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

I have received a letter from the honourable member for Goldstein proposing that a definite matter of public importance be submitted to the House for discussion, namely:

The Government's decision to punish Australian families and small business by failing to rein in reckless spending resulting in higher interest rates.

I call upon those honourable members who approve of the proposed discussion to rise in their places.

More than the number of members required by the standing orders having risen in their places—

Tim Wilson (Goldstein, Liberal Party, Shadow Minister for Small Business) Share this | Link to this | Hansard source

If you want to see the contempt that the Albanese government has for families, households and small businesses, you just need to see the arrogance of the Prime Minister in question time. Every time we get up to ask a simple question about the survival of small businesses, he shuts down question time, and he has good reason to do so, because the simple reality is we had more small business insolvencies in the Commonwealth last year than we have had in Australian history.

I hear the heckling from the Minister for Small Business on the other side of this chamber. I would be ashamed and embarrassed if I saw a record number of small businesses crushed under my administration, but the minister sits there peacocking, proudly saying that she is proud of her record, when she should be ashamed. Forty-thousand small businesses have been crushed into insolvency under the Albanese government. This is not something to be proud of. It is something to be embarrassed about and ashamed of, because sitting behind every one of those small businesses are the livelihoods, the incomes, the dignity and the pride of Australians backing themselves to get ahead. What they are living with right now is increased costs not just from the explicit increase in interest rates and inflation but from a cost-of-business crisis. Millions of Australian small businesses are struggling to keep their heads above the inflation water level. They are experiencing costs pushed down onto their small businesses, harming their profitability.

This morning I met with people from the restaurant and food sector. Their profit margins have simply collapsed. The capacity for a small business to be opened to serve Australians has declined so much that one in nine Australian small businesses in the restaurant and hospitality sector has closed. It is an extraordinary record of this government and something that it should be ashamed of.

But it's not just the inflation impact. With state governments indexing so many of their taxes to inflation, we're seeing a direct hit from increases in inflation, a second hit through interest rates, a third hit through the cost of taxation inflation and, in fact, a fourth hit directly as a consequence of the Labor government's industrial relations agenda, which is pushing on inflationary costs further for small business and making it harder not just for small businesses to get ahead but for households to stay ahead. So many are being pushed to the wall.

What is going on with that? It isn't just a small business, as critical as that is. Sitting behind those millions of small businesses are employees—young Australians who are getting their first job, people who depend on small business for an income. When a small business collapses, the wage disappears. It seems like a simple truth, but, when you have a small business collapse, the jobs go with it. There are no taxes paid, there is no income and there is no super on a job that doesn't exist, and this is the lived reality under the Albanese government.

We know that, as of 2 February of this year, 41,749 businesses have gone bust under the Albanese government. In construction, it's 10,757. It's 6,487 in accommodation and food services; 2,046 in manufacturing; 1,168 in health care or social assistance; 541 in agriculture, forestry and fisheries; and 406 in education and training. While the minister on the other side of the table likes to boast about her record, she cannot hide from some simple facts. The 33,426 fewer employing small businesses in Australia—

Anne Aly (Cowan, Australian Labor Party, Minister for International Development) Share this | Link to this | Hansard source

Maybe they were dodgy.

Tim Wilson (Goldstein, Liberal Party, Shadow Minister for Small Business) Share this | Link to this | Hansard source

I will take the interjection from the Minister for Small Business, because what she said was, 'Maybe they were dodgy.' Just like the Treasurer, her response to the challenges Australian households and small businesses face is to punch down on Australians. This is not the type of country they want to be, and it is certainly not what they want to see from this parliament.

Honourable members interjecting—

Sharon Claydon (Newcastle, Australian Labor Party) Share this | Link to this | Hansard source

Order! I'd appreciate it if everybody stopped yelling, actually. I can barely hear the member for Goldstein speaking.

Tim Wilson (Goldstein, Liberal Party, Shadow Minister for Small Business) Share this | Link to this | Hansard source

This exposes the underbelly and the motivation of this government. There is a pure contempt for those people who make the effort, strive and back themselves to the point where they create opportunities not just for themselves but for others. The response from the minister—we just heard it in the chamber, and then she defended her comment—was, 'Maybe they were dodgy.' The simple, broad-brush allegations and criticism of small business—the demonisation of small businesses—because of the attitude of this government are why we have seen record insolvencies. Now is the time when those small businesses and those households need Australians to back them. They need this parliament to back them, but the contempt that we have from the minister shows something entirely different. That is why Australians are feeling the very real consequences of inflation and declining standards of living.

Today we heard direct warnings that inflation was going to continue to eat into the wealth of Australian households. People are going to have lower standards of living, less capacity to support their families, less capacity to go and employ others—all under this government. We have had a record of economic vandalism par excellence if you call that a standard under the Albanese government. We've had Labor's economic vandalism, where households are now paying 16 per cent more for food, 18 per cent more for health, 22 per cent more for rents, 39 per cent more for insurance and nearly 40 per cent more for electricity, and every one of those costs—every single one of those price rises—goes to a small business, eats into their profit margins and increases their capacity to find their way to the ATO and ASIC to the point of insolvency.

