Greg Jericho
Chief Economist

Sussan Ley decided that asking about inflation on a day when the official CPI was 2.1% was a good idea.

She picked out three items – bread, cereals and eggs as having risen in price since the Albanese government. Problem is in June 2022 quarter, when the ALP won the election bread prices were going up 7% now they going up just 2%, cereals were going up 9%, now 1%.

Eggs are the only thing where you can say prices are rising faster now – and that is as the world deals with the global bird flu ructions

The opposition will keep talking about price rises since June 2022 (or March 2022 – sometimes they fudge the starting point) because that makes things look worse. This is smart during the election campaign, but it is less powerful now, because well, the big price rises are in the past. Prices are not about to fall – that’s not how inflation works. If prices on average go down, that is actually a very bad thing – that is very much recession town.

Bread price rose very quicky in 2022 And 2023, but since then have slowed

That is why you are going to keep hearing the opposition refer to prices since the middle of 2022, and the Government will talk about price rises over the past year