There's fresh cost of living relief on the way this morning with major changes on the way to the price of child care.
MATT SHIRVINGTON, HOST: It comes in the form of a pay increase for workers, which the Albanese government says would help keep fees down for families. And for more, Prime Minister, Anthony Albanese joins us now. Hello PM, great to have you with us.
ANTHONY ALBANESE, PRIME MINISTER: Good morning. Great to be with you.
SHIRVINGTON: Well, how does this funding work and what will it mean for childcare fees?
PRIME MINISTER: Well, this will be a benefit for child care workers, a benefit for families and a boost to our economy. A 15 per cent wage increase, 10 per cent on December 1 of this year. That will mean an increase of over $100 for the wages of child care workers, a then further 5 per cent increase in December next year, meaning the total benefit will be over $150. And importantly, what it will do is make sure that there's a cap on any increase in the fees for families who have their young Australians in child care. This is so important. It will encourage women back into the workforce. It will make sure, as well, by looking after workers who look after our youngest Australians in out of school hours care will benefit as well. So, this is so important in order to boost this sector that's critical for our youngest Australians. Child care workers, of course, aren't just minders, what they do is they care for our young kids and they also educate them. The human brain develops so much in the first five years, and this is such an important announcement.
BARR: Yeah, you're right. Long time coming, and for a mainly female workforce that's been underpaid for so long. So that'll be cheered on today. Just on the cost of living, Prime Minister, the RBA has indicated government spending is making it more difficult to get inflation under control. Are you concerned all of your spending is adding fuel to the fire?
PRIME MINISTER: No, we're making sure that our spending is designed in a way that continues to moderate inflation. We agree that inflation needs to moderate further to get back into that 2 to 3 per cent band. But we know as well that what we can't do is just make cuts and hurt families. We know that people are doing it tough. That's why, as well as, producing two budget surpluses in a row, what we're doing is designing support. Whether it be the childcare costs that have reduced by 11 per cent on average since we introduced our increased subsidy, whether it be this reform today, our energy price relief plan, fee free TAFE. All of these measures are designed in a way to assist in the moderating further of inflation.
BARR: But they're not, are they? Because the RBA has now revised their forecast. They're not going to hit 2 to 3 per cent, we think, till the end of next year. And they say, quote, 'It's because of ongoing spending and recent announcements by the federal, state and territory governments'. That's you. That's the opposite of what the RBA is saying, isn't it?
PRIME MINISTER: No, we're producing those budget surpluses and we're continuing to invest in ways that, people who are watching this program, your viewers, know that so many of them are doing it tough and we're not going to abandon them. We're not going to leave people behind. We're making sure that they're getting that cost of living relief, but we're doing it in a way, so it's designed to put that downward pressure on inflation at the same time.
SHIRVINGTON: Let's hope we see that. Moving on, PM. Our closest neighbour and friends, Papua New Guinea could be on the cusp of selling its entire power grid to China. The deal would give Beijing a major presence right here on our doorstep. Very concerning for us, isn't it. Is Australia losing influence in the South Pacific?
PRIME MINISTER: No, the opposite is the case. And I just wish that the Coalition spokespeople would speak up for Australia instead of talking us down. The relationship with Papua New Guinea has never been stronger. I walked the Kokoda Track and was there at Isurava with Prime Minister Marape, the first PNG Prime Minister to walk Kokoda, along with me, so we were there on Anzac Day. And the Minister, we've spoken with the PNG government, they are saying they're not selling their energy networks, what they're doing, they want to make sure that it's fixed up. Australia's helping with that. And the report simply is not correct. And I just wish that the Liberal Party spokesperson would actually cheer for Australia, instead of constantly looking for ways to undermine our relationships. We continue to engage, we just had the biggest ever Minister to Ministerial dialogue that was held up in Port Moresby. Prime Minister Marape will be here again next month as well. He's a big rugby league fan, of course as is everyone in PNG, and our relationship has never been stronger.
BARR: Prime Minister, it's not just the opposition. PNG power are saying that Australia is moving too slow on this. Even if they don't sell it, are you concerned about Chinese investment?
PRIME MINISTER: Look, I'm concerned about making sure that Australia's national interests are looked after. But I'm also concerned about making sure that the people of PNG have the best access to energy that they can. We're working with the PNG government constructively on this, and it's positive. It's a positive relationship. It's never been stronger.
SHIRVINGTON: PM, finally I've got to ask you, on a positive note. 18 Gold medals in Paris. We've officially broken our Olympic record at these games. It's a phenomenal thing. It's a phenomenal thing for the athletes and we know that. But for Australia, we need to celebrate. A national public holiday, is that on the cards? Could this be the new date for Australia Day, potentially?
PRIME MINISTER: Well I'll tell you what, it is a fantastic achievement and they have brought joy, excitement and pride to every Australian. I watched Keegan skating last night, I mean, what a champion to win back to back Golds. You look at what they're doing there and you have fear for them on that concrete to be able to do what they're able to achieve. And to win in such a wide variety of sport as well overnight. To wake up to pole vaulting, to sailing, cycling and skating is quite remarkable. And I'm sure they will get such a huge welcome home and the thanks of every Australian. I had the opportunity to have a Zoom call with many of them a couple of days ago. They're having a great time, those who've finished competing up to now, but hopefully there's more to come as well. We've got boxing and a range of sports where we're competing in finals over the coming couple of days and it's just been fantastic. At a time where there is so much conflict in the world and negative stories, isn't it great to be able to celebrate?
SHIRVINGTON: Can we have a day off to celebrate?
PRIME MINISTER: Well, you know, I think your days off are ones to negotiate with your management. Certainly there are many Australians who'll be pretty tired after the last couple of weeks because they have been engaged with our athletes. And the thing about these Olympians as well, it's important to remember, is that for so many of them, they get by on not much income at all. I mean, they're not receiving the sort of salaries that we see our basketballers or rugby league or AFL players receive. They do it out of their joy for their sport, their love of their country and to be able to represent our great nation. And we punch way above our weight -
SHIRVINGTON: Haven't we what, we've been so good -
BARR: We really have -
PRIME MINISTER: If you think, we're a country of 27 million people compared with the hundreds of millions in the United States and the billions in China, or the more than a billion in China and India, it is quite an extraordinary achievement.
BARR: Yeah, you're absolutely right.
SHIRVINGTON: Thank you, PM.
BARR: What a celebration. Thank you very much, Prime Minister, for joining us today.
PRIME MINISTER: Good on you. Have a great day and I hope it warms up.
