Latest / The Morning Edition / Is the PM at risk of "Albo derangement syndrome"?
Transcript
- 0:00S1: Hi, I'm Jacqueline Maley. Welcome to Inside Politics from the
- 0:03S1: newsrooms of the Sydney Morning Herald and The Age. And
- 0:07S1: welcome back to the show, to Paul Satchell, our national
- 0:10S1: political correspondent. We actually haven't been together for a while. Paul,
- 0:13S1: the band's back together. Finally. It's been weeks, months.
- 0:16S2: It's been a huge delay. Yeah, it weeks a long
- 0:19S2: time in politics. Two months is an eon.
- 0:22S1: Yes. And there's so much to talk about this week.
- 0:24S1: First of all, I want to ask you about an
- 0:26S1: interesting story that you had about a rift between the
- 0:29S1: nationals and the Liberals. And this is not something that
- 0:32S1: we've really heard about at all since the couple of
- 0:35S1: big bust ups that the coalition partners had under the
- 0:37S1: leadership of Sussan Ley, which were very public, and from
- 0:40S1: what I could tell, forgive me for editorializing. Rather pointless.
- 0:44S1: What's going on now between the libs and the Nats?
- 0:46S1: What are the fault lines of their dispute?
- 0:49S2: Well, I think you're right. Those previous splits were pointless,
- 0:52S2: but the reason they occurred is because there was a
- 0:55S2: huge level of animus and mistrust between the two leaders
- 0:59S2: at the time being Susan Lee and David Littleproud. Both
- 1:02S2: of them had minimal authority in their party rooms and
- 1:05S2: wanted to have fights to entrench their positions. And the
- 1:08S2: difference now is that Matt Canavan, the new Nats leader,
- 1:10S2: and Angus Taylor both have much more authority in their
- 1:13S2: party rooms but crucially, have quite a lot of respect
- 1:16S2: for one another and want to keep the show together.
- 1:19S2: Despite that though, Matt Canavan is in an existential crisis
- 1:23S2: in the National Party. I mean, the the Liberal Party
- 1:25S2: is also having a pretty torrid time in dealing with
- 1:28S2: One Nation, and it has a rocky future if things
- 1:30S2: don't improve. But the nationals really do face a wipeout
- 1:34S2: in the regions if things don't change. And so for
- 1:36S2: that reason, you're seeing Matt Canavan push out onto the
- 1:39S2: right flank really forcefully and aggressively to counter Pauline Hanson.
- 1:44S2: This is a person who spent years as a backbench
- 1:47S2: maverick setting the agenda on populist right issues, but now
- 1:51S2: he's trying to lead a party and follow due process.
- 1:54S2: And just on a few issues, you're starting to see
- 1:55S2: some cracks emerge on the EU free trade deal. Matt Canavan,
- 1:59S2: who supports tariffs and is a more protectionist figure than
- 2:02S2: Angus Taylor and many in the Liberal Party, went out
- 2:05S2: really early and said the EU FTA that Labour has
- 2:07S2: proposed is a dud deal. And, uh, controversially, a couple
- 2:11S2: of weeks ago declared the Liberal Party's position and said
- 2:14S2: the Liberal Party was opposed to it. I was sitting
- 2:16S2: with the shadow minister when that story dropped in the
- 2:18S2: Australian at about 9:00. I was having a drink and
- 2:21S2: they said, what the hell, we have not approved this.
- 2:24S2: And this created a little mini crisis. Uh, Taylor has
- 2:27S2: tried to defuse it, and he agrees with Canavan's criticisms
- 2:31S2: of the deal, but it has exposed this tension where
- 2:34S2: Canavan feels the need to push out to the right early.
- 2:37S2: That's locking the Liberal Party into positions they may not
- 2:39S2: be fully comfortable with. And so there are just some
- 2:42S2: cracks starting to emerge. The other issue being AI.
