Inflation Up Slightly; Hockey Blames Carbon Tax

Inflation edged up slightly in the December quarter and Treasurer Joe Hockey says it’s the fault of the carbon tax.

HockeyThe December quarter rise in the Consumer Price Index was 0.8%. Headline inflation was 2.7% through the year, up from 2.2% in the September quarter.

Treasurer Joe Hockey said: “The inflation rate continues to be impacted by Labor’s Carbon Tax.” He said electricity prices have increased by 22.5% since the introduction of the tax in July 2012. He called on Labor senators to pass the carbon tax repeal legislation when Parliament meets again in February.

Hockey also commented on new figures from the International Monetary Fund which project that global economic growth will increase from 3% in 2013 to 3.7% in 2014. He said: “The IMF underscores the importance of managing vulnerabilities, notwithstanding the expected strengthening in global economic activity.”

Media release from Treasurer Joe Hockey.

Consumer Price Index – December Quarter 2013

Today’s release of the Consumer Price Index (CPI) for the December Quarter shows that inflation is slightly above the middle of the Reserve Bank of Australia’s target band. [Read more…]

Swan Continues Attacks On Campbell Newman Cuts

For the second day running, Treasurer Wayne Swan has focussed on Queensland government budget cuts and their effect on unemployment and the national economy.


At a Brisbane media conference, Swan quoted from Queensland Budget papers which itemised $3 billion worth of cuts to health funding and 2,754 full-time job losses. [Read more…]

Latest CPI Figures Show Lower Inflation

Inflation increased by a negligible 0.1 per cent in the first quarter of 2012.

In the year to March, there was a 1.6 percent increase in prices. The underlying inflation rate was 2.1 per cent.

The low Consumer Price Index figure has surprised some commentators. The Reserve Bank is now being widely tipped to lower interest rates next week. [Read more…]

Wayne Swan Media Conference on Floods and CPI

Treasurer Wayne Swan held a doorstop press conference today to comment on the release of the latest Consumer Price Index figures.

Swan also talked about the impact on the federal budget of the floods. [Read more…]