Cost of Living Issues Shadow Australia-Singapore Election

SINGAPORE, FRIDAY — The rising cost of living has become the most pressing issue for the people of Singapore and Australia. Both countries will hold general elections on Saturday (3/5/2025).

As of Friday (2/5/2025), both countries are in a quiet period similar to the pre-election phase in Indonesia. Singapore's Prime Minister Lawrence Wong, Australian PM Anthony Albanese, and their competitors have been busy trying to gather public support in the week prior.

From reports by various mainstream media in both countries, this election is significantly affected by the bilateral relations between Singapore and Australia with the United States. Those relations have been strained due to U.S. President Donald Trump's imposition of import tariffs on both, set at 10 percent each.

As a result, there are concerns among the citizens of both countries regarding their economic stability. This is evident from several polls indicating that, both in Singapore and Australia, the cost of living is the primary concern of the people.

Singapore's goods and services tax will rise by 1 percent to 9 percent in 2024. As a result, the cost of living will also increase.

The government provides assistance in the form of discount coupons. However, for the people, this does not have a significant impact on their lives. Moreover, according to several international banks, including Julius Baer, Singapore is the most expensive city in the world.

The average income in Singapore is 11,297 Singapore dollars. Financial consultant Catherine Tan has an income of only 5,700 Singapore dollars, which is nearly half of the national average.

Indeed, he has to support two children. One of his children has a condition that incurs a cost of 300 Singapore dollars each time they visit the doctor. "The prices of goods are rising, but salaries never increase," said Tan.

Based on a survey conducted by Blackbox in April 2025, the public still perceives the government led by PM Wong and the People's Action Party (PAP) as performing well. They provided a positive assessment, scoring above 50 percent for handling issues related to housing prices, goods and services tax, car prices, social inequality, and the cost of living.

Indeed, a YouGov poll found that 63 percent of respondents indicated they would vote for PAP again in the election on Saturday. Only 15 percent chose the opposition, namely the Workers' Party. The same survey revealed that 72 percent of respondents identified the cost of living as the most important issue.

In this country, there are 2.76 million citizens who are eligible to vote and are required to exercise this right. Of these, 224,000 individuals are first-time voters. Their age range is 20-24 years.

In an interview with ABC News, Han Hui Hui, a politician from the People's Alliance for Reform (PAR), stated that the public is afraid to vote for the opposition. In fact, they are expressing dissatisfaction with the performance of the incumbent government. "The people are afraid to choose the opposition because they lack governing experience," said Han.

Since that time, despite the multiparty system, the government of Singapore has always been dominated by the PAP. Prime Minister Lee Kuan Yew ruled for 31 years. He was succeeded by Goh Chok Tong in 1990.

Goh appointed Lee Hsien Loong, the son of Lee Kuan Yew, to the position of Prime Minister in 2004. Then, in May 2024, Lee transferred the Prime Minister position to Finance Minister Lawrence Wong. Lee himself "stepped back" to the position of senior minister in the government cabinet.

The specter of recession looms as a source of fear for the public. The tariffs and trade war instigated by Trump threaten Singapore's economy, which is heavily reliant on international trade.

Eugene Tan, a law lecturer at Singapore Management University (SMU), said the PAP’s campaign rhetoric has not changed since 2006. “While the people and the opposition have complained about the cost of living, the PAP has continued to assert that under their rule, gross domestic product and the economy have grown,” he told the South China Morning Post.

In Australia, the Labor Party under PM Anthony Albanese and the Liberal-National Party under Peter Dutton are both campaigning for the welfare of the community. One of the issues being addressed is the cost of home loan repayments.

However, as reported by ABC Australia, this topic is divided within the community. Some Australians own properties and earn a living by renovating and selling them. The most common method is to purchase a house, renovate it, and sell it at a higher price.

"This group wants the government, regardless of which party wins the election, to ensure that housing prices remain high," said economist Saul Eslake. According to him, the government will tend to maintain relatively high housing prices.

As a representation, out of 25 million residents in Australia, approximately 11 million individuals are property owners. Among them, 2.5 million people own more than one property, which they utilize as income-generating assets.

Similar to Singapore, the Australian public is also under pressure from the cost of living. The Woolworths department store network, in their report, stated that consumers are increasingly purchasing products under the Woolworths brand, which are cheaper compared to similar products with independent brands. Online purchases have increased by 15.7 percent as consumers save on transportation costs.

Consumer spending also revolves around daily necessities, including food, cleaning supplies, and household needs. Fashion shopping, such as clothing, footwear, and lifestyle accessories, has decreased.

In terms of security, both Albanese and Dutton are striving to assure the public that they can still rely on the United States. Australia is part of the AUKUS security alliance with the United States and the United Kingdom.

They also rely on armaments and defense cooperation with the United States. "In terms of regional security, our values and those of the United States remain aligned," said Albanese. (AFP/Reuters)