Tag Archives: oceania

You didn't imagine it, power bills got more expensive last year

Australia's consumer watchdog has confirmed what many households already know far too well: electricity bills were less affordable than they were the year before – and they're about to get even worse.

The Australian Competition and Consumer Consumer Commission (ACCC) on Friday released the findings of its latest Electricity Market Inquiry Report.

Its analysis of 13 million residential and small business electricity bills found that, in the September 2022 quarter, households in most states connected to the National Energy Market (NEM) paid more for power than at the same time the year prior.

READ MORE: Electricity prices are increasing. This is who's getting hit hardest

Bills

South Australians copped the worse deal with a 9.1 per cent increase to the median quarterly electricity bill, and in New South Wales the rise was 6.4 per cent.

Victorians, on the other hand, paid just 0.6 per cent more than the year before, while households in South-East Queensland actually enjoyed bills that were 20.4 per cent cheaper thanks to the state government's $175 cost of living rebate.

Small business owners, however, were hurting all across the board; the ACCC found their bills increased by 13.1 per cent across all regions.

The report does not include Western Australia and the Northern Territory, neither of which are connected to the NEM, nor regional Queensland, the ACT or Tasmania, where prices are government-regulated.

READ MORE: Your hip pocket is about to be hit by a raft of changes

Powerlines

The ACCC also examined future prices, and forecasted that Australians connected to the NEM will be hit by steep increases from next month, when new benchmark electricity costs come into effect.

"Wholesale electricity prices have eased since their peak in the middle of 2022, but we expect electricity bills to increase further this year due to the lag in wholesale costs flowing through to customers," ACCC Commissioner Anna Brakey said.

"Energy retailers enter into supply contracts with generators years in advance to manage volatility, so households haven't yet seen the full impact of last year's wholesale price spikes."

READ MORE: These are the tax return changes you need to know about

Brakey said the ACCC is monitoring electricity retailers' price changes to ensure they are acting legally.

"Retailers have certain legal obligations under the Electricity Retail Code to communicate price changes in a way that allows people to compare different plans," Ms Brakey said.

"Any retailer that breaches the electricity code or seeks to mislead consumers about the reasons for electricity prices increasing can expect our attention.

"It's important for people to see if they can reduce their electricity bills by switching to a better plan.

"We encourage all households and small businesses to use the government-run websites Energy Made Easy and Victorian Energy Compare to see if there is a cheaper offer available.

"We advise waiting until after 1 July, when many retailers will have updated their energy plans. Customers can then have greater certainty about the prices they will be paying and compare the largest range of available offers in the market."

Sign up here to receive our daily newsletters and breaking news alerts, sent straight to your inbox.

'She chose a bum': Dutton leaps to Berejiklian's defence

Former NSW premier Gladys Berejiklian "is a wonderful person" and "should hold her head high" despite the damning findings handed down in yesterday's ICAC report, federal Opposition Leader Peter Dutton says.

Speaking this morning on Today, Dutton was adamant Berejiklian was "not a corrupt person", claiming she had already paid "a big price" for her actions.

"The Gladys I know is somebody who is absolutely a wonderful person," he said.

EXPLAINED: IBAC's findings on former NSW Premier Gladys Berejiklian 

"She's first-class, and what you see in public is what you get in private as well.

"She's just a very decent person.

"She chose a bum, basically, and he was a bad guy, I think that she has paid a big price for that."

READ MORE: Key updates and reaction as ICAC hands down findings on Berejiklian

Peter Dutton has angrily denied claims by former foreign minister Bob Carr that he was the cabinet minister who leaked a series of text messages about Prime Minister Scott Morrison.

The former premier found herself in a "bad relationship" but is "not corrupt", Dutton added. 

"Integrity is not in question," he said.

"She's not a corrupt person – that's not the person that I know, and I think she should hold her head high.

"She had a bad relationship, as everybody does, and I hope that that's not the defining moment for her because she's a much better person and we all know that."

Sign up here to receive our daily newsletters and breaking news alerts, sent straight to your inbox.

