
Episode #123
Labor is Almost $100 Billion Over Budget. Guess Who is Footing the Bill? - EP123
Labor wants Australians to believe the federal budget is under control. Look at the raw numbers and the picture becomes much harder to sell. In the final Coalition Budget before the 2022 election, federal payments for 2025–26 were projected at roughly $687 billion. Today, spending for the same financial year is around $788 billion. That's roughly $100 BILLION more. Now, not every dollar of that difference is a new Labor policy. Inflation, population growth, indexation and existing programs all matter. But that's exactly why this episode digs deeper. Where is the extra money coming from? Who is actually paying for Australia's enormous expansion in government? And why, after adding more than a million workers to the labour force, does the average Australian still feel like they're going backwards? In this episode of The Mark Pirotta Show: - Labor's enormous increase in federal spending - The Coalition's original 2025–26 spending projections - Why spending never returned to its pre-COVID trajectory - Australia's rapidly expanding workforce - Population growth and migration - How much additional tax new workers contribute - My estimate of the extra burden falling on the existing Australian worker - Personal income tax versus company tax - Superannuation taxation - GST and bracket creep - Why inflation is effectively helping government revenue - The roughly $30 billion fiscal gap I wanted to understand - Australia's AAA credit rating - Why a AAA rating doesn't mean households are doing well - Government debt versus household finances - Why the middle class is uniquely difficult to protect from higher taxation - The difference between creating more wealth and simply taxing existing wealth - Labor's transformation from a workers' movement into the party of larger government - The Eureka Stockade and the original fight against government regulation - Why Australia's fiscal position is becoming increasingly fragile - Government spending, inflation and the next interest-rate fight - And why One Nation's rise makes considerably more sense when you look at Australians' wallets This isn't really an episode about one deficit number. It's about scale. Australia has millions more people, more workers and significantly more tax revenue than it did only a few years ago. And government spending has expanded even faster. The average Australian doesn't experience the federal budget as an accounting document. You experience it when your pay hits your account. You experience it at the supermarket. You experience it at the petrol station. You experience it in your mortgage. And you experience it when government takes a larger slice before you've even had a chance to spend it. When politicians tell you they're being fiscally responsible, don't stop at the headline number. Dig into the budget. Support the show: https://patreon.com/TheMarkPirottaShow https://linktr.ee/mark.pirotta

