KPMG Australia’s Chief Economist Dr Brendan Rynne says middle-income earners in Australia have had the “double effect” of both higher mortgage payments and higher tax payments.
Mr Rynne says these Australians have also seen their wages grow “but not as much as inflation”.
“Middle-income earners in Australia have had that double effect of both higher mortgage payments combined with higher tax payments.
“Which means that they’re spending capacity had fallen quite dramatically over the last three years,” Mr Rynne told Sky News Australia.
“With the stage three tax cuts that will provide some relief to many income earners.
“Still not enough to bring back those middle-income earners back to the same position prior to COVID.”
( SkyNews )