Murder investigation underway after man found dead in Queensland

A murder investigation has been launched after a man was found dead with head and upper body injuries in a home near Gold Coast.

Police found a man's body in a home on Tolima Drive in Mount Tamborine after reports he was unconscious about 12.15pm yesterday.

"Upon arrival, a 37-year-old Tamborine Mountain man was located deceased inside the house," Queensland Police said in a statement.

READ MORE: Every state and territory warned of clobbering this weekend

Queensland Police have launched a murder investigation after a man was found dead in a home on Tolima Drive in Mount Tamborine.

"He had sustained fatal head and upper body injuries."

Scientific and forensic officers are examining the scene.

Detectives are appealing to anyone with relevant information, CCTV or dashcam vision in the vicinity of Tolima Drive to come forward.

Sign up here to receive our daily newsletters and breaking news alerts, sent straight to your inbox.

Applause in court after killer found guilty of schoolgirl's 1999 murder

A jury has found a western Sydney truck driver guilty of murdering schoolgirl Michelle Bright 24 years after she vanished following a friend's birthday party in the close-knit town of Gulgong in the NSW's Central West.

Michelle's mother Loraine and family hugged and clapped inside Dubbo courthouse upon hearing the verdict, which came after two weeks of deliberation.

Craig Henry Rumsby kept quiet for more than two decades before confessing to undercover officers in 2020 that he had a sexual interest in her and suffocated her about a kilometre from her home on Barneys Reef Road.

Michelle Bright who was murdered 21 years ago in the NSW town of Gulgong

But the now 56-year-old denied any involvement in the Year 11 student's death following his arrest, after confessing earlier in the night to the cold case murder.

After stepping out of a police paddy wagon in handcuffs outside Mudgee police station in August 2020, Rumsby was asked by 9News if he had murdered Michelle, to which he replied, "No."

When asked if he had anything to say to her family, he replied: "I've known her mum for ages."

The 17-year-old vanished after friends dropped her outside a Gulgong pub following a birthday party in February 1999.

The teenager's partially naked body was discovered in long grass three days later.

https://twitter.com/tiffgenders/status/1674580986397601794

Michelle's mother and family have spent 20 years begging for answers including at a press conference in 2020 where police announced a $1 million reward.

A video of the press conference was posted on the NSW Police Facebook page, prompting Rumsby to leave a comment.

"It's so sad that they havent (sic) caught her killer … Michelle was like a sister to me I feel sorry for the family," he posted.

Craig Rumsby has been charged with the murder of Michelle Bright in 1999.

The seven-week trial heard Rumsby quietly moved to Wilberforce on Sydney's outskirts two weeks after he murdered Michelle in February 1999 and began working at an abattoir as detectives followed up thousands of potential leads – many of which had been thrown up by the local rumour mill.

Rumsby made a new life for himself while Michelle's family wondered if the person who had killed the popular schoolgirl was still living among them.

9News can reveal that not long after he moved to Sydney, police questioned him over the phone about Michelle's death.

Craig Henry Rumsby was arrested in Mudgee over Michelle Bright's death.

READ MORE: Seven arrested as police swarm Melbourne freeway

The day after that phone call, the red station wagon he owned was burned.

Today a jury also found Rumsby guilty of trying to sexually assault and strangle another teenager in 1998, just a few hundred metres from where he murdered Michelle a year later.

The jurors were never told about the full extent of Rumsby's sexual obsession with young women.

He's accused of choking and sexually assaulting a teenager in western Sydney in 2007 and convicted of indecently assaulting a 22-year-old woman on a train at Richmond in 2013 and groping an 18-year-old in a car park at Blacktown in 2019.

Rumsby will face a sentencing hearing before the trial judge – Justice Robert Allan Hulme – at a date yet to be determined.

Sign up here to receive our daily newsletters and breaking news alerts, sent straight to your inbox.

Mortgage cliff will see 'unprecedented' repayment spike

Aussie borrowers on a fixed rate home loan are at risk of falling off an "unprecedented" mortgage cliff with their repayments more than doubling when the fixed term of their loan expires.

With around half of all fixed-rate loans expiring this year, or $350 billion worth, with the switch to variable rates is expected to hit homeowners hard.

