Natalie Barr:
Over the past few months, we’ve been told the cost‑of‑living crisis will improve in 2025. We’ve been told by the Prime Minister he is confident the worst is behind us. But new polling out this morning has revealed Australians aren’t so confident. Fifty per cent of voters say they expect inflation to get worse, 46 per cent expect their real wages to fall. And on top of all that, Peter Dutton has now overtaken Anthony Albanese as preferred Prime Minister. Joining us now is Treasurer Jim Chalmers. Good morning to you.
Chalmers:
Good morning, Nat.
Barr:
Are you concerned people aren’t confident in your leadership?
Chalmers:
First of all, Nat, there are a couple of opinion polls out this week. They said very different things about some of these sorts of questions, but frankly, we don’t need opinion polls to tell us that people are feeling very real and genuine pressure in their household budgets. That’s why the tax cuts are so important, energy bill relief, getting wages moving again, all of the ways that we’re helping with the cost of living.
We know that people are still under that pressure, even though we’re making really quite remarkable progress together as Australians when it comes to the economy overall.
Inflation is down, wages are up, unemployment is low. We’re making that progress but it doesn’t always translate into how people are feeling and faring in the economy. We see that reflected from time to time in these opinion polls.
The other important point, Nat, is that the very same Australians who are worried about 2025 would be worse off if there was a change of government. If Peter Dutton came after Medicare again and pushed wages down again and pushed electricity prices up with this nuclear insanity, the same Australians would be worse off.
I say to your viewers, Nat, there are good reasons to be confident about 2025. The worst of the inflation challenge is behind us. We have made good progress together, but we know that people are still under pressure and that’s why the cost‑of‑living relief that we are providing as a Labor government is so important.
Barr:
Yeah. And how people are feeling and what they’re saying is important, isn’t it, as you say? Because we saw in the US, the Democrats kept saying, ‘Things are good, look at the stock market, it’s booming.’ And it was, but people didn’t feel it. And then they voted the Democrats out. How are you going to prevent that same thing happening here?
Chalmers:
First of all, I hope as I demonstrate, Nat, when you and I speak from time to time pretty regularly over the last year or 2, we do acknowledge that these cost‑of‑living pressures are real. That’s why we’re responding to them, not just acknowledging them.
We know that people are under pressure and that’s why the choice at the election is really important, because we have been providing cost‑of‑living relief. This Saturday is the anniversary of the decision we took to give every Australian taxpayer a tax cut. The energy bill relief. All of these ways are really important, and they were opposed by our political opponents.
To those Australians who are under pressure, we acknowledge that and we’re responding to that. They need to know they’d be worse off under Peter Dutton if there was a change of government. We know that he’s a risk to household budgets because we know his record.
If there’s a political element to this – I’m focused on the economics of it – but if there’s a political element to it, there’s a choice at the very core of this election year, and that is whether people want to see this cost‑of‑living help from Labor or whether they want to be worse off under Peter Dutton. That choice is pretty clear.
Overall, we’re making good progress together. In the last 2 and a half years inflation is substantially down from what we inherited when we came to office. Unemployment is very low and wages are growing again. And all 3 of those things are good developments.
Barr:
People aren’t picking up what you’re putting down. Why do they still want Dutton? All the polls are saying that.
Chalmers:
Again, I think some of these polls, they say different things. They’re not unanimous about some of these issues around cost of living but overall, we do acknowledge –
Barr:
But two‑party‑preferred, they are. All the big polls say they don’t like you.
Chalmers:
Overall, I acknowledge that when people are under pressure, they express that in opinion polls and they express that politically. We take no outcome for granted in this election.
I’ve always thought it would be tight. They’re usually tight elections in Australia. This will be another tight election and it will be another clear choice. Cost‑of‑living help and building Australia’s future under us or making people worse off and taking Australia backwards under Peter Dutton. That choice will crystallise the closer we get to the election.
Barr:
You’re right. They often do crystallise. They often get closer towards the election. We will speak again many times. Thank you, Treasurer, for your time this morning.
Chalmers:
Appreciate it, Nat. All the best.