Australians Now Await Labor’s Promised Relief from the Cost-of-Living Crisis

With the Labor Party’s victory in the 2025 federal election, Australians are now eagerly awaiting relief from the country’s cost-of-living crisis. It was a major election issue with numerous pledges that many will be hoping can bring relief. Let’s recap the campaign commitments.

Bulk Billing: 90% of doctor visits to be covered by 2030. It was one of the most notable promises featuring an injection of $8.5 billion into Medicare over four years to increase bulk-billed GP visits.

PBS: Max $25 scripts under the Pharmaceutical Benefits Scheme.

100,000 Homes for new Homeowners: Labor also focused on housing, pledging $10 billion to construct 100,000 homes for first-home buyers and offering access to 5% mortgage deposits. Plus, alleviating demand by banning foreign investors and temporary residents (under two years) from purchasing existing homes.

Outlawing Price Gouging by Supermarkets: The party also aimed to alleviate the cost of living by proposing measures such as outlawing supermarket price gouging.

Tax Cuts: Additionally, Labor promised a small tax cut phased over two years. One is a $1000 tax deduction for work-related expenses (2026/27 financial year), and a reduction in the lowest income bracket, with tax reducing from 16% to 14% from July 2027.

Higher Education Contribution Scheme (HECS) debts: 20% off before 1st June 2025

Energy Bill Relief: Energy rebates are expected to start from July 1st. The rebates are 2 x $75 payments.

Childcare: 3 days of subsidised care from January 2026.

Will Labor’s plan bring relief to Australians suffering through the ongoing cost-of-living crisis? One might conclude that it will likely be the RBA, and the best thing that many will be hoping for is interest rate reductions.