Why would a government be so proud of shutting down the pathways for Australians? We are in the business of backing small businesses to open their doors, to welcome their customers and to grow the opportunity in the economic base of our country. Any government, state or federal—the Albanese government in particular—that looks at small business as simply an ATM to cover the costs that they face because they are unable to manage their reckless spending will continue to drive small business to the wall. We know that is happening, because the analysis by the Australian Industry Group clearly shows eight in 10 jobs created in this country right now are coming from direct and indirect public expenditure. We have a crisis of collapse of private investment and private jobs, despite what the Prime Minister and the Treasurer say. The problem of inflation that we have in this country comes directly from fiscal recklessness. The Chalmers interest rate rise cycle has, sadly, only just begun. We have had quotes from the retail sector. We have had quotes from so many different people in the small business sector that they know how bad this is going to be and how Australian small businesses and households will pay.

We need them to rein in their spending. People on the other side of the chamber often ask, 'Where are you going to see cuts?' I can tell you where we would cut expenditure: we would cut the cartel kickbacks that go to organised crime and to bikie gangs through the CFMEU and find their way into union coffers and into the coffers of the Australian Labor Party. I make no apology about that, because they are pushing up the cost of a new home for young Australians, they're pushing up construction costs and they're contributing to the problems of inflation. Now is the time that people and Australians are looking to this parliament to stand up and make decisions in the national interest. Now is the time that they're looking at how this parliament is going to back them to prosper and to grow, and instead they are seeing and hearing the sneers of the Minister for Small Business, saying things like, 'If a small business goes out of business, it must be because it is dodgy.' This is a disgrace, and it is nothing short of contempt.

The minister can throw whatever barbs she wants, but I can tell you the small businesses of this country know exactly who is on their side. They know that the Liberal Party has always stood up proudly, backed them in and made sure the laws of this country say: 'Chance your hand. Go for your life. We back you because you back yourselves.' What they don't deserve is a prime minister and a minister for small business who punch down on them and try to deny them their economic opportunity and their pathway for growth. We back small business. They want to hate on them.

Anne Aly (Cowan, Australian Labor Party, Minister for International Development) Share this | Link to this | Hansard source

I actually really do want to thank the shadow minister and member for Goldstein for bringing this—

Opposition Members:

Opposition members interjecting—

Sharon Claydon (Newcastle, Australian Labor Party) Share this | Link to this | Hansard source

Sorry, Minister. I ask members to please leave the chamber quietly.

No, I'm giving the call to the—is this a point of order?

Well, then you do not have the call. The minister has the call.

Tony Pasin (Barker, Liberal Party) Share this | Link to this | Hansard source

I ask the member opposite to withdraw the reflection on members. It was unparliamentary.

Sharon Claydon (Newcastle, Australian Labor Party) Share this | Link to this | Hansard source

Who? Do it correctly, please. I asked you that at the beginning.

Tony Pasin (Barker, Liberal Party) Share this | Link to this | Hansard source

I ask that the member for Wills withdraw his unparliamentary remark.

Sharon Claydon (Newcastle, Australian Labor Party) Share this | Link to this | Hansard source

Did the member for Wills say anything unparliamentary?

Peter Khalil (Wills, Australian Labor Party, Assistant Minister for Defence) Share this | Link to this | Hansard source

I made no remark.

Sharon Claydon (Newcastle, Australian Labor Party) Share this | Link to this | Hansard source

I'm sorry. I asked because I couldn't hear what was going on in this chamber, despite requesting several times for interjections to stop. I don't know. He's saying there isn't anything to withdraw. I apologise for that interruption, and we will go back to the Minister for Small Business.

Anne Aly (Cowan, Australian Labor Party, Minister for International Development) Share this | Link to this | Hansard source

As I was saying, I actually welcome this MPI. I really do want to thank the member for Goldstein, the shadow minister, for bringing this because it gives us an opportunity here to speak about a really important issue. So far I've been the Minister for Small Business for nine months, and I've spoken many times in this place about small business. I know that the member for Goldstein started his contribution by talking about the lack of opportunity to ask questions about small business. I can tell you that in the nine months that I have been the Minister for Small Business in this place, I have not received a single question from the Liberal opposition about small business. They don't care about small business. They want to pretend that they care. They want to stand here and confect outrage, and they want to bang on the table and talk about small business. But do they actually care about small business? Look at their actions. Look at how many times they've sought to ask questions.

Sharon Claydon (Newcastle, Australian Labor Party) Share this | Link to this | Hansard source

Member for Goldstein! Seriously, are we just going to have this slanging match all through the MPI? I hope not, because there'll be people leaving the chamber shortly.

Anne Aly (Cowan, Australian Labor Party, Minister for International Development) Share this | Link to this | Hansard source

I actually welcome those opposite finally focusing on something important to Australia and to Australian communities and to the Australian economy, and that is small businesses. I can't help but wonder though, given the shadow minister's recent performance, whether it was a job interview or perhaps all of this is just another distraction from the chaos, discord and infighting that we're seeing over the other side. I do welcome them actually asking a question about small business and focusing on something other than themselves for once. So I will take this opportunity to talk about small business.

