Cost-of-Living
Transcript
Date: 4 July 2024
Ms WARE (Hughes): I rise to speak on this matter of public importance. It has now been two years since the Albanese Labor government was elected. Before the election on 17 March 2022, Anthony Albanese said, 'A Labor government will lower the cost of living.' Let's look at how that has gone over the last two years, because we are now in a cost-of-living crisis and have been for almost the entirety of this government's term. Last week, we again saw headline inflation rise to five per cent and core inflation to 4.4 per cent. Core inflation has now increased four months in a row. It is at its highest level this year. The Labor government's continued failure to get inflation under control is leading to the very real prospect of a rate increase in August. This will then be the 13th under Labor's watch—the 13th in just over two years.
I think it's very important that the link between inflation and interest rates and the government's spending is clearly set out. The Reserve Bank raises interest rates when it is not satisfied with the way this government has performed with fiscal policy. This government, in three failed budgets in a row, has spent $315 billion. That's $30,000 per household. There is no household in my electorate that feels it is $30,000 better off. That is because the $315 billion that has been spent by this government has largely been wasteful and unproductive. It has done nothing to improve the lot of Australian people. It has done nothing to improve the lot of households, and it has done nothing to improve the situation for the 2.5 million small businesses in our country. The Reserve Bank has said the inflation rate is domestically driven, so we want to hear no more nonsense from those on the other side that keep blaming wars overseas for inflation. The inflation is firmly in their hands and it is their overspending. History tells us that is always what happens when we have a Labor government. They always lose control of the economy, and this government is no different.
Mortgage holders with this cost-of-living crisis—and I have 22,000 in my electorate—have paid $35,000 more in two years. That is a cost-of-living crisis because that is $35,000 they've paid to their banks that they are then unable to spend on a family holiday or on groceries. They are unable to spend that in their local business when going out for dinner. That is the result of what we have seen with this government's overspending, and Australians know that they're in a cost-of-living crisis.
We can talk big numbers, but let's look at some specifics. In two years, for example, insurance has gone up 27 per cent, and we are now seeing more and more people not renewing their medical insurance. Chicken is up 10 per cent; jam, 11 per cent; cakes, 19 per cent. Takeaway food costs 15 per cent more. Spirits cost 14 per cent more. Vegetable oil is up 28 per cent. These are all of the small things that are contributing to this crisis. When you put all of this together, Australians know each week, when they go and get their groceries, it's costing them more. And when we've heard this week from those on the other side that there's going to be a soft landing from 1 July, I can tell you right now that those in my electorate don't believe it. And those on the other side know that those in their electorates also do not believe it, because they are paying the same increases here that my constituents and everybody across the country are paying.
We've been asked what we would do. This is what we won't do in government: we won't, for example, put on an extra 36,000 public servants. It hasn't been explained exactly what these public servants are going to be doing. We won't be doing that. We will be getting inflation under control. We will be pursuing an energy policy that will deliver cheaper, cleaner and consistent energy.
This is a cost-of-living crisis that has been brought about by this Albanese Labor government.