THE NEWS WRAP: The proportion of debt-free Australian households has hit a nine-year low

Small businesses look set to be on the agenda at the NSW state election, with the opposition promising to create a commissioner for the sector.

The opposition also said that it would make government agencies pay bills within 30 days and remove two pieces of regulation for every one introduced.

The NSW Business Chamber has welcomed the promise, according to the Australian Financial Review.

Banks expect rate rise

All four major banks now expect a rate rise, with the Commonwealth Bank the latest to revise its forecast.

CommBank now expects the Reserve Bank to raise rates to 4.75% when it meets October 5.

Household debt on the rise

The proportion of debt-free Australian households has hit a nine-year low, with just 36.2% households across the nation not in debt.

Home ownership has also fallen, raising concerns over how consumers will fare if there is a further economic dip.

ACCC gives green light to Virgin Blue alliance

There is good news for Sir Richard Branson, with the ACCC giving the go-ahead for his airline Virgin Blue’s alliance with Etihad. Qantas had opposed the move.

Overnight

The Dow Jones fell 76.89 points while the Australian dollar weakened from its two-year high. The dollar fell to US 94.95 cents.