Fiona Phillips (Gilmore, Australian Labor Party) Share this | Link to this | Hansard source

My question is to the Treasurer. How is the Albanese Labor government addressing cost-of-living pressures and inflation, and what approaches has the government rejected?

Jim Chalmers (Rankin, Australian Labor Party, Treasurer) Share this | Link to this | Hansard source

I thank the member for Gilmore for asking the question that those opposite dare not ask. They never ask us about cost-of-living pressures on the economy. We know Australians are doing it tough, and that's why our highest priority is rolling out billions of dollars in cost-of-living relief in ways that take the edge off inflation rather than add to it. We are making welcome progress in the fight against inflation, but we know that people are still under pressure. Higher interest rates, which began rising before the election, are putting people under pressure and slowing our economy substantially. Wednesday's national accounts are likely to show the combined impact of higher interest rates as well as all of this global uncertainty on our own economy. Inflation is moderating, but not as fast as any of us would like. But it's moving in the right direction, and we saw that in the numbers for July. The numbers for July showed that monthly CPI has come down to 4.9 per cent, from 5.4 per cent, and the quarterly numbers have also shown inflation moderating. What those opposite don't want people to know is that the highest quarterly CPI was 2.1 per cent in March last year, before the last election, and now it's less than half of that, at 0.8 per cent. Our economic plan is all about addressing inflationary pressures, and it's working. We saw that in the inflation numbers for July.

There were two numbers which were particularly interesting in the monthly inflation data. One number was six; the other number was 19.2. Six per cent is the inflation we saw in energy prices in July; 19.2 per cent is the inflation we would've seen in energy prices if those opposite had had their way and we weren't helping people doing it tough. It was right there in black and white from the ABS. They said:

If we exclude the impact of rebates from the July 2023 figures, electricity prices would have recorded a monthly increase of 19.2 per cent.

The difference between six and 19.2 per cent is our energy plan, which is taking some of the sting out of higher energy prices when people need it. This is the plan those opposite voted against. When they voted no to helping people with high energy prices, they voted yes for even higher electricity prices. This is the price those opposite would have Australians pay, always saying no to everything, even voting no to helping with people's electricity bills. No wonder they don't ask us about inflation anymore. No wonder the shadow Treasurer doesn't get a question. He helped create the problem with a decade of chaos, he kept power price rises secret until after the election, and then voted against helping people doing it tough. This is the Taylor trifecta. This is the mess that we were left with. We take responsibility for cleaning it up. We are working for Australia, and our inflation plan is working. (Time expired)

Ask me a question, genius!

Kevin Hogan (Page, National Party, Shadow Minister for Trade and Tourism) Share this | Link to this | Hansard source

Thank you!

Jim Chalmers (Rankin, Australian Labor Party, Treasurer) Share this | Link to this | Hansard source

You're welcome.

Honourable members interjecting—

Milton Dick (Speaker) Share this | Link to this | Hansard source

Order! Members on my right! The Treasurer will cease interjecting. The member for Page will wait until he is called. Members on my left will cease interjecting. The member for Page has the call.