Topics: Monthly CPI, Food and Grocery code of conduct, Female representation

E&OE

SALLY SARA:

Angus Taylor is the Shadow Treasurer, and joins me now. Angus Taylor, welcome back to breakfast.

ANGUS TAYLOR:

G'day Sally, good to be with you. And happy new year to you and your listeners.

SALLY SARA:

You too. Inflation is coming down. Does that show that the government's approaches are working?

ANGUS TAYLOR:

Well, sadly not Sally. The truth is that prices are still going up sharply. Almost double, the underlying prices are going up at almost double the target rate. And we've seen areas like electricity over 10%, gas 12%, bread, dairy insurance and housing all going up very sharply. And Australia is at the back of the pack versus peer countries, other major advanced countries

SALLY SARA:

We have come into this later, would you agree?

ANGUS TAYLOR:

Well, whatever time we came into it, what we know, we see it in publications like The Economist that have told us we've got the most persistent high inflation of any advanced country, we certainly have seen the sharpest reduction in real disposable incomes. That's the standard of living of Australians of any major advanced country. And indeed, that's a triple whammy that we're being hit with - higher prices, and they continue to go up sharply. Higher mortgage payments, and higher taxes. We've seen a 27% increase in income tax that's being paid by Australians. And all of those things combined mean that we've seen this very sharp standard of living drop for Australians, and it has been the worst, the worst performance of the world. We'd like to be at the front of the pack at this time of year. We love watching Australians winning the sport. But sadly, when it comes to the economy, we are at the back of the pack.

SALLY SARA:

The Federal Government has got the grocery code in its sights in a bid to help bring down food prices. The NFF says the code should be mandatory. Do you agree?

ANGUS TAYLOR:

Well, let's see what comes out of this review. What I do think is competition policy is incredibly important. Labor has been taken, kicking and screaming on this one, it's taken 100 days to appoint someone to do this. And we've seen their approach to competition policy historically has been closer to crony capitalism, we've seen that in the airlines market with with their approach to Qantas and Qatar Airways. So we do want to see good strong competition policy, we do want to see a competitive retail sector, we do want to see lower prices for bread and dairy that I talked about a moment ago. And we will back any sensible policies on this. But there's a long way to go. And frankly, Labor's credibility on competition policy is not strong.

SALLY SARA:

Is a voluntary code enough, do you think?

ANGUS TAYLOR:

Well, let's see what they come up with. I'm not going to pre-empt what's coming out of the review. What I will say is competition policy is important and we'll back sensible policies, Sara, Sally sorry. And that's, I think, incredibly important at a time like this when Australian households really are hurting.

SALLY SARA:

The farmers are saying there should be a mandatory code as we were saying. The voluntary code, that was introduced in 2015, that was under a Coalition government, wasn't it?

ANGUS TAYLOR:

Yeah, that's right. And look, as I say I don't want to get ahead on this one. What I'll always say, I'm a huge believer in the important role of competition in providing good outcomes to customers, and whatever we can do to make any of our sectors more competitive, to deliver a better outcome for customers at a time like this when real disposable incomes are really being smashed for hardworking Australians we'll back and we'll support.

SALLY SARA:

Do you think supermarket prices is an important thing to focus on, given the cost of living crisis at the moment?

ANGUS TAYLOR:

Yeah, well, look, the price of everything is important right now. I've just been through the sorts of things where we've seen these very sharp increases in prices. You gotta remember, Sally, that if you have inflation coming down, prices are still going up and the longer it takes for Australia to deal with this, if we are at the back of the pack in dealing with this, it means prices have gone up more in the meantime. This is why you've got to deal with this issue with some urgency. We heard the Prime Minister and the Treasurer say last year this was a priority. Well, it didn't appear to be. Now they're saying it's going to be a priority again. As I say, they've got a credibility vacuum on this one. But we'll back sensible policies because we do want to see Australians facing lower prices for their essential items they buy at the supermarket and elsewhere.

SALLY SARA:

So you're saying that the supermarket issue is important. We had the respected economist Chris Richardson on the program this morning. And he's saying that he doesn't think supermarkets are a particular cause of inflation in Australia, he doesn't think that this review is make or break for the inflation outlook. Do you agree with him?

ANGUS TAYLOR:

Well, I think Chris would say competition policy is important. I've had that discussion with him. And, you know, good competition policy is good cost of living policy. And so let's see what comes out of the review. And, you know, I agree with Chris, that inflation is a huge issue for all Australians and making ends meet is a real struggle for them right now, which is a point he's been making for some time. But as I say, we'll wait and see what comes out of the review. What what I will say is we'll back sensible policies, Australians are being hit very hard right now, at a time coming out of the festive period where they've got bills to pay, going into a new school year, and there's going to be a lot more bills to pay coming out of that. And this is a tough time for Australians.

SALLY SARA:

Does that include workers on the waterfront? Do you think they deserve a pay rise at the moment?

ANGUS TAYLOR:

Well, I think competition policy is important. I also think industrial relations policy is important to getting a good outcome. And you know, the ports have got to be competitive, and they've got to have good flexible industrial relations. Now, Labor hasn't intervened on what is a worsening situation, in the courts. I think their industrial relations legislation, risks, making the situation in the ports much worse. We all pay a much higher price, as Australians if our ports aren't working properly, we've learned that in the past. There's been big debates over the ports over many decades. And we know to have a competitive export sector and to have consumers paying the prices they should pay for goods, it's critical to have a competitive, efficient port sector. And there are very, very serious risks with what we're seeing on the waterfront right now.

SALLY SARA:

Are you expecting it to get worse?

ANGUS TAYLOR:

Well there's every sign at will, and you know, it's time for Minister Burke to intervene. I mean, to get control of this, and sort it out. We've called for that. Michaelia Cash has been calling for that. And that is what he should do.

SALLY SARA:

Just finally, some women in the Liberal Party have expressed concern that you're not on track to increase the number of women in parliament in the next election. What are you doing to deal with that issue?

ANGUS TAYLOR:

Well, we have many good women coming forward in the Liberal Party and will continue to. We've seen an extraordinary number of women in New South Wales, coming forward. And I've been supporting many, I've been writing references for some great women for pre selection, and I will continue to do it. This is important, we want the best people. And the best people include, in many cases, good women. And there's a lot out there. And I'm going to continue to encourage them, mentor them and provide every bit of support I can, because I think that's an important part of how we put our best foot forward. And we do that right across Australia. I mean, in regional areas and suburban areas. We've got to make sure we have that diversity of candidates to represent their electorates and their regions. And that's exactly what I'll continue to support.

SALLY SARA:

Angus Taylor we need to leave it there. Thank you for your time.

ANGUS TAYLOR:

Thanks Sally.

ENDS.