Like most first budgets, this one focuses on cleaning up the mess of the previous government. But the broader picture is of making very clear to the public that the relatively rosy views of the economy made in March have been mugged by reality, and tough times are ahead.
The March budget had inflation growth of 3.5%; now it is 6.1% with tomorrow’s figures expected to be well above 7%. In March the cash rate was at the still pandemic emergency level of 0.1%; now it is 2.6%.
