Man shot dead by Australian police

An Australian man has died after being shot by police who were responding to reports of a neighbourhood dispute on Christmas Day.

Australian police were called to The Rise at Lisarow on Australia's Central Coast yesterday afternoon where they were confronted by the man, believed to be in his 40s.

A police spokeswoman said the man was allegedly armed with a knife and "behaving in a threatening manner". A number of shots were fired by police, wounding the man. He was treated at the scene by paramedics before being taken to Gosford Hospital where he died.

Neighbours have praised the man as helpful and generous, and the type of person who "would do anything for anybody".

One neighbour said the man had lived in the street for more than 10 years and would often help people with gardening and odd jobs. "It's terrible that it happened … he would do anything for anybody," he said.

Other neighbours who knew the man said they were distraught over the tragedy, and expressed sympathy for the man's wife and daughters for losing a family member on Christmas Day.

A critical incident investigation team comprising officers from the state crime command's homicide squad has been formed to examine the shooting.

- SMH.com.au and AAP