Canstar research found homeowners who took out a loan on a $500,000 mortgage in 2021 at around 2.21 per cent could see repayments rise by 63 per cent from $1200 to $3101 per month.

READ MORE: Magnitude 4.6 earthquake hits Victoria

A real estate sign is seen at a property in Croydon Park in Sydney, Australia

For borrowers who chose a three-year fixed rate in 2020 and were locked into 2.61 per cent on their repayments, it could now cost up to 53 per cent more on a $500,000 loan with costs increasing from $20004 to $3074.

It comes after the central bank raised the cash rate to 4.10 per cent in June from just 0.10 per cent in April 2022.

The interest rate pain isn't expected to ease yet with two of the four big banks, NAB and Westpac, forecasting the cash rate to continue rising in coming months signalling further struggles for homeowners.

Canstar's finance expert Steve Mickenbecker said fixed-rate borrowers coming to the end of their term are facing an "unprecedented" mortgage cliff with their repayments almost trebling overnight.

"Fixed-rate borrowers have not had the past year to acclimatise to higher interest rates," Mickenbecker said.

"They have avoided the pain of adjusting their budget for higher loan repayments but will be on the receiving end of the Reserve Bank's 12 cash increases over the past year all in one huge hit.

"To help cope with the inevitable higher repayments, any borrower with a fixed period still to run should be making the necessary adjustments now and be putting themselves ahead with extra repayments."

READ MORE: Every state and territory warned of clobbering this weekend

Mickenbecker warned it will only get worse for borrowers if the central bank decides to hike the cash rate again in July.

"The latest inflation numbers are encouraging and probably enough to stay the Reserve Bank's hand from another cash rate rise in July. If the more robust quarterly inflation data released in July doesn't confirm the trend towards the Reserve Bank's two to three percent inflation target, we can expect further rate hikes," he said.

"The labour market is very tight with the lowest unemployment rate in decades, and this will feed wage pressure into the inflation rate. It doesn't look as if the Reserve Bank's job is done yet."

Mickenbecker urged borrowers coming to the end of their fixed-rate period to consider switching to a different rate to find a better deal.

"Fixed rate borrowers with a loan due to expire this year should be checking their loan contract today to understand what rate they can expect when the fixed term ends and confirming it with their lender," he said.

"Most will be suitably shocked."

Canstar research shows 80 per cent of borrowers with a two-year fixed rate could find a lower variable rate of up to 5.24 per cent or repayments of $2074 per month on a $500,000 loan.

The research also showed 60 per cent of borrowers locked into a four-year fixed-rate could find an even lower rate of 4.94 per cent instead of the average of 6.57 per cent

This would mean repayments on a $500,000 loan could be $2644 instead of $3106.

READ MORE: Seven arrested as police swarm Melbourne freeway

Suburbs vulnerable mortgage cost of living stress explainer

"It's likely that the rate borrowers will move to at the end of a fixed term will exceed today's average variable rate, as the interest rates that fixed rate loans automatically roll into are generally set by banks in their favour," Mickenbecker said.

"There will almost inevitably be better deals available with your current lender or a competitor. Now is the time to market yourself around.

"Refinancing into one of the lowest interest rate loans will ease the higher repayment burden and is a must for every borrower. It won't save borrowers altogether from repayment pain, but it will provide hundreds of dollars that won't have to be found elsewhere in the family budget."

Sign up here to receive our daily newsletters and breaking news alerts, sent straight to your inbox.

The information provided on this website is general in nature only and does not constitute personal financial advice. The information has been prepared without taking into account your personal objectives, financial situation or needs. Before acting on any information on this website you should consider the appropriateness of the information having regard to your objectives, financial situation and needs.

Children's overalls recalled over choking hazard

Children's overalls sold at popular retailer Big W have been recalled over a potential choking hazard.

Product Safety Australia issued the recall for the 1964 Denim Company Toddler Girls Micro Corduroy Dungaree, sizes one to seven, in the colours "silt green" and "dusty rose".

Buyers are warned that the overall fasteners are not securely attached and could separate from the fabric.

READ MORE: Magnitude 4.6 earthquake hits Victoria

Some children's overalls sold by Big W have been recalled over safety fears.

"There is a risk of choking or suffocation in young children, leading to severe injury or death if the press fasteners detach and are ingested," Product Safety Australia said.

The clothes were sold by Big W in stores and online, as well as through the My Deal wesbite, from  May 3 to May 29 this year.

Customers are advised to stop using the overalls and contact Big W for a full refund, either online or by phone on 1300 244 999.

Sign up here to receive our daily newsletters and breaking news alerts, sent straight to your inbox.

Scientists finally 'hear' universe ripple as black holes move

Scientists have observed for the first time the faint ripples caused by the motion of black holes that are gently stretching and squeezing everything in the universe.

They reported on Wednesday that they were able to "hear" what are called low-frequency gravitational waves – changes in the fabric of the universe that are created by huge objects moving around and colliding in space.

"It's really the first time that we have evidence of just this large-scale motion of everything in the universe," said Maura McLaughlin, co-director of NANOGrav, the research collaboration that published the results in The Astrophysical Journal Letters.

READ MORE: Magnitude 4.6 earthquake hits Victoria

Einstein predicted that when really heavy objects move through spacetime – the fabric of our universe – they create ripples that spread through that fabric. Scientists sometimes liken these ripples to the background music of the universe.

In 2015, scientists used an experiment called LIGO to detect gravitational waves for the first time and showed Einstein was right. But so far, those methods have only been able to catch waves at high frequencies, explained NANOGrav member Chiara Mingarelli, an astrophysicist at Yale University.

Those quick "chirps" come from specific moments when relatively small black holes and dead stars crash into each other, Mingarelli said.

READ MORE: Every state and territory warned of clobbering this weekend

In the latest research, scientists were searching for waves at much lower frequencies. These slow ripples can take years or even decades to cycle up and down, and probably come from some of the biggest objects in our universe: supermassive black holes billions of times the mass of our sun.

Galaxies across the universe are constantly colliding and merging together. As this happens, scientists believe the enormous black holes at the centers of these galaxies also come together and get locked into a dance before they finally collapse into each other, explained Szabolcs Marka, an astrophysicist at Columbia University who was not involved with the research.

The black holes send off gravitational waves as they circle around in these pairings, known as binaries.

"Supermassive black hole binaries, slowly and calmly orbiting each other, are the tenors and bass of the cosmic opera," Marka said.

READ MORE: Seven arrested as police swarm Melbourne freeway

No instruments on Earth could capture the ripples from these giants. So "we had to build a detector that was roughly the size of the galaxy," said NANOGrav researcher Michael Lam of the SETI Institute.

The results released this week included 15 years of data from NANOGrav, which has been using telescopes across North America to search for the waves. Other teams of gravitational wave hunters around the world also published studies, including in Europe, India, China and Australia.

The scientists pointed telescopes at dead stars called pulsars, which send out flashes of radio waves as they spin around in space like lighthouses.

These bursts are so regular that scientists know exactly when the radio waves are supposed to arrive on our planet — "like a perfectly regular clock ticking away far out in space," said NANOGrav member Sarah Vigeland, an astrophysicist at the University of Wisconsin-Milwaukee. But as gravitational waves warp the fabric of spacetime, they actually change the distance between Earth and these pulsars, throwing off that steady beat.

By analyaing tiny changes in the ticking rate across different pulsars — with some pulses coming slightly early and others coming late — scientists could tell that gravitational waves were passing through.

READ MORE: How to get Taylor Swift Eras tour general sale tickets

The NANOGrav team monitored 68 pulsars across the sky using the Green Bank Telescope in West Virginia, the Arecibo telescope in Puerto Rico and the Very Large Array in New Mexico. Other teams found similar evidence from dozens of other pulsars, monitored with telescopes across the globe.

So far, this method hasn't been able to trace where exactly these low-frequency waves are coming from, said Marc Kamionkowski, an astrophysicist at Johns Hopkins University who was not involved with the research.

