of the coast’s most desirable positions.”

<img alt="DVB Projects to commence demolition on $320m Broadbeach luxury tower" data-entity-type="file" data-entity-uuid="59aae0ca-5639-4320-8aca-d0bf60f48e43" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/E01_Exterior%20Hero.jpg?VersionId=DS8Zfy2WtgUEtdfe0TEUuf1W1GfcZq8S" />

Located on a 1,156 sqm site one block from the beachfront, the development will replace an ageing walk-up building and is expected to contribute to the ongoing transformation of the Old Burleigh Road strip into one of the Gold Coast’s most prestigious residential corridors.

With the development moving into the delivery phase, 137 Old Burleigh Road is slated to hit the market later this year.

[smartcode_project_cta:default project_id=145141]

DVB Projects to launch second Broadbeach apartment tower as demolition commences

A proposal to redevelop one of North Sydney's ageing commercial buildings has taken another step forward, with plans for a 38-storey mixed-use tower adding momentum to the long-awaited transformation of the Alfred Street precinct.

Now on public exhibition through the NSW Government's Housing Delivery Authority-led State Significant Development pathway, the proposal for 271-273 Alfred Street would replace an underutilised commercial building with 95 apartments, ground-floor retail, commercial space and affordable housing. The proposal was submitted by&nbsp;Tara Shore Pty Ltd, acting for the John Taylor Family Trust.

While the project will deliver much-needed housing on the southern edge of the North Sydney CBD, it also represents another piece of a broader precinct that has spent years in planning limbo.

<img alt="First look: New public domain vision underpins 95-apartment North Sydney tower on Alfred Street" data-entity-type="file" data-entity-uuid="7e1ce1b4-38df-48ab-992f-386814d86308" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Alfred%20St%20da%20podium.png?VersionId=sC_h6w.A9VEoB98qsqowPlIoz__sBZBt" />

Despite its proximity to both North Sydney Station and the Victoria Cross Metro, redevelopment of Alfred Street has progressed slowly over the past decade as broader planning controls, zoning and building heights remained unresolved. The introduction of the Housing Delivery Authority pathway has provided a new avenue for projects to progress, allowing rezoning and development assessment to occur concurrently and unlocking sites that have long been earmarked for renewal.

Designed by Office of Cortese &amp; Gilder, the proposal seeks to do more than replace an ageing office building. The architects have positioned the project as the first stage of a wider public domain vision that would improve pedestrian connectivity and create a more cohesive mixed-use precinct as neighbouring sites are redeveloped over time.

The proposal includes a widened Alfred Street setback, new street trees, landscaping and outdoor seating, along with a landscaped through-site pedestrian link connecting Alfred Street with Little Alfred Street. The connection is intended to become the first section of a future east-west pedestrian network extending across the precinct.

<img alt="First look: New public domain vision underpins 95-apartment North Sydney tower on Alfred Street" data-entity-type="file" data-entity-uuid="8ea39ac3-46ad-4562-b4a0-b862e91c2dda" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Alfred%20St%20da%20site.png?VersionId=K7umCd21KpetEFuVfsPlnJKhUOsmTTdV" />

The mixed-use tower would comprise retail space at ground level, commercial uses on level two and apartments from level three upwards.

In total, the development would deliver 95 apartments, including nine one-bedroom, 28 two-bedroom, 56 three-bedroom and two four-bedroom residences. Twenty-one apartments, representing 15 per cent of the residential gross floor area, would be secured as affordable housing and managed by a registered community housing provider for at least 15 years.

Nine basement levels would provide 133 resident car spaces, seven motorcycle spaces and 111 bicycle spaces.

According to the Architecture and Urban Design Report, the public domain strategy is designed to transform what is currently an inward-facing commercial edge into a more active and connected pedestrian environment, creating a stronger relationship between the commercial core and surrounding residential neighbourhoods.

Office of Cortese &amp; Gilder has also prepared a broader public domain framework spanning neighbouring properties between 263 and 283 Alfred Street, arguing that a coordinated approach to redevelopment will deliver better public spaces, improved tower separation and a more connected streetscape as the precinct evolves.

