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Australians are being urged by the prime minister to stay the course with the Liberal-National coalition as cost of living pressures tighten.

But Labor says the coalition has been "asleep at the wheel" when it comes to inflation.

Prime Minister Scott Morrison said in a time of "great uncertainty" with cost of living pressures, voters should return his government to power based on their track record.

"We have been a steady hand during the most immense pressures on our economy, and it's paying dividends, but it's still tough so now's not the time to risk it on Labor," he told the Seven Network on Thursday.

The prime minister's warning comes as Australians brace for the first interest rate hike since 2007.

Three of the four big banks predict a rise in the cash rate by next week, after new data from the Australian Bureau of Statistics showed the annual inflation rate jumped to 5.1 per cent.

It could force the Reserve Bank of Australia to raise the cash rate from its record low of 0.1 per cent.

Scott Morrison said he would respect the independence of the Reserve Bank and not comment on their potential next move.

But he said there was a "big difference" in the 2022 economy compared with 2007 when interest rates were last raised.

"Last time the Reserve Bank did that, the rate was six-and-a-half per cent. Today it's 0.1 per cent and so the circumstances of the economic environment we're in now is very different," he said.

Shadow Treasurer Jim Chalmers said while some issues causing rising inflation were global, the coalition pretended they could not do anything to address the lack of wage rises.

"There are domestic issues and wages have been stagnant for the best part of a decade, that's been a deliberate design feature of the government's economic policy in their own words and we are now seeing the consequences of that," Mr Chalmers told the Seven Network.

"The government has been asleep at the wheel in inflation and have deliberately attacked and targeted wages and working conditions and job security."

Labor's economic plan, if it wins office, would include an audit of "waste and rorts" as well as crackdowns on multinational companies avoiding tax in a bid to make $5 billion in budget savings.

Mr Morrison will start Thursday by campaigning in Cairns - the marginal Liberal seat of Leichhardt - which is held by 4.2 per cent.

Opposition Leader Anthony Albanese remains in isolation after returning a positive COVID-19 test last week.

But Labor frontbenchers will continue to campaign in his stead, and will be in Sydney on Thursday.

Mr Albanese will officially launch Labor's election campaign in Perth on Sunday.

Meanwhile, ABC managing director David Anderson has written to both major parties pitching a leaders' debate on Monday, May 9.

© AAP 2022

Scott Morrison is dismissing comparisons between himself and former prime minister John Howard, who lost an election that coincided with an interest rate rise.

Australians are bracing for a potential cash rate rise for the first time since 2007 after the annual inflation rate was revealed to have jumped to 5.1 per cent.

Three of the four big banks predict the Reserve Bank of Australia will raise the cash rate next week.

But the prime minister dismissed comparisons between the 2007 and 2022 elections, saying other factors were at play.

The current cash rate was at a historic low of 0.1 per cent, while in 2007 it was at 6.5 per cent and to draw equivalence between the two time periods was to misunderstand history, he said.

"We're in the middle of a global pandemic, with a war in Europe. Those situations were not in place in 2007. I think everyone would understand that," Mr Morrison told reporters in Cairns on Thursday.

The prime minister urged voters to stay the course with the Liberal-National coalition as cost of living pressures tighten.

But Labor says the coalition has been "asleep at the wheel" when it comes to inflation.

In a time of great uncertainty with cost of living pressures, voters should return his government to power based on their track record, Mr Morrison said.

"We have been a steady hand during the most immense pressures on our economy, and it's paying dividends, but it's still tough so now's not the time to risk it on Labor," he told the Seven Network.

Shadow treasurer Jim Chalmers said while some issues causing rising inflation were global, the coalition pretended they could not do anything to address the lack of wage rises.

"There are domestic issues and wages have been stagnant for the best part of a decade. That's been a deliberate design feature of the government's economic policy in their own words and we are now seeing the consequences of that," Dr Chalmers told the Seven Network.

"The government has been asleep at the wheel on inflation and have deliberately attacked and targeted wages and working conditions and job security."