- 2:45S1: Yeah. Okay. And on AI, it looks like the Nats
- 2:48S1: are moving towards a sort of not exactly an anti
- 2:51S1: AI position, but an anti data centre position, which is
- 2:54S1: kind of fair enough because a lot of the data
- 2:56S1: centers proposed are in regional and rural electorates.
- 3:00S2: Yeah. That's right. And I was reading a good piece
- 3:03S2: in The Economist about the midterms and how data centers
- 3:07S2: are influencing influencing races there. There's some great data on, uh,
- 3:11S2: the closer a voter, a Republican voter is to a
- 3:14S2: data center, the more likely they are to be drifting
- 3:17S2: away from Donald Trump, who's been a really strong supporter
- 3:20S2: of AI and says that they're needed in America to
- 3:23S2: counter Chinese tech dominance. But voters aren't liking them because
- 3:27S2: they make a lot of noise. They're using too much
- 3:29S2: water and energy in the US because we're not strong
- 3:31S2: guardrails put around them. And you're just starting to see
- 3:34S2: signs of that among conservatives in Australia. David Littleproud, the
- 3:38S2: former Nats leader who we just mentioned, has a $32
- 3:41S2: billion data center planned in his huge electorate of Maranoa,
- 3:45S2: which is about the size of Victoria. Uh, and he
- 3:48S2: has come out and become quite skeptical on that data
- 3:50S2: center which anthropic wants to use. Garth Hamilton, another conservative
- 3:54S2: LNP member who's in the seat next door, is fully
- 3:57S2: opposed to it and is calling for a moratorium. And
- 4:01S2: what this displays is that you're starting to see conservatives
- 4:05S2: and people on the left and the Greens start to
- 4:07S2: animate pretty strongly against AI data centres and say, hey,
- 4:10S2: what is the benefit here? We understand there's a national
- 4:13S2: security imperative. We understand there's a long term economic imperative.
- 4:17S2: But when you're trying to counter One Nation, if you're
- 4:19S2: a nationals MP who will no doubt start to piggyback
- 4:23S2: off local concerns about data centres and portray them as
- 4:27S2: a kind of factory of the elites in our community,
- 4:31S2: you're starting to see LNP and Nats members push out
- 4:34S2: in that direction, which makes it more difficult for the
- 4:36S2: Liberal and Labour parties and their two leaders to work
- 4:39S2: together to come to a kind of national bipartisan consensus
- 4:42S2: on AI.
- 4:43S1: Yeah, which is what they sort of look like they
- 4:45S1: want to do. I mean, and I think it's also
- 4:48S1: a problem for the government, because the government obviously has
- 4:50S1: fairly low levels of trust in the electorate at the moment,
- 4:53S1: and at the same time, they have low levels of trust.
- 4:55S1: They're like, trust us. You know, the big AI companies, um,
- 4:59S1: are going to be great and going to deliver these
- 5:01S1: huge benefits to the economy. Well, they're not delivering those
- 5:04S1: benefits to the economy now. In fact, it looks like
- 5:06S1: they're adding kind of inflation to the economy, the building
- 5:09S1: of data centers. And it's very, very intangible and amorphous.
- 5:13S1: This idea that the AI data centers are somehow going
- 5:15S1: to contribute or benefit ordinary Australians going about their business.
- 5:21S2: However, we'd have no GDP growth without them at the moment.
- 5:24S2: So there's there's different there's different threads here and so
- 5:27S2: many clashing imperatives.
- 5:29S1: Yeah. And it's not something we can sort of shut
- 5:31S1: out or turn our back on. I don't think we've
- 5:33S1: got to deal with it somehow. There's also been reports
- 5:35S1: that Matt Canavan might move to the lower house because
- 5:38S1: Michelle Landry, who's the member for Capricornia in northern Queensland,
- 5:41S1: she's retiring at the next election. So that would open
- 5:44S1: up that seat, which is in Matt Canavan's kind of backyard. Uh,
- 5:48S1: what how would that change the dynamic between the coalition partners.
