As interest rates climb and inflation remains stubbornly high, Australians are feeling the squeeze more than ever. With cost-of-living pressures mounting, many are asking: What can the government do to help? Micaela Fuchila from Jarden has laid out some crucial steps the Albanese government can take to limit inflation\u2019s growth \u2014 and it starts with no more subsidies.<\/p>\n\n\n\n
Micaela Fuchila, Jarden\u2019s chief economist, isn\u2019t holding back on what needs to be done to keep inflation in check. One of the most pressing issues, she argues, is subsidies. While many may think that giving rebates like the power subsidies that were phased out at the end of 2025 helps, Fuchila says it\u2019s a temporary fix at best. Essentially, while rebates might offer a quick relief, they ultimately push prices higher, making it harder for inflation to come down, reports Sky News.<\/a><\/p>\n\n\n\n It\u2019s a tough pill to swallow, especially when households are already struggling. But Fuchila\u2019s point is simple: if we want inflation to ease in the future, we have to stop propping up costs now. If the government can find ways to reduce price pressures without relying on short-term subsidies, it would go a long way toward tackling the core issue.<\/p>\n\n\n\n