Economy set to worsen, with higher unemployment and weaker growth on the way, Jim Chalmers reveals

Key points

• Treasurer Jim Chalmers has signalled that the December midyear budget update will forecast weaker growth and higher unemployment. Economists warn of a difficult six months ahead.
• Unemployment reached 4.7% in September, its highest in nearly five years. Chalmers says higher interest rates and inflation are likely to soften growth.
• Economists also expect the full effect of four rate rises to still be felt, with a further rise possible.