The Morrison government's early release of superannuation scheme could hit future taxpayers with as much as $85 billion additional costs as people who tapped super funds are forced to rely on the aged pension. Modelling by the Super Members Council shows the Early Release of Super Scheme shows a 30-year-old who withdrew the maximum $20,000 from super during the pandemic would be would $93,600 worse off in retirement.

Reporter: Peter Ryan, Senior Business Correspondent

Featured: Misha Schubert, chief executive, Super Members Council

There's cautious optimism that Reserve Bank might be forced to cut interest rates sooner rather than later given more signs that inflation is continuing to slow.

It's all adding up to evidence the economy being crunched from a long period of aggressive interest rate rises.

Also, KPMG chief economist Dr Brendan Rynne says leap year will add $6.6 billion to first quarter GDP.

There'll be a lot of attention later this morning when we'll get an update on inflation which continues to cause of lot of financial pain for households.

Economists think the consumer price index probably fell by 0.2 percent in January due to lower travel and fuel costs

But the closely-watched annual rate is likely to have risen slightly to 3.5 percent from 3.4 percent because of volatile factors in the reading

Financial pain from high inflation and surging interest rates continues to force supermarket customers to trim household budgets to make ends meet. Supermarket giant Coles says two-thirds of shoppers surveyed last month are in distress and they worry about how to pay the rent or mortgage. The news comes as Coles posted a softer half year profit of $594 million.

Reporter: Peter Ryan, Senior Business Correspondent

Featured: Leah Weckert, Coles chief executive

With inflation slowing - but still very high - consumers are continuing to struggle with household budgets which remain under a lot of pressure.

And there's not much immediate relief in sight according to the private health insurer NIB which sees yearly premium rises now part of the economic landscape.

NIB boss Mark Fitzgibbon says the insurer is facing pressures from hip and knee replacement, weight loss surgery as the population ages.

Should your superannuation by used to bankroll the housing affordability crisis? That's the plan from four of Australia's biggest industry super funds which could see hundreds of billions of dollars provided to boost social and affordable housing. But the deal is likely to be opposed by experts who think super should be used purely for a retirement nestegg.

Reporter: Peter Ryan, Senior Business Correspondent

Featured: Wendy Hayhurst, Community Housing Industry

Treasurer Jim Chalmers is under growing pressure to retain a never-used power to overrule policy decisions made by the independent Reserve Bank. The removal of the Treasurer's "veto" - that could even override interest rate decisions - is a key recommendation in the overhaul of the RBA which is yet to be legislated. But opponents of the veto removal say it's an "important safety valve that bolsters the RBA's independence.

Reporter: Peter Ryan, Senior Business Correspondent

Featured: Richard Denniss, Australia Institute

Keywords:

Treasurer Jim Chalmers is under growing pressure to retain a never-used power to overrule policy decisions made by the independent Reserve Bank. The removal of the Treasurer's "veto" - that could even override interest rate decisions - is a key recommendation in the overhaul of the RBA which is yet to be legislated. But opponents of the veto removal say it's an "important safety valve that bolsters the RBA's independence.

Reporter: Peter Ryan, Senior Business Correspondent

Featured: Richard Denniss, Australia Institute

Keywords:

Qantas posts a 13 per cent fall in first-half profit to a still bullish $869 million, but confirms the bottom line has been hurt by lower airfares and a capacity normalisation post-pandemic. New Qantas chief executive Vanessa Hudson - who replaced Alan Joyce late last year - says she's committed to restoring trust. She told the ABC's Peter Ryan she's been talking less and listening more.

First he walked out, now he's checking out. Woolworths CEO Brad Banducci announces his resignation only days after walking out of a Four Corners interview. The news comes as Woolworths revealed a half year loss of $781 million after a steep writeoff in its New Zealand grocery business.