Open figure viewer
Significance
Anchored by cash handouts and tax relief for consumers, Frydenberg presented the budget as the next phase of a post-pandemic economic strategy but many of its provisions have strong political overtones that should assist the Liberals and the Nationals, their partners in the governing coalition. The next general election must be held by mid-May.
Impacts
Projections in the budget could change, as the Labor Party will review all funding allocations if it wins in May.
Frydenberg’s ambitions to succeed Morrison as coalition leader will get a lift from his astute fiscal management.
Despite tax cuts, the failure to address rising living costs and static wage growth will hurt the government’s re-election hopes.
© Oxford Analytica 2022. All rights reserved. This content contains general information about geopolitical, macroeconomic and social developments or (where stated) other matters. It does not contain advice or recommendations that may be relied on. Where links to external websites are provided, this does not indicate that Oxford Analytica or Emerald agree with, endorse or have checked for accuracy the contents of said sites.
2022
You do not currently have access to this content.
