Albanese Backs Chalmers Amid Labor Leaks
Prime Minister Anthony Albanese said his government is united as some Labor MPs and staff criticise Treasurer Jim Chalmers' handling of the economy.
Updated on Nov. 10, 2026 in Inflation
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Prime Minister Anthony Albanese expressed confidence in Treasurer Jim Chalmers as inflation continues to rise and some Labor MPs and senior staff have complained to the media about his handling of the economy. Albanese said his government is a united government and that Chalmers has delivered two budget surpluses and lower deficits.
Why it matters
The public criticism comes as inflation keeps rising and a mid-year economic forecast is due, putting pressure on the government's economic management ahead of the next federal election. Environment Minister Murray Watt conceded there had been some leaking against the Treasurer while stating he is doing an excellent job.
The Prime Minister cited two budget surpluses and lower deficits as evidence of Chalmers' record, while inflation continues to climb. Albanese declined to confirm whether he had directed staff to stop undermining the Treasurer, and the mid-year economic forecast due next month has not yet been released.
The players
Anthony Albanese
Anthony Albanese is the Prime Minister of Australia and leader of the Australian Labor Party, who has led the national government since 2022.
Jim Chalmers
Jim Chalmers is Australia's Treasurer and a senior Labor minister responsible for the federal budget and economic policy.
Murray Watt
Murray Watt is Australia's Environment Minister and a Labor member of the federal cabinet.
The details
Murray Watt emerged from a Cabinet meeting over budget savings and told reporters there had been some leaking against the Treasurer. Albanese, departing for the COP31 climate summit in Türkiye, said Chalmers' preferred tenure as Treasurer runs through the next federal election.
Timeline
10 November 2026: Albanese defended Chalmers and departed for COP31 in Türkiye.
Monday, 9 November 2026: Murray Watt urged ministers to stop undermining Chalmers.
December 2026: The mid-year economic forecast is expected to be released.
Macro View
The tensions come as the government's two budget surpluses and lower deficits are tested against rising inflation in the mid-year fiscal outlook. The debate over Treasury management reflects the broader pressure on Australia's federal budget cycle as the next election approaches.
Continued inflation affects household budgets through higher prices for everyday goods and services. The mid-year forecast will show whether the government's budget position can support relief for cost-of-living pressures.
The takeaway
Inflation and budget decisions shape household costs, so following the mid-year forecast is a practical way to track how the government plans to respond. Reading official budget updates helps readers judge the economic record for themselves.
What happens next
A mid-year economic forecast is due in December 2026, which will show how the government's budget outlook is tracking as inflation keeps rising.
Further reading
Follow the latest on Australian inflation and how it is shaping the government's economic debate.
Source note: This article includes information reported by Region Canberra.
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