Instead, it's revealing the constant hum that is all around us — like when you're standing in the middle of a party, "you'll hear all of these people talking, but you won't hear anything in particular," Kamionkowski said.

The background noise they found is "louder" than some scientists expected, Mingarelli said. This could mean that there are more, or bigger, black hole mergers happening out in space than we thought — or point to other sources of gravitational waves that could challenge our understanding of the universe.

Researchers hope that continuing to study this kind of gravitational waves can help us learn more about the biggest objects in our universe. It could open new doors to "cosmic archaeology" that can track the history of black holes and galaxies merging all around us, Marka said.

"We're starting to open up this new window on the universe," Vigeland said.

Sign up here to receive our daily newsletters and breaking news alerts, sent straight to your inbox.

France in uproar after police shoot dead boy, 17, at close range

France is bracing for what could be a third night of violent protests following the fatal police shooting of a teenage boy that was captured on video.

The French Interior Ministry said it plans to deploy 40,000 police officers across the country – including 5,000 in Paris – to quell any potential unrest.

All government ministers have been asked to postpone non-urgent travel and remain in Paris due to the protests, a government source told CNN.

READ MORE: Mother pleads with driver to hand themselves in after daughter hit

France braces for more violence after 17-year-old Nahel shot dead by police

The source spoke on the condition of anonymity citing French professional norms.

Authorities are keen to avoid a repeat of the scenes that played out on Wednesday night, when police stations, town halls and schools were set alight in various cities and about 150 people were arrested.

The unrest first broke out Tuesday, hours after a police traffic stop in the Paris suburb of Nanterre resulted in the killing of a 17-year-old named Nahel.

Over the course of a chaotic night, 40 cars were burned and 24 police officers injured, French authorities claimed.

The police officer was put under formal investigation for voluntary homicide and placed in preliminary detention, CNN affiliate BFMTV reported Thursday.

On Thursday, an estimated 6,000 people, according BFMTV, joined a march to honour Nahel led by his mother in Nanterre. The event was mostly peaceful, though there was some violence on the edges of the procession.

Many wore shirts emblazoned with "justice for Nahel," while others shouted the slogan. Some were seen holding signs saying "the police kill." A lawyer for the family on Thursday confirmed the spelling of the boy's name as Nahel; he was initially identified as Naël.

READ MORE: The radical hip pocket changes coming on July 1

France braces for more violence after 17-year-old Nahel shot dead by police

The violent scenes seen over the past two days have raised concerns that Nahel's death could lead to a level of unrest and rioting not seen since 2005, when the deaths of two teenage boys hiding from police sparked three weeks of rioting and prompted the government to call a state of emergency.

The video of Nahel's killing has sparked a similar level of shock and anger across France, touching a particular nerve among young men and women of colour who feel that they have been discriminated against by police.

A 2017 study by the Rights Defenders, an independent human rights watchdog in France, found that young men perceived to be Black or Arab were 20 times more likely to be stopped by police than their peers.

Many of these individuals are simply "tired," journalist and racial equality activist Rokhaya Diallo told CNN.

"People know and have been speaking about police brutality and have not been heard," she said.

Video of the shooting in the Paris suburb of Nanterre surfaced on social media shortly after the incident took place Tuesday morning. The clip shows two police officers standing on the driver's side of a yellow Mercedes AMG, one near the door and another near the left front fender. As the car attempts to drive away, one officer is seen firing his sidearm.

READ MORE: Second chance for Swifties after Taylor's tour bombshell

France braces for more violence after 17-year-old Nahel shot dead by police

The bullet that hit Nahel pierced his arm and chest. After fleeing the scene, the car crashed into a stationary object at a nearby plaza.

Nahel was in the car with two others at the time of the incident. One passenger in the vehicle was taken into custody and later released, while another, who is believed to have fled the scene, is missing, authorities said.

The local Nanterre prosecutor, Pascal Prache, said on Thursday that the officers testified both drew their weapons and pointed them at the driver to dissuade him from restarting the engine. The officer who fired his weapon said, according to the prosecutor, that he was scared the boy would run someone over with the car.

However, Prache said it is believed the officer accused of shooting and killing Nahel may have acted illegally in doing so.

