Prime Minister Anthony Albanese has overseen the biggest spending increase as a share of the economy for a first-term government since Gough Whitlam in the 1970s, prompting economists to warn Labor’s $130 billion-plus spree will be paid for by higher income taxes.

Labor has made at least $123.6 billion worth of discretionary spending decisions from its three budgets on areas such as childcare subsidies, aged care, health, housing and green energy, according to an analysis by The Australian Financial Review.