David Fawcett (SA, Liberal Party) Share this | Link to this | Hansard source

DEPUTY PRESIDENT ( Senator Fawcett ) (): The Senate will now consider the matter of public importance proposed by Senator Hughes, namely:

Despite Labor promising cheaper mortgages, power prices and higher wages throughout the campaign, interest rates, power prices and inflation have skyrocketed while real wages have fallen.

Is the proposal supported?

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

Helen Polley (Tasmania, Australian Labor Party) Share this | Link to this | Hansard source

With the concurrence of the Senate, the clerks will set the clock in line with the informal arrangements which have been made by the whips.

Hollie Hughes (NSW, Liberal Party, Shadow Assistant Minister for Climate Change and Energy) Share this | Link to this | Hansard source

The government made some very grand promises to the people of Australia before the election. They were promises that we on this side warned were either ineffective or not so simple to implement. But this Labor Party and the Prime Minister said, 'Let's throw caution to the wind turbines. We'll just legislate now and work out how it all works later. And, until then, we'll just blame everybody else.' Sadly, those empty promises worked—the electorate bought them—and got them into government, because these lofty goals, understandably, sounded wonderful. But once again we've seen the reality. Labor has no real plan, Labor has no detail—only ideology. And, when that ideology hits reality, we know what Labor does next. It comes for your hard-earned money. It uses your income to prop up its own failures.

This government has had more than enough time now to either deliver or come clean to the Australian people on its election promises. They said, 'We'll bring down your mortgages.' But all Labor has managed to do is make a mess. To deal with inflationary pressures, we have seen nine consecutive interest rate rises, but, when the Treasurer and Prime Minister would rather write essays and go to music festivals than work in tandem with the Reserve Bank to bring down inflation, what else can you expect? As Australians with mortgages buckle under the pressure of a 10th consecutive interest rate rise, the Albanese government's only solution is to break promises and increase taxes. A person with a typical mortgage of $750,000 is now paying $1,700 more per month than they were when interest rates started rising in May. That's an extra $20,000 a year for the average Australian family. Interest paid on mortgages grew by 23 per cent during the December quarter. Families are therefore being forced to pull back on other spending, and household savings are plummeting. Many mortgage holders are starting to feel the pinch; they're struggling to find the money necessary to just make the repayments. What we're staring down the barrel of is an increased number of defaulted loans in the months ahead.

Australians are being forced to tighten their belts on their budgetary spending, as household bills continue to skyrocket. Research has shown that nearly half of all Australians have cut back on purchasing things like take-out, while a third have resorted to buying less meat and seafood. So why is this government sending this country back to the Dark Ages? That could become a literal question this winter if energy prices and supply continue down the path they're on—blackouts for the east coast. Australians have been warned by AEMO that there'll be energy rationing and blackouts in the coming years, due to the early retirement of coal and gas generators, along with construction delays to Snowy 2.0 and the Kurri Kurri gas plant. When the coalition left office, there was no reliability gap. Labor's lost control of Australia's energy system.

This government has harped on about how they're championing the cause of the elderly, but, under this government's watch, we've seen more deaths in aged care than during the first two years of the pandemic. More deaths in aged care since this government came to power than during the first two years of the pandemic—just let that sink in. They're hard numbers. They're not things you can fudge. They're not something you can yell and point your finger backwards about. These are hard figures. More people have died in aged care since you came to government than in the first two years of the pandemic. That is the hard, cold truth.

The reality is though, as we head into this winter—and it's an absolutely appalling thought, with these blackouts that are being predicted, this energy shortage and this supply shortage—I sincerely hope it is not a very, very cold winter, because very cold winters, high energy prices and budgetary pressures on family incomes mean that people don't put the heater on. What does that mean for the elderly? It means there will be deaths. We know that there are dire consequences when elderly Australians do not provide heating for themselves in their home because they cannot afford to do so. That will be firmly and squarely on the shoulders of those opposite, due to their recklessness, the fact that they have no plan and, when they do attempt anything, it is market intervention that is going to make every single problem worse, as market interventions all too often do.

Helen Polley (Tasmania, Australian Labor Party) Share this | Link to this | Hansard source

I'm proud to be part of the Albanese Labor government. Why am I proud? Because we are addressing the mess that those people opposite created over nine very long years. It's all very well for us to have a fairytale contribution to this debate. Next it'll be goblins and witches that come out, and we're going to rewrite history once again. But the reality is that we were left with a trillion dollar debt. That's what those opposite left for the Australian people, not just the Labor government but the Australian people—a trillion dollar debt.