First of all, though, I want to thank the many small businesses I have visited, whether in the member for Wills's electorate, the member for Moore's electorate or the member for Aston's electorate, who have taken the time to sit down with me and to go through some of the issues that they're experiencing. I can't tell you how valuable their feedback and their input is into the work that we are doing here as a government—real work that is built on Australia's very first National Small Business Strategy, a strategy that those opposite didn't have in the whole time that they were in government—and into things that we take to the small business ministers meetings, meetings that those opposite didn't convene once when they were in government. Since we've been in government, we've had seven small business ministers meetings, and I'm really pleased to say that I've convened two of them. The previous minister had convened five before that. How do you work with small businesses and deliver for small businesses if you don't talk to the states and territories, if you don't bring together small business ministers meetings, if you don't go out and talk to small businesses and listen to them?

Before I continue, I want to address a piece of misinformation. I hope that it is not purposeful, though I doubt that it isn't purposeful. I think that perhaps the shadow minister was being very purposeful in his selective use of the statistics and the figures around the number of insolvencies. I want to clarify the number of insolvencies and address specifically the point that the shadow minister made, because he is correct that the number of corporate insolvencies has increased compared to the previous 12 months; however—and here's the important bit—the level of corporate insolvencies as a proportion of total companies was 0.41 per cent. That is lower than the long-term historical average for insolvencies. So it is quite disingenuous of the shadow minister to stand here and say it's the highest number of insolvencies ever and to yell and scream like a banshee, banging on the table about the number of insolvencies when he should know how to read statistics. And if he doesn't know how to read statistics, there's a 'Statistics 101' course that he can take.

Sharon Claydon (Newcastle, Australian Labor Party) Share this | Link to this | Hansard source

Minister, I've asked you to direct your comments through me to the chair.

Anne Aly (Cowan, Australian Labor Party, Minister for International Development) Share this | Link to this | Hansard source

My apologies, Deputy Speaker Claydon.

I want to talk a little bit about our National Small Business Strategy. The fact is you cannot deliver and you cannot say that you deliver for small businesses if you don't have a strategy. Our small business strategy, which I again remind the House is the very first national small business strategy, looks at three pillars. It looks at how we help businesses grow, it looks at cutting red tape and it looks at creating an even playing field for small businesses. These are the three things that small businesses always raise with me when I speak to them. They tell me: 'We just want an even playing field. We just want a fair go.' They tell me, 'There's too much red tape,' and often that red tape is over different levels of government, which is why it's important to speak to states and territories. And they tell me that they want to be able to grow and they want to be able to thrive. And if you have those three pillars as the basis, the principles, upon which you base the work that you do in small business, then you are able to deliver for them.

Under those three pillars, there are a number of things that we have delivered. I want to talk a little bit about the instant asset write-off, which we extended. It's a $20,000 instant asset write-off. It allows small businesses to purchase the equipment that they need to keep going.

I want to talk about the many supports we have for businesses around digital solutions. A lot of small businesses are a bit reticent to uptake AI, to utilise digital solutions. I want to tell small businesses that there is help out there, to help you utilise digital solutions, to grow your business and to keep your business going.

I want to talk about the targets that we've set for government procurement. We've increased the target of government procurement for businesses under 20 billion to 40 per cent, and that means that any government contracts under 20 billion, 40 per cent of them must be small or medium enterprises. That really gives small businesses a fair go and an even playing field when it comes to getting government contracts.

One of the greatest issues that a lot of small businesses talk to me about is red tape. We've got states and territories committed to reducing red tape, getting rid of the clutter, so that small businesses can continue to get on with their core business and run the businesses they need to run. I've heard some pretty interesting stories about red tape, but we're also going to be looking into white tape—that's something that ASBFEO, the Australian Small Business and Family Enterprise Ombudsman recommended. We are looking at white tape, which is that regulatory burden between corporate business and small business.

I'll go back to the fact that those opposite like to say they care about small business. They like to talk about small business, but the proof is really in the pudding. The proof is very much evident in the fact that in the nine months I've been the small-business minister, not once have they ever asked a question about small business. Not a single time. Not a single question.

Peter Khalil (Wills, Australian Labor Party, Assistant Minister for Defence) Share this | Link to this | Hansard source

Not a question! What have you been doing?

Sharon Claydon (Newcastle, Australian Labor Party) Share this | Link to this | Hansard source

Assistant Minister Khalil, sitting at the table, not helpful. Shadow minister responding, not helpful. Please desist.

Anne Aly (Cowan, Australian Labor Party, Minister for International Development) Share this | Link to this | Hansard source

I will not sit here and watch the shadow minister, with his confected outrage, when he has never ever brought up the subject of— (Time expired)

Aaron Violi (Casey, Liberal Party) Share this | Link to this | Hansard source

'The proof is in the pudding,' as the Minister for Small Business said just then. Let me give the minister some proof: nearly 15,000 small businesses were insolvent across the country last year. The proof is in the pudding. That's up 33 per cent on the previous 12 months. That's a big statistic; it's a big number. But behind those 15,000 proof-is-in-the-pudding failures of this minister is a family. It is a husband and a wife who have risked it all to chase their dream. They've put it all on the line to provide a better life for their family, for their children. They have taken risks, they have risked it all, and 15,000 small businesses have become insolvent. They've had to go broke and potentially lose their house.

And what is the comfort that the Minister for Small Business just gave to those business owners that lost it all in the last 12 months? 'Maybe they were dodgy'! So, if you were one of those small businesses in Casey that took a risk and gave it all and unfortunately it didn't succeed in the last 12 months, the Minister for Small Business in the Albanese Labor government wants you to know that maybe you were dodgy. Maybe it was your fault. There's no-one to blame in the Albanese Labor government. It couldn't have possibly been this minister. It had to be you. What does that really say about this government? This is a minister that is supposed to be responsible for helping the Australian people, for helping small businesses that risk it all to get ahead. And her answer to you is that you're dodgy. It's your fault. Why is the Minister for Small Business even the minister if she does not care about Australian small businesses?

