Wayne Swan (Lilley, Australian Labor Party, Treasurer) Share this | Hansard source

I thank the member for his question. This government is committed to delivering strong surpluses, getting government spending back under control and targeting investment to increase the productive capacity of our economy, because that is what is required in the fight against inflation—a fight the opposition do not recognise. They argue that inflation in this economy commenced on Monday morning, 26 November last year. The truth is that it did not. It has been on the march for a couple of years. That is what the Reserve Bank says, that is what the Treasury says, and they certainly cannot live with it. Part of the reason is that spending got out of control. Spending increases under this government have been at the highest level in any four-year period in the last 15 years. That is the legacy of the member for Higgins, who complained to Mr Howard’s biographers that he could not control the previous Prime Minister. The result of that has been eight interest rate rises in the last three years. That is their legacy. We are determined to put in place our five-point plan to tackle inflation and to look after Australian families who need some relief.

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