We had a contribution just then about aged care. I'm gobsmacked—I really am—that anyone from that side of the chamber would come in here and question the Labor government's commitment to aged care after 10 months of being in government.

What have we seen on that side? What we saw over nine long years was a failed government and five ministers who failed in aged care. They were so bad they had to call a royal commission into their own failings.

What has Labor done since we came into office? We have focused on respect and proper care. We want to put nurses back into residential aged care. These are the things that we are doing and the things that we are addressing. There's no getting away from the fact that there is a cost-of-living crisis and people are doing it hard. If you were really sincere about addressing this crisis, then you would support the Housing Australia Future Fund. That's what you'd do on that side of the chamber, because the biggest cost-of-living crisis for the Australian community—

David Fawcett (SA, Liberal Party) Share this | Link to this | Hansard source

Order! Senator Polley, I remind you to put your remarks through the chair.

Helen Polley (Tasmania, Australian Labor Party) Share this | Link to this | Hansard source

I wasn't talking to anyone. I was saying, 'Those on that side of the chamber,' but, if you think I did—

David Fawcett (SA, Liberal Party) Share this | Link to this | Hansard source

Senator Polley, you were using the word 'you' several times. Address your remarks through the chair.

Helen Polley (Tasmania, Australian Labor Party) Share this | Link to this | Hansard source

I apologise, Acting Deputy President. The reality is that those opposite—those under Mr Dutton—will not agree to support the housing future fund which will provide the opportunity to get women and children off the street and into their own homes. It will get older women off the street—away from being forced into living on the street. It will also help women who are leaving domestic violence situations. You can't come in here and cry your fake tears when it suits you. These are real issues that are facing the Australian community. People cannot afford the rent. They cannot get affordable housing. Support the legislation that is coming before this chamber and then you will actually have a reason to come in here and make your contribution. But if you're not prepared to help resolve the issue, you can't just come in here and blame all world events on this government after 10 months.

What we have done since we've come into government is to reduce the cost of medicine, put forward cheaper child care that will benefit 1.2 million—

David Fawcett (SA, Liberal Party) Share this | Link to this | Hansard source

Order! Senator Polley, resume your seat. Under standing order 197, interjections are disorderly. Senator Hughes, you've had your opportunity to make a contribution. Senator Polley will be heard in silence.

Helen Polley (Tasmania, Australian Labor Party) Share this | Link to this | Hansard source

Thanks for that protection. I don't really need it, because, when they start interjecting, you know that the truth is hurting those on that side of the chamber.

We will be introducing electricity bill relief as a key feature of the May federal budget. It will provide direct support for households and businesses that the opposition tried to block. Let's put this on the public record. They tried to block it. Unlike the previous government, we have invested in 180,000 fee-free TAFE places that are now available to tackle the skills shortages. From the contribution that was made in question time today, we know about the attributes that were displayed by those opposite when they were in government. They had a finance minister who didn't even know that the Prime Minister at the time had taken over his portfolio, and now they come in here and try to lecture us about the cost of living and what needs to be done for the economy!

We know that there have been difficulties. We know that some of that can be attributed to the Iraq War and what's happening there in terms of energy prices—

Hollie Hughes (NSW, Liberal Party, Shadow Assistant Minister for Climate Change and Energy) Share this | Link to this | Hansard source

Iraq?

Helen Polley (Tasmania, Australian Labor Party) Share this | Link to this | Hansard source

but those on that side had nine years to come up with an energy policy. They had 26 of them but delivered not one. You can rewrite your fairytales as often as you like when you come into this chamber, but the Australian people saw right through you. They are reliant on the leadership of Anthony Albanese and the Labor government, who will do what is necessary to protect and to support those doing it tough in this country. (Time expired)

The Acting De Puty President:

I remind senators to address remarks through the chair and to address members of the other chamber by their correct titles. Senator McKim, you have the call.

Nick McKim (Tasmania, Australian Greens) Share this | Link to this | Hansard source

I've got a memo for the Labor Party: people voted for change at the last election. People voted in a new government because they wanted it to be different from the former government. But what have we got? We've got more of the same from a Prime Minister who every day is looking more like 'Scott Morrison light'. Labor is pushing ahead—

David Fawcett (SA, Liberal Party) Share this | Link to this | Hansard source

Senator McKim, I've just reminded senators about using the correct titles for members in the other place.

