Sussan Ley (Farrer, Liberal Party, Leader of the Opposition) Share this | Link to this | Hansard source

My question is to the Prime Minister. This afternoon on Sky News the out-of-touch Treasurer described today's inflation numbers as 'absolutely outstanding'. But, according to the ABS, under three years of Labor the cost of eggs has increased by 34 per cent, the cost of bread by 18 per cent and the cost of cereal by 17 per cent. Prime Minister, why does the Treasurer say things he knows are untrue?

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

Before I call the Treasurer, I've been very clear about this. There are not going to be descriptors in questions, the same as last term. That's the same for people asking and answering questions as well. So I'm going to ask the Leader of the Opposition to withdraw that part of the question, the descriptor.

Sussan Ley (Farrer, Liberal Party, Leader of the Opposition) Share this | Link to this | Hansard source

Speaker, I withdraw the descriptor from the question.

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

Let me get this straight. On Monday they asked us about the unemployment rate, when this government has presided over the lowest average unemployment in the last 50 years of any government. Then they asked us about Medicare, when we've just been re-elected on a platform of strengthening Medicare. And now, on a day when we get absolutely outstanding inflation numbers, they want to ask us about inflation.

I'm asked in particular about food inflation. I want to make it very clear for the member for Farrer that when we came to office food inflation was running at 5.9 per cent, and now it's about half that, at 3.0 per cent. So, if the member for Farrer is unhappy about food inflation, she must be absolutely livid at the underperformance of her own government, a government that she was a cabinet minister in. When we came to office, inflation had a six in front of it, and it was absolutely galloping. And because of the work we've done together, because of what Australians have been able to achieve together, we have got these absolutely outstanding numbers today. They're outstanding because they are a powerful demonstration of the progress Australians have made together in the fight against inflation.

I'm asked about particular elements of the new numbers today. Rent inflation has gone down. Housing construction cost inflation has gone down. Food and non-alcoholic beverages inflation has gone down. Fruit and vegetables inflation has gone down. Insurance and financial services inflation has gone down. That's why we've seen today both underlying and headline inflation in the Reserve Bank's target band and headline inflation at the very bottom of the band. Monthly inflation is below the Reserve Bank's target band; it actually has a one in front of it in these numbers today. So I hope those opposite keep asking me about the inflation data today, because the inflation data today was very, very encouraging.

We know from that question that nothing makes them grumpier than when Australians make progress in their economy together, whether it's the fact that inflation is much lower than we inherited, that real wages are growing again or that unemployment is low. We got their debt down, we delivered two surpluses and interest rates have started to come down as well. We know there's more work to do, because people are still under pressure. That's why this month we're rolling out more help with the cost of living, much of which was opposed by those opposite.