- 5:52S2: Well, I suspect Canavan has not been clear on whether
- 5:55S2: he will make this move. He's been hinting at it,
- 5:57S2: but it's been widely speculated on for more than a year.
- 6:00S2: Matt Canavan lives in the area around Rockhampton. He's got
- 6:04S2: a strong local profile. He's worked the branches and communities
- 6:08S2: there for a long time, and it's quite unusual for
- 6:11S2: any major party leader to be in the Senate where
- 6:14S2: Matt Canavan currently sits. And to really try and get
- 6:19S2: the Nats back into the game and develop a bigger
- 6:21S2: national profile, which the party desperately needs to do, it
- 6:25S2: would make sense for Canavan to switch to the lower house.
- 6:28S2: There's been speculation that A that a prominent One Nation
- 6:30S2: member could run in that seat, such as James Ashby,
- 6:33S2: who's the kind of consiglieri of Pauline Hanson who also
- 6:37S2: lives in the area. Ashby's been a bit coy about
- 6:39S2: whether he'll do that. I suspect he won't want to
- 6:41S2: take the risk because he's making lots of money running
- 6:43S2: One Nation and setting up their strategy behind the scenes
- 6:47S2: in their head office. But shifting to the the lower
- 6:49S2: house would give Canavan a national profile and draw a
- 6:52S2: lot of attention to the One Nation versus nationals contest.
- 6:57S2: It's quite hard for any coalition member to kind of
- 6:59S2: permeate the algorithm at the moment, but if Canavan tries
- 7:02S2: to run in the lower house, creates this big showdown
- 7:05S2: with a One Nation member, it will put the issue
- 7:08S2: in lights, and he's a pretty skilled performer, Canavan, so
- 7:11S2: I suspect he will make that move.
- 7:12S1: Yeah, I think he's a compelling politician, but I don't
- 7:16S1: I would not say that he's cut through or particularly
- 7:18S1: made a mark in the broader community as nationals leader,
- 7:22S1: because there's just been so much focus on focus on
- 7:24S1: One Nation. And if Angus Taylor has failed to cut
- 7:27S1: through or struggle to cut through, then Matt Canavan even
- 7:30S1: more so. So, as you say, maybe a move to
- 7:32S1: the lower house will will benefit him, give him a
- 7:34S1: higher profile. I want to move from the the country
- 7:38S1: from northern Queensland to the heart of Sydney's inner west.
- 7:41S1: I think you know where I'm going with this. The
- 7:43S1: Prime Minister has tied himself up in knots this week
- 7:46S1: over his local club, the Marrickville Golf Club. And I
- 7:51S1: know this club. I've been to this club. It's on
- 7:54S1: a beautiful part of the cooks River. He has basically
- 7:57S1: been accused of misleading Parliament over it because he talked
- 8:00S1: about this $6 million federal grant, which went through sort
- 8:04S1: of no meritorious or no merit based process at all.
- 8:07S1: And he basically said it was to do sewage works
- 8:11S1: on the golf club.
- 8:13S3: When it rains, raw sewage goes into the river. We're
- 8:18S3: funding it, we're fixing it. That's what good governments do.
- 8:22S1: And it turns out that wasn't the case at all.
- 8:25S1: In Senate estimates, it emerged this week that the federal
- 8:27S1: grant money was not for the sewage works that was
- 8:29S1: actually covered by a separate state government grant.
- 8:31S4: The scope of the project. Did it include sewerage works
- 8:36S4: or not? Sewerage works. It does not include sewerage work.
- 8:40S1: What's gone on here is the Prime Minister badly briefed,
- 8:43S1: or did he deliberately mislead people?
- 8:45S2: Well, since they've started to receive scrutiny on this grant, Jack,
- 8:49S2: they have been arguing that there is this meritorious element
- 8:54S2: of the the $6 million in funding, which is to
- 8:56S2: fix the sewerage works around the golf club. I might
- 8:59S2: just go into the history just to highlight the kind
- 9:02S2: of absurdity of this debate. Back in the coalition era,
- 9:06S2: as people will remember, Bridget McKenzie, the nationals minister, was
- 9:10S2: dropped from cabinet because she used a competitive, tender process,
- 9:14S2: which is meant to be open up to all different
- 9:16S2: kinds of clubs, and then you pick the most meritorious
- 9:19S2: grant and you give it to them. She was accused
- 9:21S2: of favouring a gun club that she had a personal
- 9:24S2: link to, and this created a huge scandal about these grants.
- 9:27S2: There were lots of calls to stop them being done
- 9:29S2: in this way and to make them fairer, to get
- 9:31S2: around this, and to not use competitive open grants to
- 9:34S2: favour their political friends. Labor uses a different process through
- 9:38S2: election promises, to fund hundreds of millions of dollars of
- 9:41S2: similar grants, and election commitments are not merit based. They
- 9:46S2: effectively are. Each candidate and Labor Party head office is
- 9:49S2: involved in this. Picks a golf club or school or
- 9:52S2: whatever it is in their seat and they promise money
- 9:55S2: and if they win the election, they make the funding.
- 9:58S2: It does go through a departmental process, but as Rob
- 10:00S2: Harris and Nick Newling wrote, 98% of them are approved. Yeah.
- 10:04S1: So it's not a merit based process. I mean, to
- 10:06S1: be fair, to be fair to the government, they they
- 10:09S1: were up front about it. Like there's no there's no
- 10:11S1: there's no sort of skullduggery here. It is what it
- 10:13S1: says on the packet kind of thing. It was always
- 10:16S1: going to be an election based grant and it was
- 10:17S1: given to this golf club. He just said it was
- 10:19S1: for sewerage. And it's actually not for sewerage. It was
- 10:21S1: for works on the building.
- 10:23S2: Yeah, exactly. Right. And so labor argues that it doesn't
- 10:26S2: need to go through a merit based process. These are
- 10:28S2: election commitments and we're funding our election promises. But then
- 10:31S2: once the media started to dig through all these grants
- 10:34S2: and tie individual clubs with MPs, including the golf club
- 10:38S2: and the Prime Minister who have a personal link there
- 10:41S2: becomes it inflames a debate about whether even election commitments
- 10:46S2: done in this way are appropriate because the public looks
- 10:48S2: at it and says, well, okay, you didn't go through
- 10:50S2: a merit based process. It's an election commitment. But should
- 10:53S2: we be really doling out hundreds of millions of dollars
- 10:56S2: to anybody who the MP favours?
- 10:59S1: It's still it's still taxpayer money, and it should always
- 11:02S1: be awarded according to a merit based scheme. I think
- 11:05S1: most people would probably assume that that was the case
- 11:07S1: with taxpayer grants.
- 11:08S2: Exactly. And so in its defence, the government has formed
- 11:13S2: this talking point that this grant was for a very
- 11:16S2: meritorious reason to fund, uh, sewerage. However, the initial press
- 11:22S2: release doesn't indicate any such purpose. And at Senate estimates
- 11:26S2: this week, the government's exposed as having not funded sewerage works,
- 11:30S2: which were actually funded by the state government. So in
- 11:32S2: trying to defend their case on this grant and trying
- 11:35S2: to create the sense that it does have merit, even
- 11:38S2: though they have designed a scheme to ensure that merit
- 11:41S2: is not core to the funding. They've tangled themselves up
- 11:45S2: in this, and it fits. It fits a broader pattern
- 11:48S2: of this government not being able to, um, deal with
- 11:51S2: what initially started off as potentially trivial political issues. I
- 11:55S2: think of the Bush Deep podcast, which just a required
- 11:58S2: apology on day one. Oh.
- 12:00S3: Kylie, clearly.
- 12:02S5: You'd marry Kylie and Shagger and data.
- 12:04S3: All of the above.
