Australians have gone backwards under three years of Labor with the cost of living skyrocketing, the longest per-capita recession on record and the biggest fall in living standards in the developed world.
Under Labor inflation is accelerating rather than moderating due to the Prime Minister’s reckless spending.
Make no mistake, prices are still rising, and households are still being squeezed by Labor’s cost-of-living crisis.
Households are now paying on average 13 per cent more for food, 18 per cent more for rent and more than 33 per cent for electricity and gas.
What we saw today was headline inflation in the target range, but core inflation, which is the RBA’s preferred measure right at the top of the band.
Inflation grew by 0.9 per cent over the first three months of 2025 – equivalent to around 3.7 per cent in annualised terms – way above the midpoint of the RBA’s target band.
The latest data confirms family budgets continue to be smashed under the Albanese Labor government, with inflation outstripping the most recent wages data.
This should not be a surprise, with the IMF forecasting consumer prices in Australia will increase by more than any other developed economy over the next two years and by 3.5 per cent in 2026.
The cost-of-living crisis will just get worse under Labor and today’s numbers confirm this.
Core inflation, which strips away volatile price changes and is the RBA’s preferred measure, also accelerated and grew by 0.7% over the first three months of 2025 and by 2.9% in annual terms – still above the midpoint of the RBA’s target band.
The Coalition has a real plan to support households with Labor’s cost of living crisis with 25c a litre off fuel and tax cuts for workers and small businesses.