Legislative Council Fifty-Fifth Parliament, First Session (55-1) 55 1 Parliament of South Australia Legislative Council published Matters of Interest Cost of Living Cost of Living The Hon. H.M. GIROLAMO Legislative Council The Hon. H.M. GIROLAMO (16:02): I rise today to speak about the number one challenge facing many South Australians—the cost of living. Twelve months ago the cost of living was not a focus for many people. The focus was on health in the wake of COVID-19 and the many challenges faced there. Now 12 months on, and 11 interest rate rises, it is becoming more challenging for families to work out how to cover the increase in their mortgage, the increase in their rent, the massive increase in their electricity costs, and increases in basics like bread, milk, meat and everything in between. Concerns have been raised with me time and time again, and I am sure with many of us in here today, around the pressures families are facing with the cost-of-living crisis. The opposition has crunched the numbers on the skyrocketing prices for housing, food, electricity, petrol and other essentials for a family of four, comparing prices from 2022 to 2023. This relates to an average family of four, including two children aged eight and 12 who are attending the local public school. Mum and dad work full-time and earn an average weekly salary, sharing the cost of a mortgage of $500,000. The analysis shows that average families are now paying $16,886 extra each year compared to what they were paying 12 months ago. That equates to $324 a week, creating a challenge for everyday South Australians not seen since the so-called recession we had to have in the 1990s. Many South Australians have never experienced an interest rate rise but now have had 11 in a row, with only one month's grace. That is quite terrifying and a major component of the more than $16,000 needed by an average South Australian family, with $12,000 relating to additional interest rate charges. Yesterday's increase announcement by the RBA was a slap in the face to many South Australians. That is $12,000 on a $500,000 mortgage. The average house price in South Australia is now closer to $600,000 and many South Australian families are searching for far more than $16,000 a year. This is pushing many families below the poverty line and many are having to go without. The Labor Party will do their usual spiel about increasing concessions and building a hydrogen plant. That seems to be their go-to for anything cost-of-living related. However, this is not sufficient. The concessions are for the few and the hydrogen plant is many, many years off to see any electricity relief. Both the state and federal Labor governments need a plan. They need real action to tackle this crisis. As we all know, you will always be paying more under Labor. An average South Australian family is spending an extra $16,000 per year on basic cost of living compared with 12 months ago, and we need a plan from the government around cost of living, a plan around energy and a plan around housing. They need to work with the federal government, not just play the blame game against each other but work together for real action to support South Australians. Peter Malinauskas needs to outline how he will combat cost of living for everyday South Australians, provide a plan and implement it—not just talk, real action—like the Liberal government did with decreases in the emergency services levy and decreases in water bills, which was at the time covering the debt and reckless spending from the Weatherill government. Business confidence was at its highest under the previous Liberal government, through huge investment in our state, payroll tax cuts and other supports for businesses, which grew confidence. We hope to see the same under this government, but unfortunately they seem to be more focused on the glitz and glamour rather than finding results and solutions for South Australians during the cost-of-living crisis. As a Liberal, I believe in a hand up, not a handout. There are plenty of levers the government can utilise, both from a state and federal perspective. They are so focused on delivering on election commitments with no accountability and honesty to taxpayers. As we head towards a potential recession, we need to ensure there is a plan to increase investment in South Australia, cut red tape and reduce cost of living for South Australians.