Small businesses give so much back to our community. I'm very lucky to have so many sporting clubs in the electorate of Casey. On the side of all those sporting club fields are sponsorships, and they're not sponsors from big business. They are sponsored by small businesses right across the country that are the heart of the community. They give back. So, if small business is not strong, our communities will not be strong. And, if our communities cannot be strong, then our country will not be strong. But this government does not care about that. Let's be clear. There is a reason that this government does not care about small businesses in Australia.

Exactly right! They cannot unionise a small business. The secret given by the minister who has such disrespect for small businesses is that there is a compact between big business in Australia and the union movement, and the union movement then supports the ALP. The small businesses of Australia cannot be unionised, so the ALP and this government do not want to support them. They want to run them out of business so they can centralise it with unions. We know this and we see this, and, as the minister herself said, the proof is in the pudding. The proof in the pudding is 15,000 small businesses becoming insolvent in the last year alone. Australians have suffered.

The real question and the real fear for the Australian people is that it was bad in 2025. We saw an interest rate rise this week. It's going to get a lot worse for small businesses across the country. The reason it's going to get worse is that input costs are up, led by energy. Inflation is up, and interest rates are up. Rule No. 1 with any addiction and any problem is to recognise that you have an addiction and that you have a problem. And we have seen this week that this prime minister and this treasurer refuse to acknowledge the spending addiction that they have when it comes to public spending, which is going to make the situation worse for every Australian and every small business. It is going to send costs up. Their borrowing costs are going to go up. The cost of their raw materials is going to go up. That means they have two choices: put their prices up and make it more expensive for consumers, or they are going to have to go out of business. It is not their fault. It is the failure of this government. But just remember, small business owners, that if you go out of business this year it's not the government's fault. Maybe you were dodgy. What a disgrace by this minister that doesn't— (Time expired)

Kara Cook (Bonner, Australian Labor Party) Share this | Link to this | Hansard source

We know that Australians are doing it tough, including small business, and I want to thank the Minister for Small Business for setting out so clearly all that we have done to deliver for small business in this country. We know that families are juggling bills, students are worrying about debts, renters and first homebuyers are feeling locked out and people are making impossible choices about their health. When Australians are under pressure, this parliament and this minister have a choice: we can step up and deliver relief, or we can stand back, point fingers, call people names and play politics. This Labor government and our small business minister have chosen to step up and deliver. We have heard today all she has delivered in such a short amount of time for small businesses in this country. Yet, day after day, the opposition stands up in this chamber and calls and calls cost-of-living relief 'reckless', and today is no different with the wording of today's MPI—reckless. Well, if helping small businesses is reckless, if helping Australians see a doctor when they're sick is reckless, sign me up. If easing pressure on students, families and first home buyers is reckless, sign me up. If backing Australians through a global cost-of-living crisis is reckless, then this side of the House is proudly guilty.

Opposition Members:

Opposition members interjecting—

Sharon Claydon (Newcastle, Australian Labor Party) Share this | Link to this | Hansard source

I would like to hear the member for Bonner.

Kara Cook (Bonner, Australian Labor Party) Share this | Link to this | Hansard source

What would be truly reckless is doing nothing, which is exactly what we see from the other side—nothing, no policy, no ideas. They don't even know who their leader is anymore!

Let's talk about what Labor is delivering, and let's start with health. Labor has delivered 120 urgent care clinics so Australians can get free walk-in care when they need it, closing the gap without paying any out-of-pocket fees. Locally, in my community of Bonner, we have seen not one but two Medicare urgent care clinics in the last two months. The Carina-Carindale and the Capalaba urgent care clinics are now open. We've delivered 51 Medicare mental health clinics and 41 more are on the way, with 10 to come in Queensland alone, because mental health care should not depend on your postcode or your bank balance. We've strengthened Medicare with $25 PBS medicines—real relief every single time someone walks into a pharmacy, saving Australians more than $200 million a year. In my electorate of Bonner, that's $14.2 million saved since 2023. These aren't abstract policies; they're fewer dollars at the counter, they're early intervention and they're peace of mind for all Australians.

Under Labor, Australians with student debt have received a 20 per cent reduction, wiping an average of $5,500 off what they owe—21,000 people with student debt in Bonner are now better off. That's money back in the pockets of nurses, teachers, social workers and small-business owners. That's relief that flows straight into the economy and straight into household budgets. All of these were, shamefully, opposed by those opposite.

Let's talk about housing. Labor is helping first home buyers get a foot in the door with five per cent first home deposits—not a handout, but a hand up. In Queensland alone, more than 50,000 people have taken up this opportunity—50,000 Queenslanders who are now homeowners or on their way to becoming one, including hundreds in Bonner. Many of those, I'm sure, are also small-business owners. If empowering that many people to buy their first home is reckless then sign me up every single day of the week. That's what Labor governments do—we deliver.

Labor is delivering cost-of-living relief. We are delivering for small business. We're not reckless; we're responsive. We're not irresponsible; we're realistic. And we're not here to play games while people are doing it tough. That's what governing looks like. It's delivering real relief to people who need it most, not playing politics and calling people names.

