Summer under siege: Inflation threatens the joys of summer time that are becoming unaffordable luxuries

The return of Australia’s inflation monster is shaping up as a threat to the summer holidays and the backyard barbecue. After waiting all year, many West Australians have been looking forward to a bit of down time — enjoying barbecued snags with family and friends, grabbing some fish and chips by the beach or having an ice-cream to cool down after an ocean swim. With three interest rate cuts from the Reserve Bank of Australia, many people were thinking the worst of the cost-of-living crisis was over. But that relief in February, May and August has turned out to be counterproductive, with the return of higher prices diminishing summer choices, from having lunch to buying presents and going on holidays. The Sunday lamb roast, in particularly, is under threat, with prices soaring by 14.2 per cent in the year ended October 31, the latest inflation data showed. Legs of lamb are already selling out at Woolworths, despite the $23/kg cost. Red meat is turning out to be a bit of a luxury item, with beef prices soaring 10.4 per cent. So much for those steaks and sausages on the backyard barbecue. Angus Gidley-Baird, a senior analyst in animal proteins with Rabobank, said lamb prices were likely to stay at high levels into next year, even as drought conditions eased in southern Australia. “Unfortunately, it’s just a more limited supply in the market. We won’t see increases in volumes until the second half of next year, so expect to see continued high prices,” he told The West Australian. American demand for Australian beef has also been strong, despite the short-lived tariffs on agricultural exports. “The demand in the US, I suspect, will remain very strong. We’ll continue to see higher prices for Australian beef,” he said. Darren Kent, a cattle breeder in central Queensland, said higher electricity, fodder, road freight and insurance costs were adding to price pain at the supermarket and the butcher’s. “All the fixed costs have gone up probably 200 per cent in the last four to five years and that’s everything,” he told The West Australian. “It’s huge. We freight our livestock to the abattoirs. The abattoirs then road freight it to their wholesaler. The wholesaler road freights it to the butcher or the supermarket. The butcher or the supermarket then has to sell it. “It adds to everybody’s costs. Everyone has to make a quid.” Having a bit of a sweet tooth is also coming a financial drain, with snack and confectionary prices climbing by 7.8 per cent. That ice-cream by the beach is also getting more costly, with prices up 4.1 per cent. Those wanting to enjoy fish and chips with a bit of chicken salt are also paying more, with takeaway food prices climbing by 4 per cent. This is above the latest headline inflation rate of 3.8 per cent, which was the worst since June 2024, and even further above the RBA’s elusive 2-3 per cent target. WA’s $400 electricity rebate ended in June as Queensland axed its equivalent $1000 subsidy. Going away on holidays is another financial nightmare with domestic holiday accommodation costs soaring by 7 per cent. Flight Centre founder Graham Turner said this kind of cost increase would see many families stay home instead of travelling somewhere else in Australia this summer. “A 7 per cent increase will hurt families, I suspect, who are already suffering from the cost-of-living crisis,” he said. “A family on one wage would probably stay at home with this sort of increase.” Vet bills are also costly, which means dog owners are paying 4.5 per cent more for those summer emergencies involving a cooked chicken bone falling on the kitchen floor. Buying presents is also a tricky task, with the cost of women’s clothes going up by 5 per cent over the year. Christmas hope But among all the gloom, there are slivers of good news. Petrol prices rose by just 1.9 per cent over the year and unleaded is typically selling for less than $1.80 across metropolitan Perth. That’s a far cry from the $2.20 a litre cost in early 2022, following Russia’s Ukraine invasion, which means day road trips are still affordable. Small electrical appliances went up by just 0.2 per cent over the year, making a gift-wrapped toaster or a kettle a possibility to put under the Christmas tree. While red meat now costs a premium, white meat and seafood are more reasonably priced, with fish and seafood prices rising by just 0.07 per cent as poultry prices fell 1.1 per cent. Cakes and biscuits went up by just 0.5 per cent. At least prawns or a turkey for Christmas are still affordable options, along with the traditional pudding. Some miracles are still possible.