Jess Walsh (Victoria, Australian Labor Party) Share this | Hansard source

I'll start by thanking Senator McGrath for this particular MPI and for drawing attention to how the government is managing the inflation challenge. The senator proposed that we discuss the government's plans to help households in the current environment, and I am happy to have that discussion. I'm also happy to point out that the coalition have done absolutely nothing to support households from the opposition benches—absolutely nothing. Indeed they've voted against, or opposed, every single measure that has been designed to give households some relief in this environment. They have voted against or opposed every single measure! So let's look at some facts about inflation.

First of all, we know that inflation does hurt households and that it hurts the lowest paid the most. That's why we are targeting our $23 billion in relief to those who need it most. This is electricity bill relief that is putting downward pressure on bills for five million households and one million small businesses. It's energy relief that those opposite opposed. There was the largest investment in bulk-billing in Medicare's history, helping 11 million people to see a doctor for free—a measure which those opposite opposed. Australians saved $180 million because of cheaper medicines—$180 million saved, a measure which they opposed.

As I said, we know that inflation hurts those with the least; that's why we focused on driving wages growth—after a decade of the Liberals absolutely loving low wages—starting with the lowest paid. There was a much-needed wage rise for our deserving aged-care workers after a decade of neglect by those opposite, with a $100-a-week boost to the minimum wage for our essential workers—which those opposite opposed. We are proud of looking after the most disadvantaged while you stand on the sidelines just saying no.

Second—and this is a fact about inflation that those opposite don't want to hear—inflation is moderating. It's moderating here and it's moderating around the world. The most recent IMF World Economic Outlook stated that the IMF expects inflation to return to target in around 2025 in most nations. Treasury here at home expects inflation to return to target in the next financial year. The return to target here is expected to be in line with most other nations. Inflation is moderating here because we are finding savings and because we are targeting relief to people who need it the most. ABS data shows that our cost-of-living measures, which you opposed, shaved half a percentage point off inflation in the September quarter. That is actual data.

Third, we know that the experts agree that the government's fiscal strategy is working hand in hand with the RBA's monetary tightening. We are exercising restraint in returning revenue to the budget bottom line. We are getting the budget back in shape by banking new revenue, which is going towards paying down the previous government's debt. We've delivered the first surplus in 15 years and the biggest ever turnaround in the budget—from a $78 billion deficit to a $22 billion surplus. The IMF has said that our budget repair strategy is helping, not hampering, the fight against inflation. We note that Fitch agrees as well. Our AAA credit rating shows that our budget strategy is right for the times. The RBA governor herself, who you have quoted, has described our fiscal strategy as very helpful and very positive.

Finally, let's talk about the facts of the opposition's position on inflation. Your position is completely untenable. You opposed measures that we know are helping Australians. You opposed measures that we know are putting downward pressure on bills. You opposed measures that we know are actually shaving inflation. When asked what you'd do differently, you said that you would cut social housing. That's what you told us you would do. When asked what you'd do differently, you said that you would cut the National Reconstruction Fund, just when we're getting our economy moving again. So you keep opposing and you keep saying no and we'll get on with the job of rolling out the support that Australian families need. (Time expired)