- 12:05S5: All right. It's a triple.
- 12:06S3: She's terrific.
- 12:08S2: The government is now in a pattern of not being
- 12:10S2: able to manage these political problems, create an atmosphere of
- 12:13S2: defensiveness in the parliament, allowing the opposition to feel like
- 12:17S2: they're on to a winner and setting the agenda because
- 12:20S2: the government's on the back foot. Even though these issues
- 12:22S2: may not be shifting any votes, it does change the
- 12:25S2: atmosphere in Parliament and creates a perception that Labour is
- 12:28S2: in a perpetual sense of crisis on these issues.
- 12:30S1: Yeah, it's a big gotcha from from the coalition and
- 12:33S1: a very worthwhile story from the ABC. Constitutional law expert
- 12:37S1: Anne Twomey has called this grant scheme grey corruption. So
- 12:41S1: there's sort of the, you know, that issue of whether
- 12:42S1: or not the grant scheme should even exist. And I
- 12:44S1: would argue it absolutely shouldn't. There's also and there's a
- 12:48S1: hypocrisy angle because Labour went so hard on sports rorts.
- 12:51S1: And here they are doing something sort of analogous, if
- 12:53S1: not totally similar. But as you say, I wonder if
- 12:56S1: this just goes towards the image of the PM being
- 12:58S1: someone who just kind of can't take responsibility or who
- 13:02S1: shirks accountability a little bit because he did admit his
- 13:05S1: mistake in Parliament.
- 13:07S6: Will the Prime Minister give Australians a straight answer, admit
- 13:10S6: he misled the House and correct the record?
- 13:14S3: I have said that it was not correct. It was
- 13:16S3: not correct. The state government have moved in and are
- 13:19S3: funding the project.
- 13:21S1: But he didn't say, I'm sorry, I got that wrong,
- 13:23S1: which is kind of all that was required. And maybe
- 13:26S1: the same with the Japanese Prime Minister and the Mellons.
- 13:29S1: Just to say, I really got that wrong. I really,
- 13:32S1: you know, that was inappropriate and I apologise. Move on.
- 13:35S1: Same with the falling off the stage thing. Remember that
- 13:38S1: in the election campaign where he sort of wouldn't admit
- 13:40S1: that he fell off the stage?
- 13:42S3: You know, I stepped off the stage. I didn't fall
- 13:45S3: over on my backside, I stumbled. That's what happened.
- 13:52S1: I just wonder if there's a perception, definitely being fomented
- 13:56S1: by the coalition, that this is a guy who just
- 13:58S1: kind of can't admit when he's wrong.
- 14:01S2: And the interesting thing about all of those moments, Jack,
- 14:04S2: is that none of them are really high stakes.
- 14:06S1: No. That's what always gets them, though, I reckon.
- 14:10S2: They create a kind of long running image of a
- 14:13S2: of a prime minister that's unwilling to concede in a
- 14:16S2: similar way to, you know, John Howard has owned up
- 14:19S2: to issues famously, Peter Beattie, Chris Minns last week owned
- 14:22S2: up to an issue around train timetabling and just said,
- 14:25S2: I got it totally wrong. Yes. I'm conscious. Conscious that,
- 14:29S2: you know, there is a sense on the right. If
- 14:31S2: you talk to the coalition and you watch Sky After Dark,
- 14:34S2: there is a sense they put forward a sense that
- 14:37S2: everyone in the Australian public has given up on this
- 14:39S2: Prime Minister, and they know he's a massive liar. Now,
- 14:41S2: I think that feeds into what Nick Dyrenfurth, the think
- 14:44S2: tank leader, has started to call Albo Derangement syndrome, where
- 14:47S2: the right thinks he's the most hated man in the public.
- 14:49S2: I'm not convinced they're there yet, but but there is
- 14:52S2: a serious risk here if this keeps going and he
- 14:55S2: doesn't kind of, um, do something mid-term to upend the
- 14:58S2: political dynamic and create some new energy and momentum for
- 15:02S2: the government that this perception does stick.