Labor's economic plan, if it wins office, would include an audit of "waste and rorts" as well as crackdowns on multinational companies avoiding tax in a bid to make $5 billion in budget savings.

Mr Morrison started Thursday campaigning in Cairns, in the marginal Liberal seat of Leichhardt which is held by 4.2 per cent.

Opposition Leader Anthony Albanese remains in isolation after returning a positive COVID-19 test last week, but will return to the campaign trail on Friday.

Labor frontbenchers continue to campaign in his stead, and will be in Sydney on Thursday.

Mr Albanese will officially launch Labor's election campaign in Perth on Sunday.

Meanwhile, ABC managing director David Anderson has written to both major parties pitching a leaders' debate on Monday, May 9.

However, Mr Morrison told reporters he would be available for debates on the Seven and Nine networks, making a total of three encounters including the first with Sky held on April 20.

Labor is still considering its options.

© AAP 2022

The prime minister is under pressure to acknowledge the rising cost of living under his government rather than blame international factors.

Shadow treasurer Jim Chalmers said Scott Morrison should take some responsibility as Australians were being slammed by the cost of living crisis.

After the annual inflation rate was revealed on Wednesday to have jumped to 5.1 per cent, Mr Morrison blamed the pandemic and conflict overseas.

Dr Chalmers said it didn't explain away the Liberal-National coalition's actions during their nine years in power.

"The war in Ukraine doesn't explain or excuse a decade of this mob going after people's wages and job security and that's a big part of the problem," he told reporters in Sydney on Thursday.

"(Morrison) needs to take responsibility for once, not point the finger, not go missing when people need him."

Mr Morrison also dismissed comparisons between himself and former prime minister John Howard, who lost an election that coincided with an interest rate rise.

Australians are bracing for a potential cash rate rise for the first time since 2007 and three of the four big banks predict the Reserve Bank of Australia to announce the rise next week.

But the prime minister dismissed comparisons between the 2007 and 2022 elections, saying other factors were at play.

The current cash rate was at a historic low of 0.1 per cent, while in 2007 it was at 6.5 per cent and to draw equivalence between the two time periods was to misunderstand history, he said.

"We're in the middle of a global pandemic, with a war in Europe. Those situations were not in place in 2007. I think everyone would understand that," Mr Morrison told reporters in Cairns.

Mr Howard, who campaigned in the Brisbane seat of Ryan on Thursday, said it was "too long ago to draw those comparisons".

"There are always cost of living pressures," Mr Howard said.

Mr Morrison urged voters to stay the course with the Liberal-National coalition as cost of living pressures tighten.

In a time of great uncertainty with cost of living pressures, voters should return his government to power based on their track record, Mr Morrison said.

"Through the course of this pandemic, we got through this together because (Australians have) been making wise decisions and the government has been doing the same to back them in," he said.

"We have been wise stewards of taxpayers' money as well to ensure our economy is set up to perform in a very, very challenging environment."

But Dr Chalmers said while some issues causing rising inflation were global, the coalition pretended they could not do anything to address the lack of wage rises.

"Scott Morrison claims to be good at managing the economy. It is not good economic management if Australians cannot get ahead," he said,

"It is not good economic management if Australians are falling further and further behind."

Labor's economic plan, if it wins office, would include an audit of "waste and rorts" as well as crackdowns on multinational companies avoiding tax in a bid to make $5 billion in budget savings.

Mr Morrison campaigned in Cairns, in the marginal Liberal seat of Leichhardt which is held by 4.2 per cent.

Opposition Leader Anthony Albanese remains in isolation after returning a positive COVID-19 test last week, but will return to the campaign trail on Friday.

Mr Albanese will officially launch Labor's election campaign in Perth on Sunday.

Meanwhile, ABC managing director David Anderson has written to both major parties pitching a leaders' debate on Monday, May 9.

However, Mr Morrison told reporters he would be available for debates on the Seven and Nine networks, making a total of three encounters including the first with Sky held on April 20.

Labor wants a debate at the National Press Club in the final week of the campaign.

© AAP 2022