South Australian families continue to shoulder the burden of the cost of living crisis

South Australian families continue to shoulder the burden of the cost of living crisis

Posted on: 19 June 2023

South Australian families battling the cost of living crisis have not only received no new relief in yesterday’s budget but increased government taxes, fees and charges means they are now even worse off.

The typical family was already nearly $20,000 worse off than they were at the 2022 State Election but with Peter Malinauskas breaking his promise of “no tax increases”, household budgets will be pushed to breaking point.

The startling $20,000 figure has come from Opposition analysis based off skyrocketing prices for housing, food, electricity, petrol, and other essentials for a family of four - comparing today’s prices with those from March 2022.

With government taxes, fees and charges being jacked up by 4.8 per cent and electricity bill rises of up to 30 per cent that come into effect on July 1, there is further pain on the horizon for South Australian households and businesses already struggling with the highest electricity prices and highest inflation in the country.

To make matters worse, by blowing the budget and increasing government expenditure to an eyewatering $29 billion a year, Peter Malinauskas will add fuel to the inflation fire, making cost of living even worse.

Shadow Treasurer Matt Cowdrey said the Opposition had called for broad cost of living relief which doesn’t further contribute to inflation - like a $250 energy rebate for all South Australian households – with similar schemes introduced in other states and territories.

“The everyday South Australian household is now forking out an extra $400 every week, and Peter Malinauskas has not only ignored them, but he’s actually added to their woes,” Mr Cowdrey said.

“Before the election Peter Malinauskas said ‘no tax increases and the state budget will be kept in surplus’, but within a year he’s already broken both those promises and families and businesses will be the ones paying the price.

“South Australia already has the highest electricity prices and inflation in the country and Peter Malinauskas has done nothing to help.”

Shadow Minister for Finance and Tax Reform Heidi Girolamo said Labor simply can’t be trusted when it comes to managing taxpayer funds.

“Peter Malinauskas should have been in a position to provide broad cost of living relief but because of his inability to manage the budget South Australian families and businesses are left to pay the price,” Ms Girolamo said.

“A typical South Australian family on an average salary and with an average mortgage have been abandoned by Peter Malinauskas with him prioritising pet projects and fun times over providing cost of living relief.

“Huge spending by Peter Malinauskas and his federal Labor counterparts has directly impacted inflation and made the cost of living crisis even worse for South Australians.”

The Opposition’s calculations relate to an average family of four including two children aged eight and 12 who attend a public school. Parents work full-time and earn an average weekly salary, sharing the cost of a mortgage of $500,000.

The family has private health insurance, two cars, RAA memberships, streaming services, internet, and three mobile devices. They also have summer and winter sports club memberships and travel domestically once a year.