Reserve Bank governor says business expectations could hold down inflation

RBA’s Philip Lowe says there is a risk that workers and businesses could start basing decisions on the assumption inflation will stay low

The Reserve Bank governor has said he is concerned that workers and businesses could become too accustomed to record low inflation, making it harder for it to rise again to healthy levels.

Philip Lowe said he was eagerly awaiting next week’s quarterly inflation figures because they would influence inflation expectations.

Related: Scott Morrison rejects monetary policy ‘experiments’ to deal with low inflation

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Self-employed earn less than in 2001 – and will be hit by welfare cuts

Number of people working for themselves up by half in 15 years but their average pay down £60 a week, thinktanks say

Britain’s growing army of self-employed workers are earning less than they were 15 years ago and are vulnerable to changes that will make the welfare system less generous, two new thinktank reports have revealed.

The Resolution Foundation said the 45% increase in people deemed to be working for themselves since 2001-02 had been accompanied by a £60-a-week cut in the average pay packet.

Related: Uber driver earned less than minimum wage, tribunal told

Related: PM urged to launch inquiry into low pay of self-employed couriers

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Losing agricultural regulations could outweigh EU tariff costs, says thinktank

Institute of Economic Affairs says Brussels has fallen victim to lobbying and introduced rules with little benefit to consumers which ‘create deadweight costs’

Britain can jettison hundreds of costly agricultural regulations which have pushed up food prices, offsetting the extra costs of European Union tariffs, according to a report by a free market thinktank.

A study by the Institute of Economic Affairs argues that Brussels has fallen victim to intense lobbying by pressure groups which benefit from tighter rules on food standards, animal welfare and the environment.

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