Last week’s National Accounts figures are worrying signs for Australian households.
Quality of life for many has fallen dramatically due to higher taxes, high inflation, higher interest rates and low productivity.
Gross domestic product (GDP) grew by just 0.2% in the December Quarter.
This means that Australia’s economy is growing slower than the G7 and OECD average.
Worryingly, GDP per capita fell by -0.3% in the December Quarter and has dropped by -1.0% through the last year.
This is devastating slow growth and signifies that Australia is in an entrenched GDP per capita recession, a consumer confidence recession, and we are experiencing the slowest two quarters of consecutive GDP growth in almost 18 years outside of the pandemic.
Most troublesome is that productivity has dropped by -5.4 per cent in the last 12 months, under this Labor Government.
Without an increase in productivity our economy will struggle to grow and provide more opportunities for Australians.
Increasing the tax base through migration is now their option to drive GDP growth.
However, a poorly managed migration system is instead making rents and housing unaffordable.
This is a picture of middle Australia being crushed.
Compounding these pressures real net disposable income per capita has fallen 7.5% since before the election.
Your money is now worth thousands of dollars less than it was 12 months ago.
For a tradie, a truck driver or a nurse or on an average wage, your same rate of pay is worth over $8,000 less now in purchasing power, at this time last year.
The efforts from the Albanese Labor Government have not gone far enough – failing to reduce the cost of living.
We must be working for all Australians in order to restore our standard of living and build the foundations for continued prosperity.
This includes supporting our community by increasing home ownership, securing our borders and immigration, and standing up for our interests on the international stage.
For many Australian families right now, it feels as if they scraped through the pandemic only to find themselves working harder than ever, with less to show for it.
