Big corporations will have a target on their backs as the Albanese government takes aim at mergers and acquisitions to address the cost-of-living crisis.

The Treasury has established a task force to review laws, policies and institutions to increase competition and boost the economy.

Assistant Minister for Competition Andrew Leigh says Australia has slumped into one of its “lousiest decades” of economic productivity in the post-war era.

“We’ve seen a rise in market concentration, we’ve seen an increase in mark-ups,” he told reporters in Sydney on Wednesday.

“All this suggests the Australian economy may have become less dynamic.”

Growing monopolisation caused by mergers in industries such as banking and telecommunications means consumers have had to pay more for less choice during a time of cost-of-living pressures.

“The poor may not have a car to drive to another suburb for a better deal. If you have a dodgy internet connection, it may be hard to shop around,” Dr Leigh said.

“And so in ensuring we have a more productive economy, we’re also looking after some of the most vulnerable in Australia.”

The task force, which will be supported by economics leaders like Grattan Institute CEO Danielle Wood and former ACCC chair Rod Sims, aims to provide continuous advice on competition over the next two years.

Treasurer Jim Chalmers said Australia’s inflation challenged has changed in recent years, having shifted from shipping issues prompted by events like the Russia-Ukraine conflict to other factors.

Regardless, the task force will focus on putting downward pressure on the cost-of-living.

“When costs moderate, we want to see prices moderate as well,” he told reporters.

“Taking some of the edge off these cost-of-living pressures is the Albanese government’s highest priority.”

The team will look into issues like non-compete clauses that restrict workers from moving into better-paid jobs, merger reform and competition issues that may arise from new technologies.

The announcement comes as the treasurer prepares to launch the latest Intergenerational Report on Thursday, which will examine the state of the budget over the next few decades.

– AAP