Think the cost of living crisis is bad now? Australia’s treasurer warns it will get worse

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Think the cost of living crisis is bad now? Australia’s treasurer warns it will get worse
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Treasurer Jim Chalmers has warned families will be in for a tough economic time in coming months, ahead of an expected rise in inflation. 7NEWS

Treasurer Jim Chalmers has warned families will be in for a tough economic time in coming months, ahead of an expected rise in inflation.

“Unfortunately, we expect this inflation challenge to get worse before it gets better, but it will get better,” Chalmers told Sky News on Sunday.From bad to worse: Australian rents hit a new highChalmers said the increase in inflation would also likely have a flow-on effect to the official interest rate.It comes after the cash rate has risen in each of the past three months, with the rate now standing at 1.35 per cent.

“That will clearly slow the economy or slow our expectations for economic growth in the near term, as interest rates rise in the manner that the governor of the Reserve Bank has indicated that they will. Treasurer Jim Chalmers has warned families will be in for a tough economic time in coming months, ahead of an expected rise in inflation.Chalmers has been with Reserve Bank governor Philip Lowe at the G20 summit for finance ministers in Bali.

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