Australia does not lack ideas, it lacks resolve about the kind of country we want to be, writes Carl Rhodes.
VIOLENCE RETURNED to Melbourne’s streets last weekend.
Anti-immigration marchers clashed with counter-protestors in scenes of chaos. Police wrestled with demonstrators in the gutter, capsicum spray filled the air, rubber bullets flew and blood spilled onto the pavement. Rocks, glass, and rotten fruit were hurled. Arrests followed, and both protestors and police officers were admitted to hospital.
White nationalism was front and centre, echoing national organiser Bec Walker's support of remigration: the forced return of non-white immigrants to their countries of origin. The old racist refrain, “Go back to where you came from,” echoed once again.
Similar marches took place across the country with organisers framing their motives as a defence of national identity.
The Melbourne protest website declared:
'People are waking up to a country they barely recognise. It’s time to put a stop to it.'
Protestors blamed immigration for economic hardship, pointing to rising living costs and the deepening housing crisis.
Economic insecurity, political disenfranchisement, cultural dislocation, and racial backlash; these are hallmarks of the far-right political playbook gaining traction globally. From U.S. President Donald Trump’s 'Make America Great Again' (MAGA) movement in the United States, to Nigel Farage’s Reform Party in the United Kingdom, to the surging support for Alternative für Deutschland (AfD) in Germany, right-wing populism is once again a transnational force.
Australia’s democracy has so far resisted the extremes seen overseas. But are these protests a warning to us that right-wing extremism may be edging toward the mainstream here too?
Is Australia in danger?
When Prime Minister Anthony Albanese visited his UK counterpart Keir Starmer last month, the threat of populism was high on his agenda.
Albanese cautioned that:
“...people are concerned about elements of the far-right rising in various countries...that's something that my government's very focused on.”
Australia is not facing the same intensity of populist pressure as the UK. There, Reform Party leader Nigel Farage is now a serious contender to become Prime Minister. Reform’s rise is largely driven by its stance on immigration and the cost of living, the same two issues that headlined Donald Trump’s 2024 campaign in the United States.
Australia may not be as far down that path, but warning lights are flashing. The same divisive, xenophobic, isolationist, and anti-democratic politics that have taken hold overseas are increasingly visible here.
Last weekend’s marches are one symptom. Another is the growing support for One Nation, the traditional home of Australian authoritarian populism. Despite winning just 6.4% at the last election, polling now puts their support at up to 14%.
Adding to the volatility, former Deputy Prime Minister Barnaby Joyce has confirmed discussions with One Nation leader Pauline Hanson, fuelling speculation that he may defect. If that happens, it could signal that the mainstreaming of far-right populism in Australia is more advanced than previously thought.
Economic roots of populist appeal
Albanese has been direct in stating that he does not want Australia “to see the rise of populist organisations such as [Reform]”. But the flames of populist backlash will not be quashed through immigration policy. That would be just treating the symptom rather than the cause.
Immigration policy might help manage public sentiment, but addressing the root of the problem requires economic reform. Populist movements scapegoat immigrants to advance nationalist and racist agendas. Their diagnosis is bigoted and wrong, but the underlying problems they exploit are real.
Poverty rates in Australia have increased from 12.4% per cent to 14.2% per cent over the past four years. Housing affordability is approaching record lows, with it now taking an average of more than ten years just to save for a deposit.
Wealth inequality has escalated to a point where the top 10% of Australians own 44% of the nation’s wealth. The post-pandemic cost-of-living crisis meant that between 2022 and 2024, household disposable income per capita fell by almost 7%.
These are precisely the economic conditions in which populism grows, conditions that invite false solutions and racialised scapegoats.
Charting a fairer future
If populism feeds on inequality, then fairness must be its antidote.
The Government knows this. Recently announced superannuation tax changes are a start, focused on intergenerational inequality. These changes would see wealthier Australians pay more tax on superannuation, while more low‑income earners receive offsets.
But this alone will not turn the tide. Broader tax reform, including changes to capital gains tax and negative gearing, is under consideration, and proposals for wealth taxes are emerging. There are also calls for widespread welfare reform to address poverty more directly. National inequality targets have also been floated as a way to focus policy on outcomes.
In short, the policy options exist. We can reduce inequality, cool the anger, and deny populism its oxygen.
The real test: Political will
Australia does not lack ideas. It lacks resolve.
The question is whether we have the political will to reform a system that has driven, and continues to drive, our society toward greater inequality and vulnerability to far-right populism. This is not a technocratic debate about marginal tax rates. It is a democratic choice about the kind of country we want to be.
Do we choose a politics of fear that weaponises hardship against migrants and minorities? Or a politics of courage that tackles the causes of that hardship, from housing, wages, tax, and social protection, and insists on dignity for everyone who calls Australia home?
Ultimately, the decision is not about policy detail but national character.
Let us choose a future defined by fairness over scapegoating, solidarity over spite, and democratic confidence over authoritarian threat.
The world offers us cautionary tales. We still have time to write a different one.
Carl Rhodes is Professor of Business and Society at the University of Technology, Sydney. He has written several books on the relationship between liberal democracy and contemporary capitalism. You can follow him on X/Twitter @ProfCarlRhodes.
This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivs 3.0 Australia License
Support independent journalism Subscribe to IA.
