Treasurer takes gamble on pre-election cost-of-living package that is likely to spark debate about whether the government is doing enough to tame inflation
Jim Chalmers said the Albanese government would invest $22.7bn in its Future Made in Australia plan in his speech to parliament announcing the 2024 federal budget.Jim Chalmers said the Albanese government would invest $22.7bn in its Future Made in Australia plan in his speech to parliament announcing the 2024 federal budget.Labor will deliver a $300 energy rebate to every Australian household as the $3.
Chalmers told reporters in Canberra the government could “engage meaningfully” in the fight against inflation without “smashing the economy” at a time when growth is projected to be “sluggish”. Australia’s economy is projected to grow by just 1.75% this year rising to 2% next financial year, while unemployment is projected to rise from 4% to 4.5%.
In his speech, Chalmers said the Treasury estimated these measures would take 0.75% off inflation this year and 0.5% next year. Earlier he told reporters the government was “not spraying big cheques to people” but rather providing credits through energy retailers of $75 a quarter on household bills. The government is spending $2.2bn on aged care and $2.8bn on improving Services Australia, including $1.8bn for hiring frontline staff to reduce backlogs. With the government under pressure over its management of borders, it gave a further $100m to the Department of Home Affairs, and $124m to Australian Border Force for civil maritime security.
Chalmers told reporters in Canberra this was a “responsible” provision for “imminent policy decisions which are not ready to be costed yet”, including aged care and early childhood education pay cases and negotiations with states on schools and hospital funding. Chalmers said the Future Made in Australia act would set conditions “to ensure investors benefiting from our incentives are supporting their people and communities” – including that industries created “secure, well-paid jobs for our people”.
Australia Latest News, Australia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Federal budget 2024 live updates: Jim Chalmers to deliver Australia budget speechEnergy bill rebate and rent assistance boost confirmed ahead of speech. Follow live updates
Read more »
Federal budget 2024: Jim Chalmers’ measures must ‘help, not hinder’ RBA’s inflation challengeWith inflation still too high, more than a dozen top analysts have warned that Treasurer Jim Chalmers needs to adopt spending restraint on May 14.
Read more »
High voltage: Jim’s $300 power play to fight inflationEconomists have warned that Labor’s budget spending could put pressure on the Reserve Bank to keep interest rates higher for longer.
Read more »
Budget 2024: Jim Chalmers rejects ‘political trick’ inflation reduction claimFormer RBA board member Warwick McKibbin levelled the claim ahead of Tuesday’s budget, while economists warned bill relief would only stoke consumer demand.
Read more »
Budget 2024: Treasurer Jim Chalmers told to turbocharge small business instant asset write-offSmall business says Labor’s investment tax break is not ambitious enough to boost growth in the economy.
Read more »
Budget 2024: Markets stick with RBA rate rise bet despite Jim Chalmers’ ‘optimistic’ budget forecastsBond markets are continuing to bet that the RBA will have to lift rates this year, despite new government forecasts predicting inflation will fall faster than the central bank expects.
Read more »