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

My question is to the Prime Minister. Last week, the Treasurer said that government spending was 'not a factor' in last week's interest rate rise. However, on Friday, when asked, the Reserve Bank governor said:

It's factual, it is not an opinion, it's not a judgement, it is a fact. That's all it is.

Can the Prime Minister confirm that the RBA governor is right and the Treasurer is wrong?

Anthony Albanese (Grayndler, Australian Labor Party, Prime Minister) Share this | Link to this | Hansard source

Let's be very clear about what the RBA governor has said. Last Tuesday she was asked directly about government spending, and she said: 'What's happened in the last six months or so—private demand has turned out to be much stronger than we had been forecasting.' Then, on Friday, the RBA governor was asked about it again, and she said: 'Public demand's contribution has declined, and we were surprised, in the first half of 2025, that it declined as much as it did. And we were surprised'—

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

Order! The Prime Minister will pause. Because the member for Cook is yelling so much, I can't hear the direct quote that the Prime Minister was talking about and that he was asked about. Could everyone just cease their interjections. When you ask a question—the leader is entitled to her question. I think everyone needs to show a little more respect, including the member for Cook.

Anthony Albanese (Grayndler, Australian Labor Party, Prime Minister) Share this | Link to this | Hansard source

'And we were surprised, in the latter half of 2025, that private demand is on the upside.' Then there are the killer three words: 'They are facts.' And indeed they are facts from the RBA governor. They are facts.

We will keep focused on easing cost-of-living pressures with the measures that we have put in place: making medicines cheaper, investing in more bulk-billing, investing in urgent care clinics, cutting student debt, paid prac, $10,000 cash incentives for construction workers, income tax cuts—that always gets them upset. They opposed and were going to roll back our income tax cuts. When the income tax cut comes in, on 1 July, they'll be very depressed about that. And then, when it happens next year, they'll be even more depressed about that.

What drives us each and every day is making a positive difference to people's lives. We'll continue to do it, and no amount of verballing of the RBA governor will change that.