Leon Rebello (McPherson, Liberal National Party) Share this | Link to this | Hansard source

I thank the shadow minister for small business for putting forward this MPI, because it's not only giving me an opportunity to voice the concerns of the thousands of small businesses across my electorate of McPherson on the southern Gold Coast but it has also given this chamber and the Australian people an insight into the arrogance of the Minister for Small Business and, in doing so, an insight into the arrogance of this Albanese Labor government. The member for Bonner has just given us all these reasons for why we should end this MPI and, in effect, congratulate Labor. She started talking about the things that Labor has supposedly delivered. Well, what have Labor delivered? They've delivered 13 interest rate rises, they've delivered the highest government spending outside a recession in the last 40 years, they've delivered the sharpest fall in living standards across the developed world, and they've delivered budget blowouts left, right and centre. This is the record of this government, and it's affecting small businesses in my electorate of McPherson and across the country.

If you actually look at what this minister said—and this goes back to the arrogance—her interjections, when the shadow minister for small business was raising legitimate concerns felt by small businesses across this country, went to the fact of 'if you're a small business that's going out of business, it's probably because you're dodgy'. That is absolute contempt for small businesses in this country, and it's consistent with—

Sharon Claydon (Newcastle, Australian Labor Party) Share this | Link to this | Hansard source

A point of order, Minister?

Anne Aly (Cowan, Australian Labor Party, Minister for International Development) Share this | Link to this | Hansard source

If I may, I've heard time and time again the quotes from those opposite as they're using them through their speeches. I just want to clarify that that's not what I said, and I think that those—

Sharon Claydon (Newcastle, Australian Labor Party) Share this | Link to this | Hansard source

That's not a point of order, but there's another opportunity to do that and correct the record.

Anne Aly (Cowan, Australian Labor Party, Minister for International Development) Share this | Link to this | Hansard source

I will take that opportunity, then, thank you.

Leon Rebello (McPherson, Liberal National Party) Share this | Link to this | Hansard source

This is consistent with what we're seeing from ministers in this government. We've also seen the Treasurer ditch his responsibility to admit to the Australian people that he should be taking responsibility for this most recent interest rate rise. Labor have presided over the biggest collapse in living standards in the developed world. This government's inability to rein in its spending means that, now, Australian families and Australian small businesses have to. The government know that their spending was directly impacting inflation, but they don't care. This is not a global trend, because, while other countries are seeing inflation return to pre-COVID levels, we are the outlier. And we've seen, as I've said, the 13th rate rise under this government.

The member for Casey mentioned that the first step in fixing a problem is acknowledging that there is one, and that is what we are calling for today as the opposition. This government needs to sit up and acknowledge that it is the problem. Its reckless spending over the last 3½ years has contributed to the situation that we're in. I think that we in this place should be subject to the same levels of fiscal constraint that we expect of the people we govern. If this place can't do that and if this government can't do that, then we are disrespecting the people who have put us here. We're disrespecting the small businesses and disrespecting our constituents. This government should be stronger and better than that, because Australians deserve better and the people in my electorate of McPherson deserve better.

When I go and speak to small businesses across McPherson on the southern Gold Coast, they tell me about the real effects they are feeling of the decisions that are being made in this place. They're telling me about the increases in what they're spending to lease their venues. They're talking to me about the difficulties that they've got in the industrial relations space. They're talking to me about the impacts of interest rates on their family homes. These are real and genuine concerns. For those opposite to just sit there and call things out, not take note and listen, is disrespectful.

This is all because Labor can't show budget restraint. Those opposite may not share the values that we do, but what they should do is take into account where they are sending this country and where they are sending the people in this country. They need to stand up for them—for small businesses—rein in expenditure and get this economy back under control.

David Moncrieff (Hughes, Australian Labor Party) Share this | Link to this | Hansard source

Those opposite have raised the topic of reckless spending. It's a breathtaking exercise in political amnesia from those opposite. I assume that the first example of reckless spending that they will want Australians to know about will be the $600 billion that they want to spend on nuclear power plants, which they took to the last election. I assume that they will want Australians to know about the near decade of deficits that they produced, which left Australians with higher debt, higher prices, collapsing services and absolutely no plan to deal with inflation when those opposite walked out the door. I assume that they want Australians to know about the thousands and thousands of dollars that they gave to their mates in Qantas and Harvey Norman. I assume that they will want to talk about the cost that Australians were left with from serving the trillion dollars of Liberal debt that we inherited from our predecessors.

But what about where Labor's allocating our resources? Labor is investing prudently in Australia's greatest opportunity—its people. We have delivered cost-of-living relief that is targeted, responsible and real. And it's making a tangible difference to my constituents in Hughes, with things like cheaper child care that's already putting thousands of dollars back into the pockets of families and suburbs of my electorate from Bundeena to Bardia; things like cheaper medicines, with all PBS medicines now $25 or less, saving families across Hughes hundreds of dollars a year; things like tax cuts for every taxpayer, including another tax cut coming in July this year benefiting local workers and small businesses alike. They were tax cuts that those opposite voted against.

