Economic growth slowed in the final months of the Morrison government as the Omicron wave and east coast flood crisis hit Australia.
Subscribe now for unlimited access.
or signup to continue reading
The latest national accounts, published on Wednesday morning, showed Australia's gross domestic product rose 0.8 per cent in the March quarter, compared with 3.6 per cent in the previous period.
Growth in the year to March was up 3.3 per cent, according to figures from the Australian Bureau of Statistics.
The bureau's acting head of national accounts, Sean Crick, said household spending as COVID-19 restrictions eased helped to drive growth in the March quarter.
"Household consumption continued to drive growth this quarter. Following the easing of COVID-19 restrictions, household spending on transport services, hotels, cafes and restaurants, and recreation and culture increased." he said.
Government spending on support for flood-ravaged regions in northern NSW and southeast Queensland also added to domestic demand, the figures showed.
However, the crisis disrupted supply chains and slowed activity in the construction and mining sectors.
The figures show the state of the economy in the period before former Prime Minister Scott Morrison called the federal election on April 10.
The figures have been released as households continue to feel the pinch of rising of cost of living, which is set to worsen as energy bills rise from next month.
One retailer, ReAmped Energy, has taken the usual step of encouraging customers to find another retailer before prices double after July 1.
Deputy Prime Minister Richard Marles said the new government wasn't "pretending that there is an immediate answer" to the energy shock.
IN OTHER NEWS:
Mr Marles again laid blame at the feet of the former government.
"It is a real challenge and we have got a cost of living crisis in this country," Mr Marles told Nine's Today Show.
"That's what has been left to us by the former government. And we have got a real issue with power prices. And again, that's the legacy of having had a decade under the Liberals where they haven't had a consistent energy policy."
Labor has promised to deliver lower power bills by "rewiring" the national electricity grid to support an influx of renewables.
Dan Jervis-Bardy
Dan covers federal politics from Parliament House, with a special focus on climate policy and the NDIS. He has previously reported on ACT politics and urban affairs since joining the Canberra Times in 2018.
Dan covers federal politics from Parliament House, with a special focus on climate policy and the NDIS. He has previously reported on ACT politics and urban affairs since joining the Canberra Times in 2018.