Lawyers for Nahel's family slammed the decision not to pursue charges over alleged false statements, claiming the officer said in his initial declaration that "young Nahel had tried to run him over with the vehicle." CNN has asked the French national police for a response to the allegations against the unnamed officer.

Prache said that Nahel had been known to authorities for a previous "breach of rules," but it is not clear what law or orders that pertains to. The teen was expected to appear before a juvenile court in September.

Macron and other government officials, including Prime Minister Elisabeth Borne, have called for patience to allow the criminal justice system to run its course.

"We need calm for justice to carry out its work," Macron said on Wednesday. "We can't allow the situation to worsen."

Rallying public support and goodwill, however, is likely to be difficult for Macron's government given how much political capital it spent in the first half of 2023 pushing through unpopular pension reforms, which sparked months of mostly peaceful mass protests.

France braces for another night of violence after the deadly police shooting of a 17-year-old

Acknowledging the government's massive unpopularity, Macron gave himself 100 days to heal and unite the country. That deadline is up on July 14, France's national day.

Addressing allegations of institutional racism in France is particularly challenging given the country's unique brand of secularism, which seeks to ensure equality for all by removing markers of difference, rendering all citizens French first.

In practice, however, the vigorous adherence to French Republicanism often prevents the government from doing anything that would appear to differentiate French citizens on the basis of race, including collecting statistics.

Racial and religious data, where available, typically comes from private institutions, and extra care is typically taken by politicians to avoid circumscribing racial motives to state institutions.

"On a general level, people tend to think there is no racism in France. And it's one of the reasons people are so angry, because they feel and experience racism on a daily basis," said Diallo, the anti-racism activist. "Despite that, they still face institutions, public discourse, and media which still say that there is no racism and that the race debate does not belong in France. And that's the reason people are so angry and so outraged."

Government officials have so far not broached questions of racism in the police. Leaders of opposition left-wing parties have focused their criticisms on police violence rather than racism. Government spokesman Olivier Veran told BFMTV that anger against the state itself, however, is unjustified.

"It is not the republic that killed this young man," Veran said. "It is one man who must be judged if the justice system deems it necessary."

Sign up here to receive our daily newsletters and breaking news alerts, sent straight to your inbox.

Every Aussie jurisdiction warned by weather bureau ahead of weekend

Large parts of Australia's centre and north-east will cop a battering from heavy rain this weekend, as every jurisdiction in the country is told to brace for extreme winds.

The nation's north half, spanning from Western Australia, across to the Northern Territory and into Queensland and South Australia, are all set to feel the force of an incoming "large cloudband", expected to deliver "widespread and unseasonably heavy rain".

Some areas, according to Weatherzone, had already collected several months' rain in one or two days earlier this week, resulting in flooding and roads being off.

READ MORE: Flood warnings as potential record rainfall approaches Queensland

While the nation enjoyed some respite from the rain yesterday, those conditions are to be short lived, with more intense conditions expected today and into the weekend.

"Another pulse of heavier rainfall will develop over WA's Kimberley and the NT Interior on Friday and Saturday, before spreading further east across Queensland from Sunday into early next week," Weatherzone said.

"Some forecast models also suggest New South Wales, Victoria, the ACT and even Tasmania could pick up some rain from this system next week.

"As of 4pm AEST on Thursday, flood watches had already been issued in WA and the NT.

READ MORE: Adelaide enduring wettest year in 40 years

"More flood watches and possibly flood warnings will be issued in the next few days as this second pulse of rain spreads across northern and central Australia."

The expected dumping comes as Bureau of Meteorology (BoM) issues warnings to every Aussie state and territory today over extreme marine winds.

Flood warnings also remain in place across a number of areas in WA, the NT and in Victoria.

A full list of those warnings can be found here.

Meanwhile, across the capital cities, it'll be tops of 18 degrees today in Sydney with lows of a frosty seven, in Melbourne it'll be cloudy with tops of just 14 and a low of 10 degrees.

In Brisbane, it'll be a pleasant 21 and sunny, with lows of six, while in Adelaide rain is expected with tops of 13 degrees.

