Sam Rae (Hawke, Australian Labor Party) Share this | Hansard source

The opposition, led by the member for Forde, is attempting to rewrite history here. The economic challenges we face today didn't just emerge two years ago. They began a decade ago, when the former Liberal government took office. This marked the onset of a period characterised by economic stagnation, with sluggish wage growth, declining productivity and the accumulation of over $1 trillion of Liberal debt. Under their watch, Australia has faced a decade of missed opportunities, where promises of economic prosperity fell short, leaving ordinary families to bear the brunt of poor policy decisions. These failures set the stage for the economic challenges we are facing today. When the Albanese government was elected, inflation was already rising rapidly as the former Liberal government was caught asleep at the economic wheel.

However, through our careful budget measures and a clear focus on easing inflationary pressures, we have seen a significant improvement. Inflation has dropped by more than half from its peak and is now well below the levels we inherited from the previous Liberal government. This isn't just a statistic. It is a real weight off the backs of Australian families. Our budget strategy has played a crucial role in achieving this progress, delivering the first back-to-back budget surpluses in nearly two decades. These surpluses reflect the careful financial management of the Albanese Labor government and are actively contributing to easing inflationary pressures.

Our approach is about more than just controlling inflation. It's about doing so in a way that does not harm the very people that we seek to serve. Our economic plan has been carefully crafted to fight inflation without damaging the Australian economy. We've prioritised cost-of-living relief, understanding that Australians are under immense pressure. From energy rebates to rent assistance, from affordable child care to tax cuts for every single Australian taxpayer, each of these measures has been crafted to deliver real and sustainable relief for Australian families and for our economy.

In fact, cost-of-living relief measures alone have reduced inflation by half a percentage point, easing the burden on households all across our country. Take, for example, the impact of our energy rebates. Without these rebates, electricity prices would have risen by 14.6 per cent over the past year. Instead, they increased by six per cent, thanks to our targeted support. In child care, an area where costs have historically been a heavy burden on families, we've seen prices fall by 5.7 per cent, where they would otherwise have increased by nearly 15 per cent.

The Albanese Labor government is not just talking about economic relief. We are actually delivering it, and our efforts extend beyond the immediate relief. We're laying the groundwork for a stronger, more resilient economy that will benefit all Australians for the years to come.

A tax reform agenda is a prime example of this long-term vision. We've introduced tax cuts that provide meaningful relief to Middle Australia, ensuring that the average worker will pay less tax each year under our plan, compared to the old Morrison government plan. This is not just about putting more money back into the pockets of hardworking Australians—although it is. It's also about building a fairer tax system where everyone pays their fair share and where the benefits are felt by those who need them most. Over 2.9 million Australians who were excluded under the Morrison government's plan are now getting a tax cut. In my electorate of Hawke, over 73,000 taxpayers are getting a tax cut under Labor's plan, with a household of two full-time workers saving an average of $2,856 each year. That means more cash in their bank accounts every fortnight. That's not even mentioning the $3 billion in student debt relief our government has delivered, benefiting over 17,000 people in Hawke, or the $4 billion in cheaper medicines, saving Hawke residents nearly $1.8 million.

The Albanese Labor government is committed to carefully and responsibly managing the economic challenges facing our country. We're tackling inflation, delivering cost-of-living relief and setting up an economy that is fairer and more prosperous for all Australians.

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