The proposal comes at a time where North Sydney is slated for future residential growth. Commercial developer FiveX has residential plans for the neighbouring site at 275 Alfred Street. They've proposed a 39-storey mixed-use tower with 184 apartments, while Freecity was recently approved for nearly 300 apartments across a 51-storey building on Walker Street.

Read more:&nbsp;<a href="https://www.apartments.com.au/news/nsw/first-look-freecity-gets-green-light-for-mixed-use-apartment-and-hotel-tower-in-north-sydney">First look: Freecity gets green light for mixed-use apartment and hotel tower in North Sydney</a>

Read more:&nbsp;<a href="https://www.apartments.com.au/news/nsw/first-look-fivex-plans-39-storey-residential-tower-in-booming-north-sydney">First look: Fivex plans 39-storey residential tower in booming North Sydney</a>

&nbsp;

Alfred Street the latest North Sydney pocket to be transformed by residential development

Buyers considering a residence at boutique Gordon townhouse development <a href="https://www.apartments.com.au/new-townhouses/lume-gordon-43-47-dumaresq-street-gordon-nsw-2072">Lume</a>&nbsp;now have another reason to bring forward their decision.

For a limited time, purchasers of a residence at Lume will receive a BMW iX3 50 electric SUV, valued at more than $120,000, as part of their purchase. The offer is designed to add value for buyers while complementing the lifestyle envisioned for the architecturally designed Upper North Shore development.

Scott Timmins, Development Manager at <a href="https://www.apartments.com.au/developers/winim">WINIM</a>, said the partnership was created to provide buyers with a compelling reason to act.

"In today's market, buyers need a compelling reason to act now, and the BMW partnership was designed to create that catalyst. We wanted to add genuine value for our future purchasers. Choosing the all-electric BMW iX3 50 also reflects the values behind LUME, forward-thinking design, innovation and a more sustainable way of living. It's a premium incentive that complements the lifestyle our buyers aspire to and rewards those who commit early."

[smartcode_project:default project_id=7354 project_image_fid=374893]

Delivered by WINIM in partnership with Burtonwood Investment Partners, Lume comprises 14 architecturally designed two, three and four-bedroom townhomes created for families seeking the space of a freestanding house with the ease of modern, low-maintenance living.

The three-storey residences, designed by award-winning architecture practice <a href="https://www.apartments.com.au/architects/rothelowman">Rothelowman</a>, have been tailored for families and multi-generational living, featuring private internal lifts, flexible lower-level spaces, generous open-plan living and entertaining areas, media rooms, and landscaped outdoor spaces with custom outdoor kitchens.&nbsp;

Inside, engineered oak flooring, bespoke dining joinery with integrated wine fridges and backlit bars, sculptural porcelain bathrooms, Parisi freestanding baths and Astra Walker tapware create interiors that balance functionality with refined finishes.

Each townhome has been designed to combine generous internal spaces with sustainability initiatives such as EV charging infrastructure, while <a href="https://www.apartments.com.au/landscape-architect/arcadia-landscape-architecture">Arcadia</a>'s landscaped communal areas, centred around a restored creek line and native planting, encourage residents to connect with nature and spend more time outdoors.

[smartcode_project:default project_id=7354 project_image_fid=269527]

Rothelowman's Gary Tsui said the architecture was conceived to respond carefully to its Upper North Shore setting.

"Our vision was to create elegant, uplifting homes that draw on and positively contribute to the local character through meticulously considered design and an interaction with the surroundings."

The communal landscape has been designed as more than an open space between homes. Arcadia's Ben Newell and Kate Phillips said the adjoining reserve provided an opportunity to create a distinctive natural retreat for residents.

"Just as waterways carve their way through Ku-ring-gai's landscape, a raised boardwalk weaves through the reserve, connecting the homes to this tranquil oasis."

[smartcode_project:default project_id=7354 project_image_fid=374892]

Located just 300 metres from <a href="https://www.apartments.com.au/developments/gordon-nsw-2072">Gordon</a> Village and Gordon railway station, Lume offers convenient access to Sydney's CBD while placing residents close to some of the North Shore's leading schools, including Ravenswood, Pymble Ladies' College and Knox Grammar. Lane Cove National Park, Gordon Golf Club and a range of cafés and restaurants further reinforce the family-focused lifestyle on offer, with the BMW iX3 50 complementing everything from local trips around Gordon to weekend drives and city commutes.

