Economy

Clutterham acknowledged that inflation remained too high but attributed it to a mix of temporary and persistent factors rather than a single cause. Clutterham outlined government initiatives aimed at easing cost-of-living pressures, including personal income tax cuts, a new instant tax deduction, and reductions in pharmaceutical costs. Clutterham argued that investments in healthcare, education, and childcare were also forms of economic management that supported household finances. Clutterham stated that the government had identified significant budget savings and was focused on structural repair without cutting essential services like defence.

Chaney argued that raising interest rates was a blunt instrument that disproportionately impacted poorer households and small businesses. Chaney called for the reinstatement of fiscal rules and greater accountability for budget blowouts, noting that government spending was at its highest level since 1988 outside of the pandemic. Chaney advocated for replacing ad hoc climate subsidies with a market-based carbon price and targeted industry policies to improve efficiency. Chaney emphasised that lifting productivity through regulatory simplification, workplace relations reform, and shifting the tax base away from labour income was essential for sustainable economic growth.