In the west, Perth will see sunny skies with a maximum temperature of 17 degrees, and in Canberra it'll reach a high of 11 degrees.

Showers with a top of 14 degrees is expected in Tasmania. 

Sign up here to receive our daily newsletters and breaking news alerts, sent straight to your inbox.

Why Australian construction companies are collapsing every day

We've all seen the headlines: Another major Australian builder collapses as construction crisis grows. Another Aussie building company collapses as costs bite. Another construction company falls into liquidation.

The Australian construction industry is in turmoil, but it's hard even for the most well-versed readers to grasp the sheer volume of companies collapsing. In the past two years, more than 2000 have gone into liquidation – more than two a day.

So why, even as Australians are crying out for more housing supply, are construction firms going bust, and is there anything you can do if your builder folds after you've paid a deposit?

READ MORE: Your hip pocket is about to be hit by a raft of changes

New home construction

How many Australian construction companies have collapsed recently?

Since mid-2021, 2023 Australian building companies have gone into liquidation, according to data from the Australian Security and Investments Commission.

This includes the likes of Porter Davis, Probuild, ABG and A1A Homes.

For context, the accommodation and food services industry is next on the list – perhaps no surprise given the impact of the pandemic. However, it has less than half the number of collapsed companies (1013) over the same period.

READ MORE: The key dates you need to know for your tax return this year

Why are they collapsing?

A range of economic conditions is causing turmoil in the construction industry, including supply-chain issues, rising interest rates, and pandemic-era stimulus ending.

It's been labelled a "perfect storm" by the University of NSW (UNSW).

"COVID lockdowns and hundreds of billions paid to people not to work caused supply shortages, both locally and overseas," Dr Peter Swan, a banking and finance professor at the UNSW Business School, said.

"Lax fiscal policies and massive printing of money by the RBA led to inflation. The cash rate has been raised from almost zero to over 4 per cent per annum.

EXPLAINED: Electricity prices are increasing. This is who's getting hit hardest

LDC administration

"All of these changes have put pressure on builders financially, as has the decline in house prices… far fewer properties are being listed for sale," he said.

Spiking raw material costs and labour shortages are also causing issues.

"For a residential builder, increased material costs and longer than usual material delivery times stretch working capital requirements," associate professor Dr Rob Nicholls, also from the UNSW Business School, said.

"Some builders cannot deal with this and collapse."

I've paid a deposit to a builder that has since collapsed. What can I do?

It's a scenario thousands of Australians have faced recently: paying a hefty deposit for a dream home, only for the builder to go bust, throwing the project into doubt.

Unfortunately, there's not a lot of protection for anyone who finds themselves in that position – a far cry from banks or superannuation funds going bust, when customers' investments or deposits are secured.

"The house buyer is just an unsecured creditor to the builder," Nicholls said.

"This means that they have two problems. Some of their funds will be lost and finding another builder to complete the work is difficult because of increased material costs."

Sometimes, governments will provide bailouts to allow customers to recoup their deposits – such as the scheme announced in Victorian following Porter Davis's collapse.

However, there's no guarantee of government intervention after a builder goes bust – Queenslanders, for example, were not given support in line with the scheme on offer in Victoria in the case of Porter Davis.

In those scenarios, Swan says there's "very little" recourse available aside from expensive legal action.

READ MORE: These are the tax return changes you need to know about

However, he said two steps Aussies should take are to avoid buying off the plan, and opt for well-established construction firms.

"There are large, reputable builders who have been around for many decades. This offers some protection but far from complete," he said.

However, the lack of protection for home-buyers is something Nicholls is hoping to address in a research project between the UNSW Business Insights Institute project and Tip Group, which aims to propose regulations that would minimise risks in the industry.

"There is a need to change the regulatory settings for the residential building industry in order to minimise the insolvency risk for both the builder and the consumer," Nicholls said.

"Unfortunately, previous performance is no guide to future outcomes. Under the current and inadequate protections for both the buyer and the builder, there is always an insolvency risk."

Sign up here to receive our daily newsletters and breaking news alerts, sent straight to your inbox.