- 15:04S1: Yeah. Look, I think the polls don't bear that out because,
- 15:08S1: you know, labor is still got a lead in the polls.
- 15:10S1: It's not like a lead that you would want to
- 15:12S1: write home about, but it would still return them to
- 15:15S1: government if an election was to happen tomorrow. And that
- 15:18S1: is a pretty unusual position for any government to be
- 15:21S1: in mid-term. And I think it says a lot about
- 15:23S1: the strength or the weaknesses more likely of the opposition.
- 15:26S1: But I do think, yeah, the government seems to be
- 15:28S1: drifting a little bit, like there does seem like a
- 15:30S1: little mid-term drift, and we just don't we haven't heard
- 15:33S1: anything sort of strong or visionary or sort of forward
- 15:36S1: facing from Anthony Albanese, perhaps in a little while. They um,
- 15:40S1: they will, I'm sure, crack back in the new year.
- 15:43S1: I want to talk about like sort of the, the
- 15:45S1: main bit of political news. I suppose it'll happen before
- 15:49S1: the end of the year is the mid-year budget update,
- 15:51S1: which happens I think, in early December. So that's a
- 15:54S1: really important set piece for the government. And it does
- 15:57S1: give them an opportunity to change the narrative or to
- 15:59S1: reset the narrative on the economy, which, let's face it,
- 16:02S1: is not going well for them. Jim Chalmers is under
- 16:04S1: so much pressure, it seems at the moment, and people
- 16:08S1: are basically saying that, you know, the government has has
- 16:11S1: added to inflation by spending too much in the economy.
- 16:14S1: There's a lot of people who say that the mid-year
- 16:17S1: budget update looks like it's going to contain some cuts
- 16:19S1: to sort of maybe answer those criticisms. What are you
- 16:23S1: sort of hearing from the Treasurer's office about how to
- 16:25S1: reset things for him?
- 16:27S2: Well, I think at this moment the government's a bit
- 16:31S2: paralysed on its economic message. It. It didn't see. And
- 16:36S2: the RBA didn't see. And no commentator saw Australia being
- 16:40S2: in the position it's in late in the year now
- 16:44S2: with four interest rates or four interest rate rises already
- 16:47S2: this year, one coming on Cup day almost certainly and
- 16:51S2: potentially another one in February next year. This was unforeseen.
- 16:55S2: Australia has responded in terms of how our economy is
- 17:00S2: reacted to the exogenous shock of the war in Iran.
- 17:04S2: It's responded uniquely poorly among G7 and G20 nations in
- 17:10S2: terms of how our inflation. Yeah, it has in terms
- 17:13S2: of what it's done to Australian inflation. Yeah. So the
- 17:15S2: average inflation rate across advanced economies is about 3%. We've
- 17:19S2: ticked up into the fours. Our economy because it had
- 17:24S2: a lack of kind of supply side space coming into
- 17:27S2: this shock because of our poor productivity rate because government
- 17:30S2: spending was high, because the AI boom was adding spending
- 17:33S2: in the economy. So business investment was ticking up. It's
- 17:36S2: not just government spending, it's private spending as well. But
- 17:39S2: also state government spending has been really high because of
- 17:43S2: all of these factors combined. Our economy has not been
- 17:46S2: able to withstand the shock in Iran, the shock caused
- 17:49S2: by the war. But no.
- 17:51S1: No economy has.
- 17:52S2: No economy has. But we've had a higher um we've
- 17:55S2: had a rate hike in cycle that is unique among
- 17:58S2: similar economies.
- 17:59S1: Yeah. And Michelle Bullock so RBA governor Michele Bullock was
- 18:02S1: in Senate estimates this week. And she was grilled very
- 18:05S1: heavily by Senator Jane Hume, Liberal Senator, about the government's
- 18:08S1: spending basically. And she did say she disagreed with Hume's
- 18:12S1: suggestion that domestic factors were the major driver of inflation.