Those opposite should have to answer this question: which part of that spending is wasteful? We on this side don't think that making child care more affordable so that parents can be part of the workforce is wasteful spending. We on this side don't think that the senior heading down to the pharmacy in Illawong being able to afford all of the medicines prescribed to him to keep him out of the hospital system is wasteful spending. But those opposite should have to answer: who do you think is the wasted investment, our children or our seniors? We on this side don't think that Australians earning more and keeping more of what they earn through our tax cuts that they voted against is reckless. It is money that's going back into the pockets of Australians right across the country.

Those opposite want Australian wages to be lower. Under this government wage growth is finally moving again after a decade of deliberate wage suppression by those opposite. They said that lower wages were a design feature of the economy under them, and that's exactly what they got. And who paid the price for it? It was Australian workers. On this side, we back Australian workers. On this side, we want Australians earning more. We are investing in Australian skills.

We're now celebrating the third birthday of free TAFE. Those opposite don't believe in free TAFE. The Liberals and the Nationals don't agree on much at the moment. There's not much they agree on. But one thing they do agree on is they hate free TAFE. They hate the idea that Australians are able to get the skills that they need for the jobs of the future without having to go into enormous debt. We are cutting student debt. We've cut student debt by 20 per cent right across the country. That's money going back into the pockets of young people across Australia who are just starting out, who are just trying to get ahead. Those opposite have talked them down every step of the way.

Those opposite have claimed that the interest rates are going up as a result of the of reckless spending. They clearly haven't bothered to read the statement by the RBA's monetary policy board, which highlighted that growth in private demand was strengthening substantially more than expected, which was partly driving inflation. We wouldn't expect those opposite to be able to read any sort of economic document based on the leadership that they showed when they were in power. But it shows the gall of them, that they then have the audacity to come here and complain about what we're doing on this side of the House.

Those opposite claim to support small business but they didn't produce a national small business strategy; we did. We're the first ones to do it. We believe in investing in Australian jobs. That's what we're doing, and those opposite have failed to do that over their near decade in office.

Tom Venning (Grey, Liberal Party) Share this | Link to this | Hansard source

As the member for Casey rightly pointed out earlier, the first steps to solving a problem is to recognise that you have one. Indeed, this government do not recognise a problem that is right in their faces. Inflation is rampant. It has increased by 3.8 per cent just recently. Again, we see another interest rate rise hurting families, hurting small business, crushing our economy. Government spending right now is the highest it has been in 40 years outside of the pandemic. It is a big-spending government. As the government gets bigger, we as a people become more dependent on said government and lose our freedoms.

Now, if you have the unfortunate nature to live in either the great state of South Australia, as I do, or Victoria—let's look at the debt that we've carried in both of these states. In South Australia, we reached a milestone last year. If you divide the debt of both the federal government and the state government by the workforce in South Australia, it is over $100,000 per worker and increasing. Your children and your grandchildren are going to be paying off that debt. That is what these big numbers mean. We have gone from 24 to 27 per cent of government spending as a percentage of GDP. Again, that is big government territory.

The Treasurer likes to present himself as a specialist, an expert in diagnosing the nation's finances with precision. He wants us to trust his credentials. But if you went to the doctor who ignored your symptoms, refused to make you a treatment plan and told you everything was fine while your fever spiked and kept rising, you'd be worried. That is exactly what we have in this Treasurer. He is running the economy with absolutely no plan to fix the patient. But we wouldn't be surprised, really. After all, he has no academic credentials. He does, however, have a PhD in political science, a PhD in spin.

Amongst the many complaints my office receives daily about inflation and rising costs, I was recently contacted by John McGahan, a retail worker from Port Augusta. John acknowledges that he was lucky to grow up in a time when things were affordable, but he can see things are now totally out of control. John rang my office to let me know about his deep concern he has for his niece and nephew, who he fears will never be able to afford their own home thanks to the spiralling cost of living under this government. The last figures from the ABS confirm what every Australian knows, what Graham from Port Augusta knows, and that is that under Labor the cost of living is totally out of control. This is just not theory or economic modelling. This is the weekly shop. This is the power bill. This is the rent and the mortgage. It is happening. It is real.

Inflation rose 3.8 per cent in December, accelerating over Christmas at the worst possible time for families. Let's take another look at the run sheet, at the facts and the figures. Insurance is up 38 per cent. Energy prices are up 39 per cent. Rent has climbed 22 per cent. Health costs are up 18 per cent. Education is up 17 per cent. Food is up 16 per cent. These are the things people need to survive, but the pain does not stop there. The average mortgage holder is paying around $21,000 a year more in interest than they were under the coalition—$21,000! And the rates have risen yet again. That is money stripped away from the family budget. Why is this happening? Because inflation is being driven by government spending. Labor's spending is the problem, and it's clear as day. Spending is an addiction. Spending is now at its highest levels outside of a recession in 40 years. Former head of the RBA Philip Lowe made it clear that inflation lasted longer in Australia because of Labor's spending addiction. We all know that when Labor spends, Australians pay.

The Treasurer's thrown out the rule book. He has given himself a credit card with no limit—borrow, borrow, spend, spend. In the last three years Labor has added $100 billion to national debt. The debt will reach $1 trillion in the coming months and $1.2 trillion by the next election. This is out of control. Like everyone else, the Treasurer must spend within his means.

