Australia’s economic landscape continues to face instability, primarily driven by high inflation and rising living costs. Last week’s federal budget, handed down by Treasurer Jim Chalmers, seeks to relieve some of these pressures by offering relief to Australians.
Professor Rod St Hill, a Christian economist, and Gavin Martin, founder of Cornerstone Wealth, recently joined us on 20Twenty to shared some of their insights on this critical topic.
Rod used his background in both banking and education, to critique the budget’s priorities. ‘Our real disposable income is falling,’ he said, referencing data from the Reserve Bank of Australia.
Inflationary Pressures
With the cost of necessities on the rise, many Australians find themselves financially strained. Rod highlighted the disconnect between the government’s promises and the enduring economic realities, stressing the need for policies that genuinely uplift productivity and provide long-term solutions.
Gavin Martin echoed Rod’s sentiments, noting the budget’s heavy tax and spending focus. He voiced concerns over the potential inflationary pressures these measures could foster.
Gavin emphasised the need for structural changes rather than short-term fixes, suggesting that tangible relief for Australians could be found in more strategic, targeted spending rather than one-off payments.
‘It’s definitely a high tax, high spending budget,’ he said. ‘It really does risk causing more pain that the initiatives it’s seeking to provide relief by.’
Listen to Rod and Gavin’s full budget analysis on 20Twenty below:
