Firms would have been less able to accelerate prices and inflation with proposed competition policy, Chalmers says

The treasurer, Jim Chalmers, said on Wednesday that by making Australia’s economy ‘more competitive … we can put downward pressure on prices’ and overall inflation. Photograph: Mick Tsikas/AAP

Firms would have been less able to use market power to push up prices and overall inflation had the government’s proposed changes to competition policy come into force three years ago, treasurer Jim Chalmers said.

Chalmers on Wednesday unveiled proposed reforms that would force firms to submit merger plans to the Australian Competition and Consumer Commission for approval. The size of the deals that will trigger the scrutiny will be set after a consultation period, with the government aiming to implement the changes by the start of 2026.