Double cost of living blow for millions of Australians as Anthony Albanese increases a major tax – with energy bills also soaring from TODAY
- Beer tax and gas price hikes came into effect February 1
- Gas price rises depend on energy provider and locations
- Comes with first interest rate rise for 2023 expected next week
Millions of Aussies have been slugged with more price hikes as the cost of living crisis worsens.
Beer prices will soar to as much as $12 a schooner after a 3.7 per cent tax increase from the Albanese government came into effect on Wednesday, the second rise within six months.
Anthony Albanese’s price pain comes as Australia’s three biggest energy companies increased gas prices in five states and territories.
It coincides with the launch of an inquiry into the cost of living crisis.
The inquiry will hear from oil companies and supermarket chains to determine whether enough was done to stop skyrocketing prices.
Millions of Aussies have been slugged with more price hikes as the cost of living crisis worsens. Pictured is Prime Minister Anthony Albanese with his partner Jodie
Origin Energy, EnergyAustralia and AGL increased their gas tariffs on Wednesday, which will impact on customers in NSW, Queensland, Victoria, South Australia and the ACT.
Price hikes vary depending on location and provider.
EnergyAustralia customers in Victoria on variable market contracts will see their bills go up by as much as 26 per cent.
Origin Energy says Victorians will pay 21.1 per cent more from February 1, while Queensland customers will fare much better with a 5.8 per cent rise.
Origin’s small business customers can expect an average increase of 10.5 per cent or $579 per year.
Origin’s executive general manager for retail Jon Briskin blamed the global gas shortage for the increase in costs.
‘Increasing prices is never a decision we take lightly, especially at the moment when we know some people are struggling with higher costs of living,’ Mr Briskin said.
‘Like all retailers, we have been facing materially high gas costs over recent months caused by the war in Ukraine which has put pressure on global gas supplies, which means it costs us more to supply gas to our customers.’
Origin Energy, AGL and Energy Australia have increased gas prices which has added more price pain for struggling household
The latest beer tax is linked to inflation, which earlier this week saw the highest annual leap since 1990.
Australians now pay the fourth highest beer tax in the world, behind Japan, Finland, and Norway.
As Brewers Association lobbied for a two-year freeze on tax increases, federal treasurer Jim Chalmers indicated it won’t be forthcoming.
‘This is the usual, automatic indexation change that happens twice a year under governments of both persuasions and it’s not a new decision of this government,’ a spokesperson told Nine News.
‘We listen respectfully to ideas put to us but these have to be weighed up against other priorities and fiscal challenges – with a budget that’s heaving with a trillion dollars of debt. ‘
However Dr Chalmers has hinted help is on the way amid fears more homeowners will face higher mortgage stress in the coming months.
Beer prices will soar to as much as $12 a schooner, the second increase within six months
One fifth of mortgage holders who signed up for a home loan during the pandemic period of ultra low interest will have their fixed rates rolled over by the end of the year.
Most of the loans taken out during that period were struck at interest rates of between 1.75 per and 2.25 per cent.
Since then, the Reserve Bank has aggressively hiked the cash rate in an attempt to curb skyrocketing inflation, which hit 7.8 per cent in the year to December.
‘We are very concerned about people coming off fixed rates on to much higher variable rates,’ Dr Chalmers told ABC’s 7.30 on Tuesday.
‘That will be a key pressure and a key concern in 2023.’
‘Our job is to provide that relief where we can do it in a responsible and affordable way.’
‘It is about getting wages moving and that’s our focus.’
The RBA will hold its first meeting of the year next Tuesday, where the first interest rise for 2023 is expected.
What much more you’ll pay for gas
Victorian customers will cop the biggest rise by paying 21.1 per cent more.
NSW customers will see prices rise by about 8.1 per cent or approximately $90 per year while Queenslanders will see a 5.8 per cent rise.
Small business customers can expect an average increase of 10.5 per cent or $579 per year
NSW customers will see an average rise of 9.0 per cent in their next bill, or around $78 per year.
South Australians will pay 6.2 per cent more while Queenslanders will fare the best with a five per cent increase
Victorian gas customers on variable market contracts will see their bills go up by up to 26 per cent from February 1.
Read more at DailyMail.co.uk