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2024 politics shaped 2025 federal election battlegrounds

2024 politics shaped 2025 federal election battlegrounds

The cost of living still emerges as “the Taylor Swift problem” as politicians across the country prepare their pitches to voters in the early months of 2025.

Housing, energy and economic management are shaping up to be key election battlegrounds, but parties will seek to draw attention to issues they see as their strengths, like child care and immigration.

Australians will go to the polls between January 25 and May 17 – although there has never been a federal election in January or February.

Although the details of each party’s 33-day campaign plans are being kept secret, the overall shape of the contest has been shaped over the past year.

Strategists have been closely watching what happened in overseas elections this year, particularly in the United Kingdom where Labor took power and the United States where Donald Trump was re-elected.

But they also know that while there are global trends against existing governments, next year’s campaign will be uniquely Australian.

Prime Minister Anthony Albanese and Opposition Leader Peter Dutton want people to seriously focus on what life could be like under each other.

Camera iconPeter Dutton. Credit: Daniel Wilkins/Western Australia

Their campaigns revolve around a choice between building the future of the nation or getting it back on track.

But the 2025 election is widely expected to be, more than most, a state-by-state and seat-by-seat proposition, with different deciding factors for voters across the country.

Cost of living

The 2024 political year began earlier than usual, ahead of Australia Day, when Mr Albanese addressed the National Press Club to confirm he was reshaping the “third stage” of tax cuts to give more money to low-income workers.

Over the next six months, barely an interview or question time went by without the words “a tax cut for every taxpayer” coming out of a minister’s mouth.

Mr Dutton initially called an election so Labor could secure a mandate for its broken promise to leave the tax cuts as they were legislated in 2019 under Scott Morrison – before the pandemic made havoc on the economy and inflation.

But he changed his tone and allowed the overhaul to become law less than five weeks later, but not before forcing a few votes on amendments to change its title.

The tax cuts offered Mr Albanese a reset after a messy end to the previous year and gave backbenchers something to talk about when they hear voters talk about continued cost-of-living pressures .

The May budget continued on this path, offering more relief on electricity bills for households and small businesses, a freeze on drug prices and a further increase in rental assistance.

Treasurer Jim Chalmers also delivered a second surplus — the first time there have been two in a row in almost 20 years.

But this is quickly fading from memory and the elections will follow even worse numbers.

The mid-year budget update released a week before Christmas showed a slightly smaller deficit for 2024-25, but larger deficits in the following three years and a “very small surplus” over a decade.

Mr Albanese has repeatedly said his intention is to present another budget next year – scheduled for March 25 – and then head towards an election.

Dr. Chalmers and Finance Minister Katy Gallagher are working on this next budget, but that doesn’t guarantee it will pass; they should do it anyway to prepare a policy for an electoral campaign and the second mandate sought.

Although there is no formal budget, the Treasury will publish a Pre-Election Fiscal Outlook (PEFO) during the campaign which will reveal the state of the accounts for review.

Redbridge manager Tony Barry, a former Liberal strategist, said if it were him he wouldn’t be rushing to deliver the budget.

“It’s a really tough sell…it takes a lot of work and I just think it’s not going to be good budget news.” This will be bad budgetary news,” he said.