- 18:16S1: She said I don't think you can draw that conclusion
- 18:18S1: at all. But she did say that the problem for
- 18:20S1: us was that we started from a position of excess demand.
- 18:23S1: So before this sort of inflationary cycle began, before Trump
- 18:27S1: got us into this unnecessary and inflationary war in Iran.
- 18:31S1: Australia was already in bad shape in terms of excess
- 18:33S1: demand in the economy.
- 18:34S2: Exactly. And put it even aside, the political blame game
- 18:37S2: about which governments to blame or whether it's, um, state
- 18:41S2: or federal spending or private spending or government spending. The
- 18:44S2: fact is, we're in a really difficult scenario now, and
- 18:48S2: the government doesn't have a political problem here in terms
- 18:51S2: of dealing with some ascendant coalition or Hanson setting the
- 18:55S2: terms on the economic debate. They've just got a they've
- 18:58S2: got a reality problem. We have embedded inflation and a
- 19:03S2: pretty large deficit, not as large as other countries. But
- 19:08S2: if you spoke to almost any economist, they would say
- 19:10S2: the budget deficit. We are running in a moment when
- 19:13S2: government needs to be pulling back is too large, but
- 19:16S2: the government has all these spending pressures on health and
- 19:19S2: ageing and defence and all the worthy things that we
- 19:22S2: know that need to be spent on, that still need
- 19:24S2: to continue to grow. And they're paying more on their
- 19:26S2: interest bill because bond yields are up, are up around
- 19:29S2: the world. But there is a growing imperative and a
- 19:31S2: growing consensus among think tanks, economists in the parliament, even
- 19:35S2: in Labor's cabinet and backbench, that the government has to
- 19:39S2: do something to pivot, to take heat out of the economy. Now,
- 19:43S2: where they go on, that is hard and there are
- 19:45S2: no easy choices and there are trade offs everywhere. And
- 19:49S2: Chalmers has a perilously difficult job. But there is a
- 19:52S2: growing sense that something must be done, and at this
- 19:54S2: point the government doesn't have the answer and they're still
- 19:57S2: wading through it. And that's why you're not seeing any
- 19:59S2: rhetorical pivot quite yet, because I think they don't know
- 20:02S2: where to go. But I suspect you'll see some effort
- 20:06S2: over summer or in that myefo to do something to, to,
- 20:09S2: to at least make it look like they are working
- 20:12S2: hard to counter inflation because currently their lines are tired.
- 20:16S2: There is no new messaging. There is no kind of
- 20:18S2: acceptance of the changed, severely changed reality. And I think
- 20:23S2: there's enough momentum in the government now to do something here.
- 20:26S2: It's just not clear where they go yet.
- 20:27S1: Yeah, it's almost like a public acknowledgment would go a
- 20:30S1: long way from the Prime Minister, the treasurer, to to
- 20:33S1: his credit, I think has worked very hard on this
- 20:36S1: in recent weeks because he I guess he's feeling backed
- 20:38S1: into a corner a little bit. He's tried to go
- 20:40S1: on the front foot like he did with with this
- 20:43S1: podcast and explain himself to the Australian people and to communicate.
- 20:47S1: But we haven't heard that so much from the Prime Minister,
- 20:50S1: this kind of, you know, this idea, particularly after next
- 20:52S1: Tuesday when rate rises, when the rate rises will probably
- 20:55S1: happen again. I know you're doing it tough. I know
- 20:58S1: how hard it is for ordinary, um, ordinary working people
- 21:01S1: at the moment. And you know, it's I, it just
- 21:04S1: all goes to this real sense of hopelessness. I think
- 21:06S1: that people that is really gaining traction in the election
- 21:09S1: and electorally, that hopelessness just goes towards one nation, I believe.
- 21:14S1: And we're going to see this previewed in the Victorian
- 21:17S1: election in November, and we're going to see it previewed
- 21:20S1: in the New South Wales state election in March. and
- 21:25S1: I don't think it's going to be pretty for labor.