Mary Doyle (Aston, Australian Labor Party) Share this | Link to this | Hansard source

Let me begin by saying that the only thing reckless in this debate is the sheer nerve, the utter gall, of members of the Liberal Party standing up to lecture anyone on the economic responsibility of the cost of living, particularly when their record left Australian families and small businesses worse off. In the 47th parliament, the Liberal Party along with their then partners, now ex-partners, the National Party made it their mission to block every single cost-of-living measure introduced by this government, measures that would have supported households and the 2.6 million small businesses that employ nearly 40 per cent of the workforce. That was not responsible or principled; that was reckless. Had our cost-of-living-relief measures not passed, that is what would have hurt Australian families and the small businesses that rely on their spending. After nine long years of cuts, chaos and neglect, those opposite left behind a system that was fundamentally broken, where inflation was rising, wages were going backwards, productivity was stagnant and essential services—which small businesses depend upon—were hollowed out. That is their legacy.

However, this second-term Albanese Labor government has chosen a very different path—one grounded in responsibility, fairness and targeted relief for working people and the small businesses that form the backbone of our economy. The measures we have passed through this place are not reckless; they are deliberate. They have been thought through and they are changing lives in households, shopfronts and workplaces right across Australia.

Yesterday, the independent Reserve Bank monetary policy board increased the cash rate by 25 basis points. We understand this will come as difficult news for millions of Australians with a mortgage and the pressure this puts on families and small-business owners juggling repayments, rent and cash flow. While the decision was widely expected, that doesn't make it any easier. That is why we continue to roll out responsible cost-of-living relief, including a further tax cut later this year and another one next year—tax cuts that benefit 1½ million sole traders and which put real money back into the small businesses that power local economies. This stands in stark contrast to those opposite, who went to the last election promising higher taxes and have opposed every measure designed to support small-business confidence and consumer demand.

In government, those opposite shamefully suppressed wages. They in fact made it a cunning design of their economic plan, undermining the spending power of customers that small businesses rely on to survive. Since coming to office, our Labor government has delivered pay rises for minimum and award wage workers, lifting annual incomes by more than $9,000. What happens when wages increase? People spend a bit more. This means local economies are strengthened. All kinds of small businesses like restaurants, cafes, gift shops, shoe stores—my favourite!—and bakeries benefit.

We expanded paid parental leave to 24 weeks and ensured superannuation is paid on government funded parental leave, recognising that small businesses benefit when workplaces are fair, modern and able to retain skilled staff. We delivered $300 energy bill relief in financial year 2024-25 and $150 off power bills in the financial year to December 2025 for every household and around one million small businesses, while investing in long-term cost reduction—including 30 per cent off home batteries. That is structural reform that helps small businesses manage costs and to plan for the future.

We made the biggest-ever investment in Medicare since its creation, easing pressure on small-business owners, who know that a healthy workforce is a productive workforce. We opened Medicare urgent care clinics, including one in my electorate, in Bayswater, which is very popular. Right across the country we opened these Medicare urgent care clinics, with more than two million Australians already receiving free urgent care. We cut student debt by 20 per cent. We have done so much to help Australian households and small businesses; I could go on, but I don't have a lot more time. It is targeted, and it is responsible and it is certainly not the kind of spending you could call 'reckless'.

Angie Bell (Moncrieff, Liberal National Party, Shadow Minister for Youth) Share this | Link to this | Hansard source

The Minister for Small Business interjected when the member for Goldstein was delivering his speech on his MPI. I'd like Australians to know that what she said was that small businesses are dodgy. I say the Minister for Small Business is dodgy, I say the Treasurer is dodgy and I say the Prime Minister is dodgy.

Sharon Claydon (Newcastle, Australian Labor Party) Share this | Link to this | Hansard source

Member for Moncrieff, I ask you to withdraw that comment.

Angie Bell (Moncrieff, Liberal National Party, Shadow Minister for Youth) Share this | Link to this | Hansard source

I didn't think it was an unparliamentary word.

Sharon Claydon (Newcastle, Australian Labor Party) Share this | Link to this | Hansard source

It's not open for debate. Please withdraw that comment.

Angie Bell (Moncrieff, Liberal National Party, Shadow Minister for Youth) Share this | Link to this | Hansard source

I withdraw. This week we saw interest rates rise again, and we saw the Treasurer's 13th interest rate rise since he became the Treasurer. Not happy, Jim! We saw the Prime Minister's 13th interest rate rise since he became the Prime Minister. Labor has been responsible for the economy for four years and has been responsible for 13 interest rate rises—and Australians are buckling under the stress.

Australians should be very unhappy with the Prime Minister and with the Treasurer's very poor performance. Families were already hurting, and with the Treasurer's 13th rate rise, they are going to be hurting even more. And, as the shadow minister for youth, this pain then rolls down to the young, who feel the pinch too, because retailers and small businesses can't afford to employ them, and there have been 41,000 insolvencies since Labor came to power that can no longer employ young people on their books. As the shadow minister for youth, I often talk with young people about what impacts them. Whilst they are sometimes uncertain about what career or what job they might want to go to next, they're very clear on the financial pressures they face and their families face.