Nick McKim (Tasmania, Australian Greens) Share this | Link to this | Hansard source

Just remind me: we can't use someone's full name anymore, Mr Acting Deputy President? Is that your ruling?

David Fawcett (SA, Liberal Party) Share this | Link to this | Hansard source

You need to use either a title or the seat they represent.

Nick McKim (Tasmania, Australian Greens) Share this | Link to this | Hansard source

You can't use their full name?

The Actin G Deputy President:

Not alone, no. That's never been the case.

Nick McKim (Tasmania, Australian Greens) Share this | Link to this | Hansard source

Well, memo to the Labor Party: people voted for change at the last election. What that means is that they wanted the government to be different to the former government. What they've got is a Prime Minister who more and more, every day, looks like a pale version of the former Prime Minister. They've got a Prime Minister who jets overseas to hand over $368 billion in a new submarine deal where he is, as former Prime Minister Keating said, the only one paying. Of course, it's Australian taxpayers who are actually paying. They've got a Labor Party that is pushing ahead with the $250 billion worth of tax cuts for the wealthy that were put on the table by the former Prime Minister, Mr Morrison. They've got a Labor Party that is pushing ahead with the safeguard mechanism, a policy of the former Liberal-National government designed to fail.

All the while, interest rates are going up, in direct contravention of a promise made by the RBA, and real wages are going backwards at the fastest rate on record—faster than they were going backwards under the former government. How can the Labor Party look the people who voted for them in the eye and defend tax cuts for the wealthy and expenditure of $368 billion on nuclear submarines? They are ghastly, indefensible policies. They perpetuate social injustice and they will make it harder for everyday Australians to get by.

Poverty doesn't have to exist in this country. It is a political choice that poverty exists in this country, and it is a choice that wasn't only made by the Liberal-National coalition, who I would expect to make that choice every time. It's now a choice being made by the Australian Labor Party, because they would prefer to give tax cuts to the wealthy than to end the prospect of someone starving on income support in this country. That's how far the Labor Party have fallen.

Matt O'Sullivan (WA, Liberal Party) Share this | Link to this | Hansard source

I thank Senator Hollie Hughes for bringing this very important matter before the Senate today. It's an opportunity for us to make a contribution as senators, and I stand today in solidarity with what Senator Hughes said in her contribution. We are in the midst of a cost-of-living crisis—that's for sure. Every Australian is experiencing it. Obviously, it's affecting some far more than others, but it is a crisis. I don't think that is putting too strong a word on it. I don't tend to use alarmist language—I try to be as measured as I can be, though sometimes I have a little flourish here and there—but it is a crisis that Australians are facing. Cost of living is without doubt the No. 1 issue that Australians are facing.

When the government were in opposition they repeatedly said that they were going to make the cost of living easier for Australians. Well, it's clear that the Albanese government have no plan at all to deal with this cost-of-living crisis or, indeed, inflation. Inflation is running out of control, and I don't think the government have brought forward a single policy that goes to addressing it. They've left it all up to the RBA. The RBA just put interest rates up, which of course impacts the amount of money people have in their household budgets, because their mortgage payments go up. The government are not doing anything to reduce inflation by putting downward pressure on government expenditure. They've said that wage growth should match inflation so that people don't go backwards. With no plan at all to place downward pressure on inflation and chase inflation with wage rises, inflation is only going to continue to rise. As I said, instead of working in tandem with the Reserve Bank to bring down inflation, the government is putting all its energy into breaking election promises and taxing Australians more.

Someone who would know something about the impact that Australians are facing, particularly those on low to middle incomes, is the Salvation Army. The Salvation Army's general manager of policy and advocacy, Ms Jennifer Kirkaldy, said:

What we have found is that the people who were already doing it tough are now experiencing extreme hardship.

The people we work with, especially those reliant on government payments, are making impossible decisions between food and rent or essential medicines and school supplies for their children.

The current situation is unsustainable. Immediate action is needed to relieve pressure on the most disadvantaged in our community.

But everything that this government does, frankly, is only making matters worse. We are now up to the 10th consecutive interest rate rise. An Australian with a typical mortgage of $750,000 is paying $1,700 extra per month—that's, $20,000 per year. Late last year the government hurried in their new enterprise bargaining laws. It was just before Christmas. They claimed it was a Christmas present. Well, it was only a Christmas present for the union movement. It certainly wasn't a Christmas present for workers and for people struggling to pay that extra $20,000 a year on their mortgage.

Just this last week we saw the Productivity Commission tell us in its five-year productivity inquiry report:

… the new multi-enterprise arrangements pose some risks that could constrain productivity growth and hence the scope for enduring real wage rises over time.

…   …   …

Forcing unwilling employers or employees into multi-enterprise agreements in which they had no bargaining role may limit these shared productivity and other benefits. This may not just affect individual employers, but employees too may relinquish beneficial changes in working arrangements or higher wages.

So the government are actually putting in place policies that are increasing hardship on families, just because they need to pay their masters within the union movement and just because they don't actually understand how to manage an economy and put downward pressure on inflation. What we're seeing is that this government is unwilling to make tough decisions. Instead, they just allow Australian households to bear all the burden.

Malcolm Roberts (Queensland, Pauline Hanson's One Nation Party) Share this | Link to this | Hansard source

President Ronald Reagan once said, 'The top nine most terrifying words in the English language are: "I'm from the government and I'm here to help."' The words 'I'm from Labor and I'm here to help with your cost of living' are even more terrifying. Labor lied and promised the world to get elected to government on less than a measly third of the votes. Instead of a Labor utopia with rainbows and unicorns, Australia is waking up nearly a year later with the mother of all hangovers.

Inflation is roaring out of control. Mortgage payments have skyrocketed. Fuel is still $2 a litre—we've just grown to expect it. Electricity bills are positively shocking, driven higher by climate policies pushed by both major parties. We said it wouldn't be easy under Albanese. I don't think anyone thought it would get this bad this fast or be this arrogant this fast.

David Fawcett (SA, Liberal Party) Share this | Link to this | Hansard source

Senator Roberts, remember you need to address members of the other chamber by their correct title.

Malcolm Roberts (Queensland, Pauline Hanson's One Nation Party) Share this | Link to this | Hansard source

One Nation advocates getting back to basics on energy, taxes, manufacturing, food production and value-added mining. We are the richest country in the world. Let's use the resources for the people. (Time expired)

Linda White (Victoria, Australian Labor Party) Share this | Link to this | Hansard source

The government understands that the rising cost of living is hitting a lot of Australians hard. The Prime Minister and the Treasurer know that it's not easy. The government knows that it isn't easy. I know that it isn't easy. The Australian people understand that we didn't create these challenges. Australians elected us to take responsibility for addressing these challenges, and we are. After 10 years of failed energy policies, 10 years of Liberal Party debt and 10 years of wages either being stagnate or going backwards, Australians had had enough. Now we are embarking on the long road of trying to right the ship after the Liberals-Nationals government trashed our country for the best part of a decade.

We've heard a lot about electricity prices recently from the opposition. I want to talk about energy prices too, and put on the record what is really going on. Last year, the Albanese government legislated to cap wholesale energy prices on coal and gas. We did that, in large part, because we had to deal with a wasted decade of failed energy policies from the coalition, and we did it, in part, to respond to the Russian invasion of Ukraine, which has put enormous pressure on global energy markets. We recalled the parliament before Christmas to deal with this situation. The government took it seriously and acted. We legislated the Energy Price Relief Plan and now, just three months later, we're already hearing from the Australian Energy Regulator that had we not acted when we did then energy prices would be 40 to 50 per cent more expensive than they are now. Without that government intervention, Australian families would have paid an extra $530 for energy; without that government intervention, Australian businesses would have paid an extra $1,243 per year for energy. That is what real action to address the cost of living is about—that is what it's about for Australians.

But when given the chance to support cheaper power prices, the coalition said no. When asked if they would support Australian households and businesses by stabilising the energy market, the Liberal and National parties said no. The 'no-alition' voted against cheaper energy prices and voted against support for Australians feeling the sting of inflation. If the coalition had been in charge, Australians would now be paying hundreds of dollars more for electricity than they currently are.

What makes it worse is that it was their 22 failed energy policies over a decade of inaction that put us in this mess. When we came to government, there was no plan from the coalition to deal with what was coming down the pipeline—no plan to deal with higher domestic wholesale energy prices and no plan to shore up and stabilise our domestic energy market, even though the war in Ukraine had been raging for months when they were in government. Now it's up to us to fix the mess, and that's what the Albanese government is doing. This is more than just stabilising power prices; we're taking action both to fix the budget and to provide Australians with targeted cost-of-living relief. Our budget focused on responsible cost-of-living relief that didn't put extra pressure on inflation—that's the most important thing.