- 21:27S2: Yeah, I suspect suspect you're right. And even during the,
- 21:31S2: the budget, um, in May, which was a really contentious
- 21:34S2: budget that caused labor to lose some paint, as Jim
- 21:38S2: Chalmers admitted to us, it also caused the coalition's primary
- 21:41S2: vote to drop slightly, which was, um, bucked all expectations.
- 21:45S1: How did they manage that?
- 21:46S2: Yeah. It goes to your point that when when people
- 21:48S2: feel frustrated, they're shifting to one nation. Um, but yeah,
- 21:51S2: to your point on the podcast, Jack, you're right. Chalmers
- 21:53S2: has tried to well, there's been, there's, there's different interpretations
- 21:57S2: of what he's been trying to say. He said in
- 21:59S2: the podcast and then repeated kind of yesterday that, you know,
- 22:02S2: he takes his share of the blame for the pressure
- 22:04S2: on the government, but that it's up to others to
- 22:07S2: talk about their segment of blame.
- 22:10S7: And so I think it's only right and only fair
- 22:14S7: that I put my hand up and take responsibility for
- 22:16S7: my share of that. The way that other people describe
- 22:18S7: their role in that and their responsibility for that is
- 22:21S7: up for them, up to them.
- 22:23S2: And in the podcast with us, he was even more direct.
- 22:25S2: He said, it's up to prime ministers. He used plural,
- 22:27S2: which was odd, and.
- 22:29S1: I wasn't aware we had more than one.
- 22:30S2: Of those. Yeah. To describe their role in the current problem.
- 22:33S2: So that's been interpreted particularly today in the Australian as
- 22:36S2: a kind of snipe at the Prime Minister. I suspect
- 22:39S2: Chalmers is trying to remind the public, hey, I'm not
- 22:42S2: the only one in charge here. I'm not really in
- 22:44S2: Albanese's inner circle. Katy Gallagher, the finance minister, is Mark Butler,
- 22:49S2: the health minister is. Penny Wong is an. Albo runs
- 22:53S2: the place. The Prime Minister runs the place. So hey,
- 22:55S2: it's not just me here.
- 22:56S1: Yeah, I think that you always see that kind of
- 22:58S1: division and fractiousness within cabinet and certainly between prime ministers
- 23:03S1: and treasurers, particularly when things are going a bit south. Paul,
- 23:07S1: that was a fascinating chat and we're going to keep
- 23:09S1: an eye on this, particularly the economy. I just think
- 23:11S1: it's very, very pertinent. And it's really the only it's
- 23:14S1: really the only game in town at the moment, apart
- 23:16S1: from apart from golf clubs. Thank you for your use
- 23:19S1: of Exogenous. We haven't heard that on the podcast, I
- 23:22S1: think ever.
- 23:23S2: And that feels surely Shane Wright's rolled that one out
- 23:26S2: at some point.
- 23:26S1: I don't know, it's not I don't think it's a
- 23:27S1: word that I've heard spoken. Um, you know, in a
- 23:30S1: very long time. So I commend you and I thank
- 23:34S1: you for your use of that word.
- 23:35S2: I'm sorry for using pompous, highfalutin terms.
- 23:38S1: The more syllables, the better. We love it. Thanks very much, Paul.
- 23:41S1: See you next week.
- 23:42S2: Great that you back, Jack. Bye.
- 23:47S1: You can read all of our political news on our website,
- 23:50S1: the age.com.au, or sms.com.au. Today's episode was produced by Kai Wong.
- 23:57S1: Our executive producer is Tammy Mills, and our podcasts are
- 24:00S1: overseen by Lisa Muxworthy and Tom McKendrick. Before you go,
- 24:05S1: follow Inside Politics and leave a review for us on
- 24:08S1: Apple or Spotify. I'm Jacqueline Maley. Thanks for listening.