Last week, I was in Hobart talking to young people. They were unanimous in detailing how hard it is to get a doctor's appointment, never mind a job in small business. If they can find a doctor with availability, then the next hurdle for them is the cost. They also said that the doctor who might have an available appointment is definitely not a bulk-billing doctor. They also said that they have to pay $120 upfront, with approximately $70 for the out-of-pocket fee. Now, that's not one Medicare card; that's two—a Medicare card and a credit card. And guess what? Young people can't get a credit card. Therefore, they don't go to the doctor in Hobart, so their health is suffering, and, as a consequence of their health suffering, so too is their mental health, because they cannot access a GP and certainly cannot access a bulk-billing GP.

With the Treasurer's interest rate rise, there will be less money for families, which means going to the doctor just became even more out of reach for young people. Interest rate rises also impact young people in other ways, and the consequences are that landlords will now put rent up because interest rates have gone up, making it even harder for people, particularly young people, to afford housing. Home loan repayments and small business loans for families are making it harder for employers to employ young people and more employees.

Who is going to pay for Labor's addiction to spending? Who is going to pay for it? Well, it's the taxpayer. That's why this budget that's coming this year is a blow-out. That is why Australians are now having to pay for this government's reckless spending on our economy. Labor can put spin on their 13th interest rate rise, but Labor's squeeze on Australians is being felt, and will now be felt even harder. We're not happy with Labor, just like we're not happy with Jan—not happy, Jan; not happy, Labor. Just ask any young person and they'll let you know that too.

Labor spends, prices rise and you pay for it. They spend, prices go up and you get the bill. Insurances are up 39 per cent; energy is up 38 per cent; rent is up 22 per cent; health is up 18 per cent—that's if you can get a doctor's appointment; education is up 17 per cent; food is up 16 per cent. The more they spend, the longer inflation stays higher, and the more you have to pay the bills. They keep spending and keep asking you to tighten your belt while they spend your taxpayer dollars.

Living standards have gone backwards under this government. We've got a $1.2 trillion debt that is going to punish the next generations. You will have to pay for this government's spending, so don't believe a word they say. They spend, prices go up and you pay.

David Smith (Bean, Australian Labor Party) Share this | Link to this | Hansard source

I would like to thank the member for Goldstein for bringing forward this important issue in his own special way. The fight to bring down the cost of living is front and centre for my constituents in Bean every day, and I'm happy to tell them that the Albanese Labor government is right alongside them in that fight. That is why the Albanese Labor government is introducing real, practical assistance in approaches that work to help local families every day. We have delivered tax cuts for every taxpayer, with a further tax cut coming this July. We have consistently supported pay rises for all minimum-award-rates workers and re-energised enterprise bargaining for fairer pay for all workers and their families. We have changed the architecture of workplace relations.

We have also made generational investments into affordable and accessible health and education. In December, the Woden Valley, in my electorate, welcomed the opening of the ACT's newest Medicare urgent care clinic. It's located at 33 Colbee Court in Phillip and offers free, GP-led health care, without an appointment, seven days a week. This clinic joins pre-existing clinics in Tuggeranong, Weston Creek, Dickson, Belconnen and Gungahlin, across the territory. Labor's Medicare urgent care clinics have already seen more than 2.2 million presentations since the first sites opened in June 2023. This new clinic in Woden will ensure that those numbers continue to climb and that all those who need medical treatment are able to receive it without having to worry about the cost.

Our commitment to the health and wellbeing of Australians doesn't stop there, with agreements reached last week that will see the ACT receive an additional $557 million boost to hospital funding, alongside additional funding of $75 million to assist with the challenges of being a smaller jurisdiction. This is part of a package of over $4 billion in the ACT, allowing affordable and timely access to quality health care for all. It has already been one month since the Albanese Labor government made medicines on the PBS just $25—the biggest cut to the cost of medicines in the history of the PBS. This means that people in my electorate of Bean are now paying less for medicines they rely on every day. That is real, practical assistance.

We are also backing Australia's students and young people. Labor promised to cut student debt, and now the Albanese Labor government is delivering. Australians with student debt, including HECS-HELP, VET and TAFE loans, will have seen a 20 per cent reduction—no applications, no forms, just real cost-of-living relief. We have made free TAFE permanent, opening the door to secure work for more young people, and increased the HECS and HELP loan repayment threshold so students get to keep more of what they earn before repayments kick in.

We are paying students on prac for key degrees such as nursing, midwifery and social work, so they are able to complete their training without economic stress. We are boosting support for apprentices, delivering a $10,000 bonus to housing-construction and clean-energy apprentices so that more tradies can finish their training, as those cost pressures can flow through to the construction sector. These are real, practical measures that are assisting those in my community and those right across Australia.

I would like to remind the member for Goldstein and those opposite that, at every moment they were presented with an opportunity to assist the Australian people with the cost of living, they said no. They said no to Medicare urgent care clinics, they said no to lower HECS debts and fee-free TAFE, they said no to tax cuts for all Australians and they said no to energy relief. When the Albanese government first came into power, inflation had a six in front of it and interest rates had begun to rise. If only those opposite had cared so deeply about this issue when they were last in government! It took the Albanese government to get these pressures under control, and we are focused on continuing that work with the Australian people.

On this side of the chamber, we are united in the face of the challenges that affect the Australian people and are taking concrete steps to address the rapidly changing international economic climate. There is more work to do in 2026, and I hope those opposite will join us rather than talking endlessly about themselves and opposing every practical measure that is helping take pressure off the Australian people.

Sharon Claydon (Newcastle, Australian Labor Party) Share this | Link to this | Hansard source

The time for this discussion has now concluded.