Construction is underway with completion expected in mid-2027.

[smartcode_project_cta:default project_id=7354]

Boutique Gordon townhomes now come with a BMW iX3 50

Two apartments have sold for more than $10 million at EADE Byron Bay, setting some of the highest apartment prices ever achieved in the coastal town and underlining the growing appetite for luxury beachfront apartments in Australia's most popular coastal locations.

The $210 million project by Vitale Property Group has now secured more than $70 million in sales, led by residences that changed hands for $12.75 million and $11.75 million.

The record-breaking transactions reinforce the shift occurring in Byron Bay's premium property market, where affluent downsizers and lifestyle buyers are increasingly opting for high-end apartments over large beachfront homes.

<a href="https://www.apartments.com.au/new-apartments/eade-byron-bay-29-shirley-street-byron-bay-nsw-2481">EADE Byron Bay</a> occupies a rare 6,000 sqm absolute beachfront site on the corner of Shirley and Milton Streets overlooking Main Beach and The Wreck surf break, just 350 metres from Byron Bay's town centre.

The 25-residence development is the first beachfront apartment project approved in Byron Bay in more than a decade and is currently under construction, with completion expected in May 2027.

[smartcode_project:default project_id=145590 project_image_fid=359521]

The project has attracted a mix of local Byron Shire residents downsizing from larger homes, alongside interstate buyers from Sydney, Melbourne and Brisbane seeking a permanent coastal lifestyle without compromising on space.

Designed by <a href="https://www.apartments.com.au/architects/hayball">Hayball</a> and with interiors by <a href="https://www.apartments.com.au/interior-designers/alexander-co">Alexander &amp; Co</a>, EADE comprises&nbsp;10 garden apartments ranging from 284 sqm to 622 sqm, nine with private pools, five full-floor apartments and 10 rooftop residences with private plunge pools, expansive outdoor entertaining areas and uninterrupted ocean views.

[smartcode_project:default project_id=145590 project_image_fid=359527]

<a href="https://www.apartments.com.au/developers/vitale-property-group">Vitale Property Group</a> Managing Partner Chris Vitale said the project's combination of scale, location and limited future supply was driving buyer demand.

"There isn't another beachfront holding in Byron Bay of this size and position that could be developed again," Vitale said.

"Buyers are responding to the scarcity and the irreplaceability of a site of this calibre and to floorplans they can't find elsewhere in the market.

"We are seeing buyers place significant value on quality, space, design, resort-style amenities and the rarity of the location. The sales achieved to date demonstrate that discerning purchasers recognise the long-term significance of what is being created at EADE Byron Bay.

"Many are coming from larger homes in the Byron region, or from Sydney, Melbourne and Brisbane, and are after the space, security and convenience, without the upkeep of a house."

&nbsp;

[smartcode_project:default project_id=145590 project_image_fid=359523]

The Byron Bay project follows Vitale Property Group's delivery of the Mondrian Hotel and Private Residences at Burleigh Heads, with EADE continuing the developer's focus on luxury coastal developments.

Residents will have access to a resort-style swimming pool, gymnasium, sauna, cold plunge pool, concierge services and dedicated workspaces, while the project is targeting an 8-Star Green Star rating.

EADE Byron Bay is being exclusively marketed by Projx Australia in conjunction with WHITEFOX Projects.

WHITEFOX National Projects Director Phillip Rand said demand had been driven predominantly by owner-occupiers.

"We are seeing buyers at EADE place significant value on quality, space, design, resort-style amenities and the rarity of this location," Rand says.

"The sales achieved to date demonstrate that purchasers at this level recognise the long-term significance of what is being created at EADE Byron Bay."

Residences at EADE Byron Bay are currently priced between $4.75 million and $15.95 million.

&nbsp;

&nbsp;

&nbsp;

&nbsp;

&nbsp;

[smartcode_project_cta:default project_id=145590]

Eloise Keating

Editor's Picks

Have something to contribute?

Developments

New apartments

New townhouses

News