Key facts
- Albanese ruled out major cuts to health, education and essential services.
- Savings are required in the mid-year budget update due in mid-December.
- Ed Husic called for price controls on essential grocery items.
- Transport costs have risen 8.7% over the past 12 months.
- Food prices have jumped another 3.2% in a year.
- Housing costs were up 5.2%.
Prime Minister Anthony Albanese has stated that while major cuts to health, education, and essential services are not planned for the mid-year budget update, savings are necessary to combat accelerating inflation. This comes amid internal Labor pressure and opposition criticism regarding the cost-of-living crisis. The Reserve Bank is expected to raise interest rates for the fifth time this year, further pressuring household budgets. Treasurer Jim Chalmers attributed rising inflation largely to global fuel shocks and a rapid private sector recovery, while accusing the Coalition of engaging in "weird post-truth stuff" for not acknowledging these factors.