Peter Van Onselen: The proof Albo and Jim have botched inflation

The Reserve Bank finally caved and raised interest rates

The Reserve Bank finally raised interest rates by 0.5 of a percentage point and it’s little wonder why. Inflation is absolutely rampant, and it’s putting enormous pressure on Australian families. The problem is the government doesn’t have a plan to address it.

In March, the inflation rate hit 5.1 per cent – the highest it’s been in two decades. And it’s only going to get worse. The Reserve Bank is now forecasting inflation will hit 6 per cent by the end of the year.

This is a huge problem for Australian families. The rising cost of living is making it harder for people to make ends meet. And it’s only going to get worse as interest rates continue to rise.

What is the government doing about it?

Absolutely nothing

The government has no plan to address inflation. In fact, it’s making the problem worse with its big-spending agenda.

The government’s budget deficit is forecast to reach $80 billion this year. This is a huge amount of money that is being borrowed from future generations.

This borrowing is putting upward pressure on interest rates, which is making it harder for Australian families to get ahead.

What needs to be done?

The government needs to take urgent action to address inflation. This includes:

• Reducing government spending
• Cutting taxes
• Increasing the supply of goods and services

These measures will help to reduce inflation and make life more affordable for Australian families.

Conclusion

The Reserve Bank has raised interest rates, but it’s not going to be enough to solve the problem of inflation. The government needs to take urgent action to address this issue.

If it doesn’t, the cost of living will continue to rise, and Australian families will continue to suffer.