We're also doing things like cheaper child care; expanding paid parental leave; cheaper medicines; more affordable housing; and getting wages moving again. Getting wages moving, in particular, is important in the face of the inflation challenge. The 'secure jobs, better pay' bill that the government legislated last year is already doing that. Employers and employees are sitting back down at the bargaining table in good faith and reviewing their arrangements. Zombie agreements that were way out of date and unfair are gone. That's a very good thing, because there were many more out there than we first thought. We also gave the Fair Work Commission the ability to facilitate industry-wide and collective low-paid bargaining. This is for the lowest-paid workers in society, giving those who need the most help an opportunity to get a pay rise.

It really is a bit rich for the coalition to raise what we're doing to address the cost of living and to respond to inflation. Their track record is one of saying no and distorting the truth about their 10 years in government. The Labor government is working every day to make Australia a more productive and fair place to live. We're working hard to solve problems and are being honest with Australians. Australians recognise that the Albanese government has a plan, in contrast with the coalition. That's why, when it comes to the coalition, as Taylor Swift would say, 'You've got to shake it off'. At the last election, Australians did just that.

Linda Reynolds (WA, Liberal Party) Share this | Link to this | Hansard source

Yesterday, in question time, I asked Minister Farrell if the Labor government would deliver the $275 power bill reduction they promised the Australian people no fewer than 97 times before the election. He didn't answer. I then asked if he would admit that the Labor government broke their election promise to make no changes to superannuation. We now know that one in 10 Australians will be impacted by their superannuation changes, far from the modest broken promise that Minister Gallagher keeps talking about. But again, of course, he had no answer. I then asked if the minister would admit that his government broke yet another election promise to lower the cost of PBS medicines after they removed a life-changing diabetes drug from the PBS. That is a fact. Of course, he had no answer for that either.

It is very clear that with this Labor government, as with every other Labor government, you should never ever listen to what they say before the election and to the promises they make on what they will do and what they won't do. There is nothing more certain—and this government has asserted that truism—than that they will say one thing before the election and do another thing afterwards. In fact, the very same Minister Farrell in estimates in response to questions about the NDIS admitted, on behalf of Minister Shorten, that they said one thing before the election and, suddenly, new facts were revealed that made them change their position and break promises—in this case, that there would be no cuts to the NDIS. So they say one thing and do another thing.

Let's have a look at the facts and how they say one thing and do another. They break promises without shame. The promise to lower electricity prices has been broken. The promise of cheaper mortgages has been broken. The promise of no changes to super has been broken. The promise to lower inflation has been broken. The promise that they were not touching franking credits—guess what?—has been broken. They promised that industry-wide bargaining was not part of their policy. We know that that was broken, too. The list goes on and on. The promise that they would be doing their bit to assist real wage increases was broken. The promise not to raise taxes was broken. The promise to cut the cost of consultants and contractors was broken.

Western Australians, who I represent in this place, are seriously struggling already in less than a year under the Labor Party and this Labor government. Everything is going up except their wages. There is no relief in sight. Listening to those opposite in this chamber again this week, they have been blaming everybody else, saying, 'We didn't know the state of the economy.' Let me tell you that the fact is that we left the Labor government, if not the best, one of the best and strongest post-COVID economies in the OECD and, in fact, in the world. That is a fact. Now a procession of Labor Party members, senators and ministers are saying: 'We didn't realise that we'd actually have to govern, that we'd actually have to make decisions to deliver the promises that we made Australians. It's somebody else's fault. We didn't actually read the budget papers for the last year or the year before or the year before that. We didn't actually read any of the documents to understand the state of the economy.' They supported at the time the decisions we made to save Australians' health and the economy during COVID. You supported all those at the time and now you are saying, 'Oh—

David Fawcett (SA, Liberal Party) Share this | Link to this | Hansard source

Order! Senator Reynolds, please refer—

Linda Reynolds (WA, Liberal Party) Share this | Link to this | Hansard source

Those opposite are saying, 'We didn't really realise that that meant we'd have to make some hard decisions and we'd have do some tough things to deliver on our promises.' Instead, they are just breaking promise after promise.

The impact is severe for people in Western Australia. Western Australians have experienced the biggest jump in their grocery bills. It's been by more than a third since those opposite came into government. It's been by more than a third in less than 12 months. Increases in grocery prices add up to an additional just under $2,000 per year per household for Western Australians. It is money they cannot afford. With nine consecutive interest rate rises, Western Australians—

David Fawcett (SA, Liberal Party) Share this | Link to this | Hansard source

The time for the discussion has expired.