Michaelia Cash (WA, Liberal Party, Shadow Minister for Foreign Affairs) Share this | Link to this | Hansard source

My question is to Minister representing the Prime Minister, Senator Wong. Last July, the Prime Minister stood before Australians and said that inflation had 'turned the corner'. The reality for Australians is inflation is now rising again, prices are higher and families are facing the real risk of interest rates staying higher for longer. Will the Prime Minister apologise to Australians for stating that inflation had 'turned the corner', when the evidence now shows inflation is increasing again under his government's policies?

Penny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | Link to this | Hansard source

It is the case that inflation is higher, after those last inflation figures, than we would like. But it is also the case that those inflation figures remain much lower than those that our government inherited when we came to power. When we came to office, I would remind those opposite, I don't recall Senator Cash apologising for 6.1 per cent inflation.

Hon. Senators:

Honourable senators interjecting—

Sue Lines (President) Share this | Link to this | Hansard source

Order! I do need to be able to hear Senator Wong. Minister Wong, please continue.

Penny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | Link to this | Hansard source

As I said, when we came to office inflation was at 6.1 per cent. As importantly—Senator Dowling knows this—it was rising. It was rising. It is now much lower than that. We know Australians are under pressure, which is why easing cost-of-living pressures has been this government's No. 1 priority since coming into government—rolling out cheaper medicines, more bulk-billing, student debt relief, backing higher wages and more tax cuts from 1 July. We can talk a bit more about this, and I hope Senator Cash might return to this issue in her next question, because I think what is interesting is that so many of the things that this government has done to try and deal with cost-of-living relief have been opposed by Senator Cash and the Liberal Party and the National Party.

What is interesting is that they come in here, loudly interject and talk about cost-of-living, meanwhile voting to oppose cost-of-living measures that this government is seeking to roll out for the Australian people. So I think everybody understands which party is (a) a party of government, and (b) a party that is focused only what matters to Australians.

Sue Lines (President) Share this | Link to this | Hansard source

Senator Cash, first supplementary?

Michaelia Cash (WA, Liberal Party, Shadow Minister for Foreign Affairs) Share this | Link to this | Hansard source

So no apology to the Australian people, even though on a daily basis they're living with the reality of your policies: rising costs in their weekly bills and at the checkout? Why can't the Prime Minister simply admit he got it wrong? Inflation hasn't turned the corner. Australians are now paying higher prices, there is greater inflationary pressure and household budgets are now at greater risk.

Penny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | Link to this | Hansard source

I again make this point: we have a growing economy. We have inflation that is much lower than that which we inherited and well below its peak. We have wages which are growing at the fastest pace since 2012 and the lowest average unemployment of any government in the last 50 years. We have the smallest gender pay gap on record. We have a record number of small businesses. We have solid business investment, record investment in public hospitals and importantly tax cuts for every taxpayer with two more rounds to come—this year and next. We have rolled out cost-of-living support; energy bill relief; cheaper child care; cheaper medicines; three days of early childhood education; free TAFE; the largest increase in rent assistance; student debt relief for three million; more bulk-billing; free health advice, through 1800MEDICARE; and five per cent deposits, helping 16,000 first home buyers.

Sue Lines (President) Share this | Link to this | Hansard source

Senator Cash, second supplementary?

Michaelia Cash (WA, Liberal Party, Shadow Minister for Foreign Affairs) Share this | Link to this | Hansard source

Minister, do you agree with the Prime Minister's statement that inflation has turned the corner? If you do, on what basis, when inflation is now increasing again and Australian families are bracing for more cost-of-living pain?

Penny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | Link to this | Hansard source

I absolutely agree with the Prime Minister, and that evidence is in what I have just outlined, which is the comparison between inflation today and what we saw over many years towards the end of your government. But I do want to make this point: we see the coalition, again—

Michaelia Cash (WA, Liberal Party, Shadow Minister for Foreign Affairs) Share this | Link to this | Hansard source

It's the Liberal Party.

Penny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | Link to this | Hansard source

Well, I'm so sorry. You're the Liberal Party. I apologise.

Michaelia Cash (WA, Liberal Party, Shadow Minister for Foreign Affairs) Share this | Link to this | Hansard source

Thank you.

Penny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | Link to this | Hansard source

I forget that you're not the coalition. There's no coalition—I'll take the interjection. We see the Liberal Party, the once proud economic managers in this country, unable to articulate a clear economic agenda and unable to prosecute any alternative policy because they are entirely focused on their own internal division. What an indictment that is of a party that used to pride itself on its economic management. They are nowhere when it comes to the economy.